KSE-100 sets a new high on hope of tax relief, circular debt solution

KARACHI: Expectations of tax relief and progress in resolving the circular debt issue propelled the benchmark KSE-100 on Wednesday to an all-time high of 121,799 with a gain of 1,347.99 points, or 1.12 per cent, as the budget session is scheduled next week after Eid holidays.    

It means the investors carried forward the bullish market sentiment at the Pakistan Stock Exchange from the previous session, fuelled by robust buying from local and corporate institution, as indicated by NCCPL (National Clearing Company of Pakistan Ltd) data, analysts said.

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During the session, the benchmark index reached a high of 121,882.47 and low of 120,896.13, meaning that it was at one point up by 1,431.60 points.

The key drivers of the rally included heavyweight stocks such as NBP, BAHL, SYS, LUCK, and MCB, which collectively contributed 586 points to the KSE-100 Index’s upward trajectory, Topline Securities stated.

“The sentiment was buoyed by expectations of tax relief, progress on circular debt resolution, and news of a new financial package between Pakistan and the Asian Development Bank (ADB),” Al Habib Capital stated

Investor confidence was further boosted as the President Asif Ali Zardari summoned the National Assembly’s budget session for June 10 at 5 PM, it added.

The benchmark index closed on a positive note, marking a new all-time high both intraday and at close, as investors continued to position ahead of the FY26 budget, according to the Ismail Iqbal Securities

The momentum was driven by optimism surrounding potential budgetary incentives and further supported by improved market liquidity, it added.

Hence, market participation remained strong, with a total trading volume reaching 709 million shares and a traded value of Rs35 billion. SSGC topped the volume leader board with 51.6 million shares exchanged.