Karachi, June 13, 2024 – In a historic trading session, Pakistan stocks surged by a record-breaking 3,411 points on Thursday, propelling the benchmark KSE-100 Index of the Pakistan Stock Exchange (PSX) to an all-time high of 76,208 points.
This unprecedented gain marks the largest single-day increase in the index’s history.
The KSE-100 Index had closed at 72,797 points the previous day. Analysts at Topline Securities attributed this remarkable surge to the positive market reaction following the announcement of the 2024-25 budget, which alleviated uncertainties regarding potential hikes in capital gains or dividend taxes.
“Following the budget announcement, Pakistan stocks experienced their most significant surge, ending speculations about increases in capital gains or dividend taxes,” analysts noted. The relief and clarity provided by the budget spurred investor confidence, driving the market to new heights.
The index of Pakistan stocks climbed 3,411 points, or 4.69%, reaching a record high of 76,208. During the trading day, the index maintained a positive trajectory, peaking at an intraday high of 76,338.15 points and hitting a low of 73,329.80 points. This broad-based rally was fueled by significant contributions from key sectors such as power, banking, exploration and production (E&P), and fertilizers. Major companies including HUBC, MCB, UBL, OGDC, and FFC collectively added 1,067 points to the index.
Trading activity at the Pakistan stocks was robust throughout the day, with over 633 million shares changing hands, totaling a value of Rs30.6 billion. K-Electric Limited (KEL) led the volumes chart, with over 66 million shares traded, highlighting the strong investor interest.
“This is a remarkable day for Pakistan’s stock market,” said a senior trader. “The budget’s clarity has significantly boosted investor sentiment, and today’s trading volumes and values reflect a strong market response.”
Market analysts remain optimistic about the future, suggesting that the positive momentum could continue as investors digest the details of the budget and its implications for various sectors.
“The record-breaking surge is a testament to the market’s resilience and the positive impact of the budget announcement,” remarked a financial analyst. “If the government can maintain stability and implement the budget effectively, we could see continued growth in the stock market.”
As Pakistan stocks reach new heights, stakeholders are hopeful that the momentum will sustain, bolstered by continued investor confidence and favorable economic policies. The historic gain of 3,411 points not only marks a significant milestone for the PSX but also sets a positive tone for the future of Pakistan’s financial markets.
