Karachi, September 18, 2024 – The Pakistan Stock Exchange (PSX) experienced a strong bullish rally on Wednesday, with the benchmark KSE-100 index surging by 970 points. The index closed at 80,461 points, significantly higher than the previous closing of 79,491 points on September 16, 2024.
According to analysts at Topline Securities Limited, the KSE-100 index opened on a positive note and reached an intraday high of 1,096 points before settling at a 970-point increase, marking a 1.22% gain. The broad-based buying was driven by investor confidence in blue-chip stocks, which saw significant demand throughout the session.
Major contributors to the index’s rise included heavyweight companies such as Mari Petroleum Company Limited (MARI), Engro Fertilizers (EFERT), United Bank Limited (UBL), Meezan Bank Limited (MEBL), and Fauji Fertilizer Company (FFC). These stocks collectively contributed 682 points to the overall index surge, underscoring strong performance across key sectors.
The cement sector also attracted attention, with Pioneer Cement Limited (PIOC) announcing its financial results for the fiscal year 2024. The company reported earnings per share (EPS) of Rs 22.79, along with a cash dividend of Rs 10 per share, further boosting investor sentiment.
The trading volume for the day exceeded 397.9 million shares, with a total turnover of Rs 15.87 billion. Worldcall Telecom Limited (WTL) led the trading volume, with over 32.2 million shares changing hands, reflecting heightened activity in the market.
Market participants attributed the bullish momentum to a combination of positive economic indicators and optimism surrounding Pakistan’s potential loan approval from the International Monetary Fund (IMF), which is scheduled to be reviewed next week. The anticipation of a $7 billion bailout package has bolstered investor confidence, contributing to the rally in the equity market.
Additionally, analysts noted that strong corporate earnings, particularly in the financial and cement sectors, coupled with improving liquidity, have reinforced the market’s upward trajectory. The easing of international oil prices and improving foreign exchange reserves have also played a role in sustaining investor interest in Pakistan’s equities.
Despite the day’s positive performance, market experts cautioned that external risks, including fluctuations in global commodity prices and geopolitical tensions, could introduce volatility in the coming weeks. Nevertheless, with continued optimism surrounding economic developments, the PSX is likely to maintain its bullish momentum in the short term.
The KSE-100 index’s surge reflects growing confidence in the country’s economic recovery and the strength of its key sectors, particularly energy, banking, and cement.
