KARACHI (MNN); Bulls remained firmly in control at the Pakistan Stock Exchange on Friday as the benchmark KSE-100 Index scaled a new all-time high, closing above the 179,000 mark for the first time in history.
Strong buying momentum persisted throughout the session, pushing the index to an intra-day peak of 179,467.83 points. By the close of trading, the KSE-100 settled at 179,034.93 points, registering a sharp gain of 2,679.44 points, or 1.52 percent.
Commenting on the rally, Saad Hanif, Head of Research at Ismail Iqbal Securities, said the surge was driven by new-year positioning, ample liquidity and expectations of further monetary easing. He noted that with inflation easing and real interest rates peaking, investors are factoring in a 50 basis points cut in the policy rate at the upcoming Monetary Policy Committee meeting.
He added that the outlook has improved equity attractiveness compared to fixed income instruments. According to him, better macroeconomic stability, a stable rupee and improved earnings visibility, particularly in banking and cyclical sectors, have supported a forward-looking re-rating of equities.
Data released by the Pakistan Bureau of Statistics showed that headline inflation eased to 5.6 percent year-on-year in December 2025, broadly in line with the Ministry of Finance’s estimate of 5.5 to 6.5 percent.
Meanwhile, the State Bank of Pakistan reported that total liquid foreign exchange reserves stood at 21.012 billion dollars as of December 26, 2025, slightly lower than 21.023 billion dollars recorded a week earlier.
It is worth noting that the PSX had already begun 2026 on a strong footing. On Thursday, broad-based buying lifted all major indices, with the KSE-100 Index gaining 2,301.17 points, or 1.32 percent, to close at 176,355.49 points.
