The Pakistan Stock Exchange (PSX) ended the week on a higher note, with the benchmark KSE-100 index rising 1,435.34 points or 1.26%, ending Friday’s session at 115,272.08. The index witnessed an intraday high of 115,356.12 and a low of 113,571.95, reflecting increased investor activity amid political and economic developments.
The market started cautiously as participants closely monitored the political uncertainty, particularly regarding the conviction of PTI founder Imran Khan and his wife Bushra Bibi, in the £190 million Qadir Fund case. But optimism increased after the announcement of the political ruling, which was considered a step towards stabilizing the political climate. This, coupled with Pakistan’s strong current account surplus of $582 million in December 2024 – an increase of 109% compared to the previous year – contributed to positive sentiment.
The sectoral performance confirmed investor confidence, with significant gains in commercial banks (+353.51 points), oil and gas exploration companies (+233.22 points), and power generation (+194.01 points). Major contributors to the index’s rise include UBL (+199.36 points), HUBC (+179.75 points), and LUCK (+83.05 points). Conversely, the sugar and allied industries, composite textiles, and automobile parts and accessories sectors witnessed marginal declines.
Trading volume on the Kuwait Stock Exchange 100 index reached 212.26 million shares, while the broader all-share index witnessed a total of 549.58 million shares traded, reflecting a significant increase from the previous session. The value traded rose to 35.93 billion rupees, compared to 24.98 billion rupees the previous day, indicating higher market activity.
WorldCall Telecom topped the trading volume with 101.93 million shares, followed by Hub Power Co with 36.89 million shares, then Hascol Petroleum with 32.50 million shares. Notable gainers included Pakistan International Container Terminal (+6.25%), Searle Corporation (+6.09%), and Pak Suzuki Motors (+4.86%). On the downside, JDW Sugar Factories (-3.91%), Mehran Sugar Factories (-3.78%), and Habib Glass Factories (-1.43%) recorded declines.
Economic indicators also played a crucial role in boosting market sentiment. Pakistan’s real effective exchange rate improved to 103.7 in December, up from 103.02 in November, indicating increased competitiveness of the currency. Net foreign direct investment rose by 20% in the first half of fiscal year 2025, reaching $1.329 billion, boosting confidence in the economy’s prospects.