KEY POINTS
- KSE-100 Index settles at 148,196.42
- PSX rises to an intraday high of 148,395.71
- Moody’s raises Pakistan’s rating by one notch, from Caa2 to Caa1
ISLAMABAD: The Pakistan Stock Exchange (PSX) surged on Monday, gaining more than 1,700 points to close at a record 148,196.42, after a sovereign credit rating upgrade by Moody’s boosted investor confidence.
The trading session began on a positive note, with the benchmark KSE-100 Index climbing to an intra-day high of 148,395.71.
By the close of the market, the index had gained 1,704.79, an increase of 1.16%.
Buying was observed in key sectors including cement, commercial banks, fertiliser, oil and gas exploration companies, OMCs, and power generation.
Index-heavy stocks, including HUBCO, SNGPL, SSGC, MARI, OGDC, PPL, POL, MEBL, and UBL, traded in the green.
Investor sentiment remained upbeat, supported by Moody’s upgrade of Pakistan’s sovereign credit rating and a series of strong corporate earnings that continued to lift market confidence.
Moody’s raised Pakistan’s rating by one notch, from Caa2 to Caa1, and shifted the outlook to stable.
The upgrade was attributed to strengthening external buffers, fiscal consolidation efforts, and steady progress under the IMF programme—factors that significantly bolstered investor morale.
On Monday, a total of 610,314,508 shares were traded as compared to 473,601,407 shares on the last working day, whereas the price of shares stood at PKR 39.173 billion against PKR 32.882 billion on the previous trading day.
As many as 487 companies transacted their shares in the stock market, 283 of them recorded gains and 175 met losses, whereas the share price of 29 companies remained unchanged.
During the previous week, the PSX climbed to an all-time intraday high of 147,534 points before closing at 146,492 points, up 1,109 points or 0.8% on a week-on-week basis.
Global trend
Asian stock markets edged higher on Monday, setting the tone for what could be a pivotal week for US interest rate policy, while oil prices dipped as concerns over Russian supply disruptions eased slightly.
A broad risk-on sentiment lifted Japanese indices to record highs, while Chinese blue chips climbed to their highest levels in ten months.
Geopolitical developments also drew attention, as US President Donald Trump appeared to move closer to Moscow’s stance on pursuing a peace deal in Ukraine—rather than a ceasefire first—following a meeting with Russian President Vladimir Putin in Alaska on Friday.
Trump is expected to meet Ukrainian President Volodymyr Zelensky and several European leaders later on Monday, though concrete proposals remain unclear.
Market expectations currently suggest an 85% probability of a 25-basis-point rate cut at the Fed’s September 17 meeting, with further easing anticipated by year-end.
This outlook for lower global borrowing costs has continued to support equities, with Japan’s Nikkei gaining 0.9% to reach a new all-time high.
MSCI’s broadest index of Asia-Pacific shares outside Japan was marginally lower after touching a four-year high last week.
Meanwhile, Chinese blue chips rose 1.0%, extending their quarterly gains to nearly 8%.
