Bullish momentum persisted at the Pakistan Stock Exchange (PSX) as the benchmark KSE-100 Index crossed the 66,500 level, closing at a new record high with a jump of nearly 1% on Wednesday.
At close, the KSE-100 Index settled at 66,547.78, an increase of 641.51 points or 0.97%.
The level surpassed its previous highest level of 66,427 points achieved on December 12, 2023. The KSE-100 had earlier found the 66,000 level a major resistance point.
Buying was witnessed among index-heavy sectors including cement, commercial banks, oil and gas exploration companies and refinery.
Experts said improved sentiment among investors drove the buying spree.
“Good progress on privatisation and likely new deal with International Monetary Fund (IMF) helping KSE 100 reach its all time high closing of 66,427,” said Mohammed Sohail, CEO Topline Securities, in a note.
“Moreover, foreign fund buying as shown by NCCPL data also supports share prices, which are trading at an attractive PE of less than 4,” he added.
In a separate development, the Board of Directors (BoD) of Pakistan International Airlines Corporation Limited (PIACL) took a significant step towards the privatisation of the national carrier by approving a Scheme of Arrangement (SoA) in its 83rd meeting.
This decision, aimed at restructuring the airline, was sanctioned along with its ancillary modalities and is set to be filed with the Securities and Exchange Commission of Pakistan (SECP).
At close on Tuesday, PSX had witnessed another bullish session as its benchmark KSE-100 Index gained 381 points to settle near 66,000.
Globally, Japanese stocks advanced amid a weakening yen on Wednesday while Chinese stocks slipped, with overall regional trading lacking strong direction in a holiday-shortened week that ends with a key reading of US inflation.
Japan’s Nikkei gained 0.93% to 40,775.62 as of 0155 GMT, heading back towards the all-time high of 41,087.75 reached last Friday. Hong Kong’s Hang Seng and mainland Chinese blue chips each lost about 0.4%, reversing gains from the previous session.
Overall, MSCI’s broadest index of Asia-Pacific shares advanced 0.11%, but that flipped to a 0.22% decline if Japanese shares were removed.
Meanwhile, the Pakistani rupee recorded a marginal improvement against the US dollar, appreciating a marginal 0.02% in the inter-bank market on Wednesday. At close, the local unit settled at 278.04, up by Re0.06 against the greenback, as per the State Bank of Pakistan.
Volume on the all-share index increased to 354.6 million from 303.71 million a session ago.
However, the value of shares declined to Rs11.88 billion from Rs12.07 billion in the previous session.
Lotte Chemical was the volume leader with 42.8 million shares, followed by Telecard Limited with 29.2 million shares, and P.T.C.L. with 24.7 million shares.
Shares of 346 companies were traded on Wednesday, of which 179 registered an increase, 152 recorded a fall, while 15 remained unchanged.