The Pakistan Stock Exchange (PSX) continued its upward trajectory on Friday, with the benchmark KSE-100 Index closing strongly in positive territory amid improving investor confidence driven by optimism over Pakistan-facilitated talks between the United States and Iran.
The KSE-100 Index settled at 167,191 points, registering a gain of 1,674 points, or 1.01% on a day-on-day basis. The market maintained a strong trading range, hitting an intraday high of 168,290 points and a low of 166,221 points, reflecting sustained bullish momentum despite intermittent profit-taking.
Banking stocks led the rally, contributing 552 points to the index, with major players such as MCB Bank, Habib Bank Limited, United Bank Limited and Bank of Punjab supporting the upward trend.
The cement sector also played a significant role, adding 339 points, followed by contributions from the technology sector (137 points) and automobile sector (94 points), indicating broad-based participation across key segments of the economy.
Volumes surge amid cautious optimism
Trading activity remained robust, with total volume in the all-share index reaching 853 million shares, while the total traded value stood at Rs46.34 billion, signaling heightened investor engagement.
Among volume leaders, the Bank of Punjab topped the list with 61 million shares traded, followed by WorldCall Telecom and Sui Southern Gas Company with 57 million shares each. Fauji Foods and K-Electric also recorded notable activity.
Despite the overall positive momentum, some stocks weighed on the index, including Meezan Bank Limited, Service Industries Limited, Engro Holdings, Interloop Limited and K-Electric.
Market analysts attributed the rally largely to sentiment-driven factors, supported by easing geopolitical tensions and expectations of a favorable outcome from ongoing diplomatic efforts. However, they cautioned that the market’s direction in the coming sessions will remain closely tied to geopolitical developments, particularly the outcome of Pakistan-mediated negotiations.
Until clearer signals emerge, experts recommend a cautious and selective investment approach, as short-term volatility may persist.
