PSX soars to all-time high as it crosses 69,000 mark

Bulls gripped the Pakistan Stock Exchange (PSX) on Monday as the benchmark index achieved a new milestone by crossing the 69,000 mark.

The KSE-100 index gained 1,203.20 points or 1.76% to close at 69,619.98 points, up from the previous close of 68,416.78 points at the close of the day's trading.

Arif Habib Limited, a brokerage house, noted in a post on X that the KSE-100 index crossed 69,000 and is trading at an all-time high.

Samiullah Tariq, the head of research at Pak-Kuwait Investment Company, attributed the gain to the stability on the economic front, hopes of a new International Monetary Fund (IMF) deal, the privatisation of the Pakistan International Airlines (PIA).

Khurram Schehzad, CEO of the Alpha Beta Core financial advisory firm, said that investors gained confidence due to "resuming the privatisation process with those making losses as a priority so the government fiscals can get better".

"[This is] followed by IMF's last tranche to be received in the coming week to support externals." Stocks concluded the outgoing week on a high note, with expectations set for a positive performance in the upcoming short trading week, which will span only two days before the extended Eid holidays, traders told The News.

“In the upcoming week, we expect the market to remain positive,” said brokerage Arif Habib Ltd. “Developments related to SOEs (state-owned enterprises) privatisation or EFF (Extended Fund Facility) program with IMF will further improve market sentiment.”

The market closed at 68,417 points, increasing by 1,412 points or 2.11% week-on-week.

Moreover, the government's privatisation plans especially its initiative to sell off some State-Owned Enterprises (SOEs) fed the market with optimism as the consensus is that these companies would turn around in terms of profitability and efficiency under private ownership.

It must be noted that the Privatisation Commission on Tuesday opened the door for selling off Pakistan International Airlines (PIA), inviting expressions of interest (EOIs) from potential buyers.

“Confidence [is] further improving after good progress on privatisation along with foreign portfolio investment in government papers,” said Mohammed Sohail, CEO of brokerage house Topline Securities, in a note during intra-day trading.

“Cements stocks are (also) in limelight amid expectations of rate cut in coming months,” he said.