Market rebounds on easing border tensions, current account surplus, and surge in tech exports
A stock broker reacts while monitoring the market on the electronic board displaying share prices during trading session at the Pakistan Stock Exchange, in Karachi on July 3, 2023. Photo: Reuters/ File
The Pakistan Stock Exchange (PSX) staged a strong rebound on Monday, with the benchmark KSE-100 index climbing 2,436.69 points, or 1.49%, to close at 166,242.90.
The session began on a cautious note, with the index touching an intra-day low of 164,281.95 (-0.29%). Buying interest soon emerged, pushing the index to a high of 166,421.33 before settling slightly below that level.
Investor sentiment was boosted by a combination of geopolitical and economic developments. A ceasefire and peace talks in Doha, Qatar, eased tensions between Pakistan and Afghanistan, while the State Bank of Pakistan (SBP) reported a current account surplus of $110 million for September 2025, compared with a deficit of $325 million in August and $52 million in September 2024. Technology exports also surged 25% year-on-year to $366 million in September, highlighting resilience in the services sector.
Read: PSX plummets amid cautious investor sentiment
KTrade Securities said the rally was led by gains in the banking sector, with major banks such as Habib Bank (+4.78%), United Bank (+2.23%), Bank of Punjab (+9.99%), National Bank of Pakistan, Askari Bank, Bank Alfalah, and Meezan Bank driving the market higher. Oil and Gas Development Company also contributed to the upward momentum. The KSE All-Share Index saw a total trading volume of 1.47 billion shares, reflecting strong investor participation.
Arif Habib Limited (AHL) described Monday’s session as constructive, predicting further gains toward the 168,000–170,000 range. Of 485 companies traded, 289 advanced, 156 declined, and 40 remained unchanged, with K-Electric topping the volume chart at 229.8 million shares, closing down Rs0.39 at Rs6.99.
Read More: PSX rises modestly amid profit-taking
In corporate news, Attock Petroleum signed a Memorandum of Understanding with Huawei Technologies Pakistan and AE Power to establish EV charging stations and promote electric mobility in the country.
Market analysts said the recent staff-level agreement with the International Monetary Fund (IMF), easing regional tensions, and improving macroeconomic indicators provided a positive outlook for investor confidence.