The Pakistan Stock Exchange (PSX) soared to a new all-time high on Tuesday, gaining over 650 points as investors reacted positively to strong corporate earnings and speculated about a potential interest rate cut by the State Bank of Pakistan (SBP) slated for next week.

The trading session began with a decline, with the KSE-100 index dropping to an intra-day low of 90,449.41 points. However, the market quickly reversed its fortune and gained momentum.

Investor interest, particularly from foreign buyers in banking and fertilizer stocks, along with institutional purchases amid favorable lending conditions, propelled the market beyond the 91,000 mark, with the index peaking at 91,358.15 points during the day.

Though the index ultimately closed below 91,000, it still recorded substantial gains overall.

Ahsan Mehanti, Managing Director of Arif Habib Corp, noted, “Stocks reached a new all-time high as investors weighed robust financial results and speculated about an imminent SBP policy rate reduction.” He highlighted the role of foreign interest in blue-chip banking and fertilizer stocks, along with institutional buying as key drivers of the bullish trend at the PSX.

At the end of the trading day, the KSE-100 index rose by 668.57 points, or 0.74%, closing at 90,864.09 points.

According to Topline Securities, the PSX maintained its upward trajectory, with the KSE-100 reaching an intra-day high of 91,358 points, signaling continued bullish momentum. The firm attributed this positive performance to strong corporate earnings that surpassed expectations and bolstered investor confidence, supported further by institutional buying.

Key contributors to the index included Fauji Fertiliser, Systems Limited, Cherat Cement, Hub Power, and GlaxoSmithKline Pakistan, which collectively added 515 points.

Arif Habib Limited reported that the PSX hit the 91,000 mark during intra-day trading, closing with a gain of 0.74%. Out of the 440 companies traded, 171 saw their shares rise, while 219 declined, and 50 remained unchanged. Fauji Fertiliser (+3.15%), Systems Limited (+4.89%), and Cherat Cement (+9.25%) were among the top gainers, while Engro Fertilisers (-2.31%), Meezan Bank (-2.3%), and Mari Petroleum (-1.66%) were the largest laggards.

Additionally, Pakistan Petroleum announced its first quarter FY25 earnings per share of Rs8.67, reflecting a 20% year-on-year decline but a 32% increase from the previous quarter.

JS Global analyst Mohammed Waqar Iqbal remarked on the bourse’s impressive performance, breaking the intra-day resistance at 91,000 with strong trading volumes. He recommended a buy-on-dips strategy, particularly in the cement, exploration and production, and technology sectors.

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Overall, trading volumes rose to 602.8 million shares, up from 567.3 million the previous day, with a total trading value of Rs28.2 billion. WorldCall Telecom led in trading volume with 41.4 million shares, closing at Rs1.27, while Silkbank and Pace (Pak) Ltd followed closely. Meanwhile, foreign investors sold shares worth Rs1.4 billion, as reported by the NCCPL.