PSX Reaches New Heights Amidst Bullish Momentum

The Pakistan Stock Exchange (PSX) maintained its upward trajectory as bulls strengthened their position, resulting in the KSE-100 Index attaining a new record high on Thursday.

During the day’s session, the KSE-100 reached an intraday peak of 131,325.10.

At the end of trading, the benchmark index closed at 130,686.65, reflecting an increase of 342.62 points, equivalent to a 0.26% rise.

Market analysts suggest that the market’s extraordinary performance can be attributed to substantial institutional buying activity, promising earnings forecasts, and favorable macroeconomic conditions.

On Wednesday, the PSX marked a significant milestone by crossing the 130,000-point threshold for the first time. The KSE-100 Index surged by 2,144 points, a 1.67% increase, to conclude at 130,344 points.

Global Market Overview

Across the globe, Asian stocks experienced modest gains on Thursday as investors prepared for a crucial US jobs report, which could influence the Federal Reserve’s decision on potential interest rate cuts. Investors also monitored the progress of a significant US tax and spending bill in Congress.

Overnight, Wall Street achieved new record highs following the announcement by President Donald Trump of a trade agreement between the US and Vietnam, which includes a 20% tariff on exports to the US. This development has raised optimism for further trade agreements, particularly with ongoing negotiations for a trade deal with India.

MSCI’s broadest index of Asia-Pacific shares outside Japan grew by 0.2%, remaining just below a nearly four-year high. Japan’s Nikkei remained stable.

Chinese blue chips saw a slight increase of 0.2%, while Hong Kong’s Hang Seng index decreased by 0.6% after data revealed that China’s services sector expanded at its slowest rate in nine months in June.

In Asia, both Nasdaq futures and S&P 500 futures remained relatively unchanged. Investors are keenly awaiting the House of Representatives’ decision on Trump’s extensive tax and spending bill, anticipating its potential final approval.

The proposed bill is projected to increase the national debt by $3.3 trillion, while also implementing tax cuts and reducing social welfare programs.