PSX KSE-100 Index Surges Past 44,000 Mark

The Pakistan Stock Exchange (PSX) witnessed a strong bullish trend as the benchmark KSE-100 Index exceeded the 44,000 threshold during Wednesday’s early trading hours.

At approximately 10:35 am, the KSE-100 Index was recorded at 44,073.47, reflecting a gain of 1,036.31 points, which translates to a 0.72% increase.

Notable buying activity was evident across key sectors, including automobile manufacturers, commercial banking, oil and gas exploration, oil marketing companies, and the refinery industry. Major stocks like ARL, OGDC, POL, SNGPL, SSGC, MCB, MEBL, and UBL all showed positive movement.

Market analysts attribute the present upswing to positive market sentiment, favorable macroeconomic indicators, and a resurgence in investor confidence.

On the previous day, the PSX continued its record-breaking surge, with the KSE-100 Index reaching a new high. The benchmark index increased by 985 points, or 0.69%, ultimately closing at a historic 43,037.17.

Globally, Asian markets experienced a decline, mirroring trends observed on Wall Street. Weaker data from the United States underscored the detrimental effects of tariffs on economic activity and corporate profits, while the dollar faced pressure due to declining bond yields.

Data released on Tuesday revealed an unexpected stagnation in the US services sector for July.

Furthermore, employment figures weakened, and input costs saw their most significant rise in nearly three years, highlighting the impact of the current administration’s tariff policies.

Second-quarter earnings reports also revealed the pressures resulting from trade disputes. Yum Brands, the parent company of Taco Bell, failed to meet expectations due to the impact of trade duties on consumer spending. Caterpillar also cautioned that tariffs could cost the company up to $1.5 billion this year.

MSCI’s broadest index of Asia-Pacific stocks, excluding Japan, decreased by 0.2%, while Japan’s Nikkei index showed a slight gain of 0.2%.

Chinese blue-chip stocks and Hong Kong’s Hang Seng index remained relatively stable.

Nasdaq futures decreased by 0.3%, and S&P 500 futures fell by 0.1%.

The US government is expected to announce tariff impositions on semiconductors and chips soon. A “small tariff” on pharmaceutical imports will initially be applied before a substantial increase occurs within one or two years. There is an anticipation of a trade agreement with China, potentially leading to a meeting between leaders before the year concludes. Further tariff increases on goods from another country are possible due to oil purchases from a specific region.

This is an update on intraday market activity.