KARACHI( The COW News Digital)The Pakistan Stock Exchange (PSX) witnessed a historic surge on the first trading day of the new fiscal year 2025–26, as investor confidence sparked a strong rally that pushed the KSE-100 index to record-breaking levels.
As trading began on Tuesday morning, the KSE-100 index opened with a sharp 757-point increase, crossing the 126,000 mark to hit 126,384 points. This early surge was only the beginning. Continued investor optimism and aggressive buying saw the index gain an additional 1,647 points during the session, ultimately closing at a record high of 128,031 points — a net increase of 2,404 points for the day.
This bullish trend follows positive developments in the economic and financial landscape. The major boost came from China’s decision to roll over $3.4 billion in loans to Pakistan. This move helped the country meet its foreign reserve targets, closing the last fiscal year with over $14 billion in official reserves — one of the key requirements under the International Monetary Fund (IMF) program.
Additionally, the prospect of new trade agreements with the United States has further bolstered market sentiment, suggesting enhanced economic cooperation and increased foreign investment potential in the near future.
The PSX had already shown signs of robust growth on Monday, the last trading day of the previous fiscal year, when the index surpassed the historic 125,000-point level for the first time. The back-to-back rallies reflect growing investor confidence, driven by macroeconomic stability signals and expected policy continuity.
Financial analysts attributed the market’s performance to a combination of stable economic indicators, improved investor sentiment, and anticipation of continued reforms. “This is not just a technical rally; it reflects real optimism in Pakistan’s macroeconomic direction,” said one senior market analyst.
With consistent performance and continued support from international partners, the PSX may remain bullish in the coming weeks — provided that political and economic reforms stay on track.
