The Pakistan Stock Exchange (PSX) witnessed a bullish rally on Tuesday, with the KSE-100 index soaring 1,002 points intraday before closing at 117,001, up 801 points (0.69%).
Topline Securities in its market report said that the surge was fuelled by positive economic developments, particularly Pakistan’s progress with the International Monetary Fund (IMF).
According to news reports, the IMF has allowed Pakistan to borrow Rs1.25 trillion ($4.5 billion) from domestic banks to manage the Rs2.4 trillion circular debt in the power sector without adding to public debt.
Investor sentiment received another boost as the IMF shared the draft of the Memorandum of Economic and Financial Policies (MEFP) with Pakistani authorities, signalling progress toward a staff-level agreement under the $7 billion Extended Fund Facility (EFF).
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This development reinforced hopes for continued financial stability.
Key contributors to the index’s gains were FFC, ENGROH, HUBC, TRG, and LUCK, which collectively added 541 points.
Market activity remained strong, with 446 million shares changing hands and a total turnover of Rs29.1 billion. PIBTL led the volume charts, recording 59 million shares traded.
Market analyst Ahsan Mehanti of Arif Habib Corp attributed the bullish momentum to IMF-led optimism, speculation over an additional $1 billion under the CRF programme, and strong global equity markets.
