The stock market witnessed a robust rally on Monday as the benchmark KSE-100 index of Pakistan Stock Exchange (PSX) surged by 828 points, closing at 38,412 points, up from the previous close of 37,584 points.
The sharp rise came as a majority of scrips traded in the green, with several hitting their upper circuits, signaling widespread investor optimism.
Analysts at Arif Habib Limited reported that the market opened on a positive note, with Sui Southern Gas Company (SSGC) hitting its upper circuit, driving the index up by 326 points early in the session. The market’s momentum continued, with the index registering an intraday high of 868 points before closing slightly lower but maintaining a strong upward trend.
The day’s trading saw significant activity across multiple sectors, particularly in banking, cement, fertilizer, and exploration & production (E&P). The banking sector led the market volumes with 80.4 million shares traded, followed by the cement sector with 61.8 million shares, and the power generation sector with 45.9 million shares.
The most actively traded stocks included Bank of Punjab (BOP) with 37.6 million shares, K-Electric (KEL) with 28.4 million shares, and Fauji Cement Company Limited (FCCL) with 18.7 million shares. These three stocks collectively accounted for a significant portion of the day’s trading volumes.
Sector-wise, banks contributed 164 points to the index’s overall performance, followed by fertilizer with 131 points, power generation with 114 points, E&P with 87 points, and cement with 77 points. The broad-based buying activity reflected renewed investor confidence across key sectors of the economy.
Total market volumes increased by 26.2% day-on-day, rising from 369.1 million shares to 465.8 million shares. The average traded value also saw a significant jump, increasing by 61.7% to $99.7 million, compared to $61.7 million in the previous session.
Prominent stocks driving the market’s upward movement included Engro Corporation, which added 100 points, Hub Power Company (HUBC) with 89 points, United Bank Limited (UBL) with 62 points, Lucky Cement (LUCK) with 51 points, and Pakistan State Oil (PSO) with 41 points.
Conversely, a few stocks saw minor negative contributions to the index, including Nestlé Pakistan (-15 points), Engro Fertilizers (EFERT) (-8 points), Dawood Hercules Corporation (DAWH) (-6 points), Habib Bank Limited (HBL) (-6 points), and Sui Northern Gas Pipelines (SNGP) (-2 points).
Overall, the market’s positive momentum indicates growing investor confidence, driven by strong corporate earnings reports and a favorable outlook in key sectors.