PSX Sees Positive Start, KSE-100 Index Gains Momentum

The Pakistan Stock Exchange (PSX) experienced a resurgence of positive investor sentiment as trading commenced this Monday, with the benchmark KSE-100 Index soaring by over 500 points during the initial hours.

As of 10:10 am, the KSE-100 Index was recorded at 139,101.66, reflecting an increase of 504.30 points, which translates to a 0.36% rise.

Active buying was evident across vital sectors, notably including automobile manufacturers, commercial banking institutions, oil and gas exploration firms, oil marketing companies, and fertilizer producers. Key stocks that significantly impact the index, such as EFERT, MCB, MEBL, NBP, PPL, and POL, were all trading positively.

The previous week concluded with the PSX reaching a record high, propelled by a mix of growing investor confidence, compelling macroeconomic figures, and anticipation of strong earnings reports from corporations.

The KSE-100 Index achieved an unprecedented closing level of 138,597 points, representing a substantial weekly gain of 3.2%, equivalent to 4,297 points – the highest weekly increase ever documented in its trading history.

Market analysts have pointed out that the overall market sentiment was predominantly optimistic, despite the presence of foreign institutional selling activities and the typical slowdown in investor participation during the summer period.

In international markets, Asian stock values and the Japanese yen maintained their levels as elections in Japan presented unfavorable outcomes for the ruling government, but were within expected parameters. Meanwhile, Wall Street futures are preparing for earnings releases from major technology companies.

Investors are also optimistic about advancements in trade negotiations, particularly before President Donald Trump’s impending tariff deadline on August 1. US Commerce Secretary Howard Lutnick remains confident that an agreement can be secured with the European Union.

Reports have suggested that there is progress toward arranging a meeting between President Trump and Chinese leader Xi Jinping, potentially occurring no earlier than October.

In Japan, the ruling coalition lost its majority in the upper house during Sunday’s elections, further diminishing Prime Minister Shigeru Ishiba’s authority as the tariff deadline approaches.

Ishiba has stated his intention to remain in office, which, along with a market holiday, moderated the market’s response. The yen strengthened by 0.4%, trading at 148.29 against the dollar.

This information reflects an intra-day market update.