KARACHI: The Pakistan Stock Exchange (PSX) witnessed a historic rally on Monday, as the benchmark KSE-100 Index surged by over 10,000 points—its largest single-day gain ever—driven by a ceasefire between India and Pakistan and the International Monetary Fund’s (IMF) approval of a vital loan tranche.
The index soared to an intraday high of 117,104.11, up nearly 9,930 points or 9.26%. By market close, it had settled at 117,297.73, marking a gain of 10,123.10 points or 9.45%.
Market analysts attributed the rally to a powerful mix of positive developments, including the reduction in regional tensions and the IMF’s support, which collectively revived investor confidence. “Sentiments turned sharply positive after the ceasefire and IMF funding announcement,” said Topline Securities CEO Mohammed Sohail.
Due to a rapid 5% rise in the KSE-30 index, trading was temporarily halted in line with PSX regulations—a rare occurrence that last happened two years ago.
Bullish momentum was led by buying in major sectors such as banking and energy. Key gainers included HUBCO, OGDC, MARI, PPL, POL, HBL, and UBL.
Arif Habib Limited noted that the ceasefire following the Pahalgam attack significantly reduced geopolitical risks, while U.S. President Trump’s pledge to help resolve the Kashmir dispute added to investor optimism. These developments, alongside the IMF support and potential U.S.-India-Pakistan trade cooperation, created a strong backdrop for the market’s rebound.
The Pakistani rupee also gained marginally against the U.S. dollar, closing at 281.57. Trading volumes climbed to 732.88 million shares, with K-Electric leading the chart.
In global markets, optimism surrounding U.S.-China trade negotiations boosted investor sentiment worldwide, with major indices in Europe, the U.S., and Asia posting gains.
