A powerful rebound hit the Pakistan Stock Exchange (PSX) on Tuesday as the benchmark KSE-100 Index closed at a record 139,419.61 points, climbing 1,202 points (0.87%) from the previous session.
Intraday, the index spiked to 139,901 points, driven by renewed optimism over economic reforms, IMF inflows, and hopes of lower interest rates.
The rally followed a high-level meeting between top business leaders and Field Marshal Asim Munir, where military backing for Pakistan’s economic recovery was reaffirmed. The delegation highlighted improved macroeconomic indicators and urged for policy rate cuts and business-friendly measures.
Adding to investor confidence, Pakistan recorded a $328 million surplus in June 2025, capping FY25 with a $2.1 billion current account surplus—the first in over a decade. This turnaround was fueled by record remittances, reduced imports, and IMF support.
Finance Minister Muhammad Aurangzeb also strengthened economic diplomacy, holding talks with US officials on trade and investment, calling the discussions a potential “game changer.”
Market analysts expect continued bullish momentum, citing anticipated monetary easing, privatisation moves, and stronger earnings season as key drivers.
Meanwhile, the auto sector showed resilience, with financing rising 20% year-on-year to Rs277 billion, reflecting improving consumer confidence.