The Pakistan Stock Exchange (PSX) achieved a historic milestone, with the KSE-100 index crossing 154,000 for the first time. The index surged to an intraday high of 154,511.31, gaining 1,845.59 points, or 1.21%, from the previous close of 152,665.72. The day’s low was 153,129.78, still up 464.06 points, or 0.3%. Strong investor confidence, driven by steady cash inflows and gains in key sectors, fueled the rally.
The previous day, the KSE-100 rose by 463.85 points, or 0.3%, closing at 152,665.72, with a high of 153,411.06 and a low of 152,264.97.
The State Bank of Pakistan (SBP) reported on September 4, 2025, that its foreign exchange reserves grew by $28 million to $14.302 billion for the week ending August 29. Total national reserves reached $19.66 billion, with commercial banks’ reserves up $14 million to $5.357 billion. This marks the fourth straight week of reserve increases, covering 2.62 months of imports.
Read: Pakistan Stock Exchange Hits Record High with KSE-100 at 152,201
Strong remittances and SBP’s foreign exchange purchases have driven this growth, though the bank did not specify further reasons. The improved external account has bolstered market sentiment.
On September 3, 2025, Treasury bill (T-bill) yields remained steady, reflecting investor caution about interest rate changes amid inflation concerns from recent flash floods. The government raised Rs491 billion through a T-bill auction, surpassing its Rs400 billion target but falling short of Rs824 billion in maturities. The one-month T-bill yield dropped 15 basis points to 10.75%, while three-month, six-month, and 12-month yields held at 10.85% and 11%. A separate auction raised Rs36.7 billion via floating-rate Pakistan Investment Bonds.
The PSX’s record high and rising reserves signal growing economic stability in Pakistan. However, inflation risks from floods may influence future market trends.
