Karachi, September 8, 2025 – The benchmark KSE-100 index of the Pakistan Stock Exchange (PSX) shrugged off concerns about the devastating floods and advanced to record-breaking levels, closing above the 156,000 mark.
By the end of Monday’s session, the KSE-100 index had surged by 1,810 points to settle at 156,087 compared to last Friday’s closing of 154,277.
Analysts noted that the bullish sentiment came despite clear recognition of the floods’ economic impact. A research report issued by Arif Habib Limited estimated the financial cost of the 2025 floods at around PKR 409 billion (USD 1.4 billion), equivalent to 0.33 percent of GDP. Agriculture bore the brunt of the disaster, absorbing nearly three-fourths of the total damages at PKR 302 billion (USD 1.0 billion), or about 0.24 percent of GDP. The report underlined how the sector’s exposure to climate shocks endangers food security and rural livelihoods.
The transport and communication sectors also sustained heavy losses, valued at PKR 97.6 billion (USD 333 million), or 0.08 percent of GDP. Beyond financial damages, the disruption of roads, bridges, and communication lines has slowed relief operations and delayed the flow of goods, adding to wider economic pressures. Housing-related destruction was estimated at PKR 8.95 billion (USD 31 million), a relatively smaller figure but one with significant social consequences as it directly impacts families. Livestock losses stood at PKR 0.5 billion (USD 2 million). Analysts cautioned that while the initial assessment pegs overall losses at 0.33 percent of GDP, the figure is likely to rise as indirect effects become clearer.
Despite these sobering realities, investors fueled a powerful rally at the PSX. According to Topline Securities, the market opened the week on a sharply bullish note, with the benchmark index hitting an intraday high of 156,199 points before closing at 156,087, reflecting a 1,810-point or 1.17 percent gain.
Key market movers included ENGROH, HUBC, LUCK, MARI, and SNGP, which together contributed 1,144 points to the index’s strength. ENGROH was the standout performer of the day, as a fresh research note by Topline Securities titled “Earnings Revised Up; Buy Stance Maintained” sparked buying activity and added 405 points to the index on its own.
Trading activity remained vibrant, with volumes climbing to 1,123 million shares and the traded value hitting PKR 62.2 billion. K-Electric (KEL) dominated the volume chart, recording 93.7 million shares. Analysts said strong corporate earnings, improved institutional liquidity, and robust investor confidence have driven the KSE-100 to uncharted territory, overshadowing near-term concerns over flood damages.