ISLAMABAD: The Pakistan Stock Exchange (PSX) continued its upward momentum on Monday as the benchmark KSE-100 Index crossed the historic 190,000-point level for the first time, driven by investor optimism ahead of the State Bank of Pakistan’s Monetary Policy Committee (MPC) meeting and improving global sentiment.
During intra-day trading, the KSE-100 Index surged by as much as 1,865.91 points to reach 191,032.73, while it touched a low of 189,788.67, compared to the previous close of 189,166.82.
Market participants remained positive amid reports of easing tensions between the United States and Iran, while expectations of a 50-basis-point cut in the policy rate further supported buying activity.
Huzaifa Riaz, Director at Mayari Securities, said the market opened on a strong note following signs of stabilisation on the US-Iran front, adding that investors were closely watching the MPC decision, with consensus pointing towards a rate cut.
Analysts noted that lower yields, improving external indicators, and political stability were sustaining risk appetite in equities. They added that confirmation of monetary easing could extend the rally, though some profit-taking near record levels was expected.
Brokerage houses projected the KSE-100 Index to reach 263,800 points by December 2026, supported by prospects of increased foreign investment and strengthening economic fundamentals.
Recent economic indicators showed mixed but improving trends, with the current account posting a $244 million deficit in December 2025, while foreign direct investment recorded a net outflow of $135 million.
Power generation increased by 8.8 percent year-on-year, IT exports rose 26 percent to a record $437 million, and the State Bank’s foreign exchange reserves climbed to $16.1 billion. Meanwhile, the Pakistani rupee appreciated slightly to 279.86 against the US dollar.
Over the previous week, the benchmark index gained 4,068 points, or 2.2 percent, with average daily trading volumes rising 8.7 percent to 1.3 billion shares.