The Pakistan Stock Exchange (PSX) surged on Thursday following the announcement of a landmark trade agreement between Pakistan and the United States, which includes joint development of Pakistan’s oil reserves. The news triggered a wave of investor optimism, sending the benchmark KSE-100 index soaring by 1,563.78 points (1.13%) to 139,976.03 during intra-day trading. The index touched an intraday high of 140,215.22 and a low of 139,369.06.
Trading volume reached 86.39 million shares with a total market value of Rs12.22 billion, reflecting renewed market confidence and sustained buying throughout the session.
Market sentiment shifted dramatically after the trade deal’s announcement, reversing the caution seen earlier in the week. On Wednesday, investors had remained on the sidelines ahead of the State Bank of Pakistan’s (SBP) policy rate decision. The KSE-100 index had closed with a modest gain of 447.43 points, finishing at 138,412.25 after late-session buying.
Read: PSX Closes Higher Despite Mixed Session as SBP Holds Policy Rate Steady
Among the day’s notable performers, Systems Limited surged after finalising an acquisition of SAA services from British American Tobacco, positioning itself for further growth. Analysts at Arif Habib Limited (AHL) noted that while 41 shares rose and 59 declined, Systems Ltd (+6.9%), United Bank (+2.08%), and Habib Bank (+3.21%) contributed most to the index’s upward movement. Conversely, Fauji Fertiliser (-0.7%), Lucky Cement (-1.51%), and Engro Holdings (-0.94%) faced downward pressure.
On the corporate front, Engro Fertilisers announced first-half 2025 earnings per share (EPS) of Rs6.34, up 10% from the previous year, and declared a dividend of Rs6.50 per share, in line with market expectations.
Overall, the successful conclusion of a high-profile trade agreement with the US, coupled with a bullish market tone and selected stock rallies, has ushered in renewed optimism in the Pakistani equities market. This positive momentum follows a mixed session earlier in the week, setting the stage for continued investor interest as policymakers and companies work towards economic growth and market stability.