The Pakistan Stock Exchange (PSX) witnessed a massive 2330-point rally, allowing the benchmark index of the exchange, KSE-100 index, to cross 125,000 points, setting a new all-time high. According to reports, shares climbed rapidly on Friday as investors rearranged their portfolios before the start of fiscal year (FY) 2025-26.

 

The market witnessed a surge because of large foreign inflows, improved investor sentiment and strong institutional buying. It merits a mention that Pakistan reportedly managed to get $3.1 billion in commercial loans along with $500 million in multilateral funding, which likely improved investor sentiment.

 

These developments caused the index to open in the green in the early hours of the day, with the upwards momentum continuing until closing hours. The KSE-100 index reached an intraday high of 125,285.05 points. The index peaked at approximately 2:36 PM, after which the market closed at a lower, yet respectable, 124,379.06 points.

 

For reference, the KSE-100 closed at 122,046.46 points on Thursday, after which the index recorded a growth of 1.91 percent during trading hours on Friday, leading to a 2,332.60 point rise. The market displayed a slowdown around 9:15 AM as the KSE-100 hit its intraday trading low of 122,222.69 points.

 

All 17 indexes listed on the exchange remained in the green with the All-share index (ALLSHR) growing by 1.80 percent, which translates into a 1,376.60 point rise in the index. Unlike the KSE-100, which tracks the performance of the 100 largest and most liquid companies, the ALLSHR index records the performance of all publicly listed companies on the PSX.

 

A number of companies witnessed a rise in share prices, with First Equity Modaraba (FEM) and Intermarket Securities Limited (IMS) winning big, to the tune of growth rates that sat at 21.65 percent (FEM) and 15.63 percent (IMS). 

 

However, not every publicly listed stock witnessed an improvement, as many companies witnessed sharp declines. Of these declining companies, the one that fared the worst during intraday trading was B.F. Modaraba (BFMOD), which posted a 9.92 percent decline in its position.

 

Analysts predict that the 122,000 point level will emerge as a key support level while the 127,000 point level could be the resistance level during the upcoming trading week. Recent reports have outlined the trend for the period following the coming week, suggesting that the KSE-100 index could cross 165,000 points by December 2025, owing to a drop in interest rates and an improved state of the wider economy.