Record-breaking bullish streak: PSX surpasses 54,000 mark for the first time in history

The Pakistan Stock Exchange (PSX) continued its bullish momentum, with the KSE-100 Index surpassing the historic 54,000 level during intra-day trading on Tuesday.

At 11:25 am, the benchmark index stood at 54,247.74, marking a 0.72 per cent increase of 387.38 points.

On the preceding day, the KSE-100 index gained 737 points, closing at 53,860.37, marking a record-high closing level.

On Tuesday, various sectors demonstrated mixed performance. Commercial banks, oil and gas exploration companies, and OMCs traded positively, while automobile assemblers, chemical, and fertiliser sectors faced losses.

Financial experts attribute this bullish trend to improved macroeconomic indicators. Notably, Pakistan’s current account deficit shrank to $8 million in September 2023, compared to $360 million in the same month in 2022, due to reduced imports.

Additionally, the Consumer Price Index (CPI)-based inflation in Pakistan decreased to 26.9 per cent in October.

Market sentiment is optimistic as the International Monetary Fund (IMF) is currently reviewing the stand-by arrangement (SBA), which is expected to result in additional financial inflows into the country.

According to experts, KSE-100 shows no signs of slowing down, with expectations of a successful IMF review and potential monetary easing in upcoming Monetary Policy Committee (MPC) meetings.

While occasional profit-taking may occur, a significant increase in valuation is anticipated over the next 12 months.