PSX starts week strong with 1,000-point gain in early trade

KARACHI: The Pakistan Stock Exchange (PSX) kicked off the week on a strong note on Monday as the benchmark KSE-100 index bounced back from last week’s sharp losses. Investors came in with renewed confidence from the opening bell, driving the market higher and lifting sentiment in the early minutes of trade.

The KSE-100 index opened in the green and swiftly climbed by 840 points to 155,279.95 within the first few minutes of trade when the market volume was about 14.2 million shares around 9:40 AM.

Buying momentum picked up further, and by 9:45 AM, the index had surged by nearly 920 points to 155,359.54 on a volume of 18 million shares. As of 9:49 AM, the benchmark stood at 155,246.81, up by 807 points or 0.52 percent, showing strong resilience after ending the previous week deep in the red.

By 10:00 AM, the rally had gained more steam as the PSX jumped 1,023 points to reach 155,463.05 with the traded volume swelling to almost 33 million shares. So far during the session, the market has recorded an intraday high of 155,359.54 and a low of 154,612.17, while the overall volume has crossed 22 million shares in the early hours.

From a broader perspective, the KSE-100 index is now up about 95.69 percent on a one-year basis and has gained 34.85 percent so far this calendar year, highlighting the strength of the ongoing bull run.

Recovery after last week’s dip

Monday’s recovery follows a bruising session on Friday when the benchmark closed at 154,439.68 after losing 1,701 points or 1.09 percent. That selloff saw the index swing in a range of more than 2,100 points, with commercial banks, cement, and fertiliser stocks leading the declines.

Of the 100 index companies, 71 had ended in the red while only 28 managed gains. This morning’s strong opening shows that investors have quickly moved past the previous week’s correction, possibly taking advantage of lower valuations to pick up blue-chip stocks.

Blue-chip stocks lead the rally

Several heavyweight companies are helping drive the index higher. TRG Pakistan surged nearly 10 percent to Rs68.24, making one of the strongest positive contributions to the benchmark.

Other major gainers include Nestlé Pakistan, which jumped over 2 percent to Rs8,396.58, and Atlas Honda, which rose around 2.5 percent to Rs1,300. NBP also advanced more than 2 percent to Rs185.25, while KAPCO, Unilever Pakistan Foods, FFC, and Bank of New York Mellon Pakistan all posted gains between 1 and 2 percent, signalling broad-based buying interest across multiple sectors.

In contrast, only a handful of index heavyweights were seen slipping lower. EFU General Insurance was down about 4.9 percent to Rs120.05, while Abbot Laboratories shed around 1.1 percent to Rs1,166.50. Indus Motors also dipped 0.8 percent to Rs2,260, and HBL edged down slightly by 0.29 percent to Rs256.

Among cement plays, DG Khan Cement slipped 0.63 percent to Rs230.50 and Cherat Cement eased 0.41 percent to Rs350. However, these losses were relatively minor compared to the widespread gains across the broader market.

Speculative interest lifts smaller scrips

Away from the index-heavy stocks, some smaller scrips also drew strong speculative interest. Descon Oxychem Limited (DSIL) shot up nearly 12 percent to Rs8.45 on hefty volumes, while TRG, again, saw brisk activity with more than 9.6 million shares traded.

Sindh Modaraba climbed 10 percent to Rs22.52, PECO and Khyber Textile both surged 10 percent, and BIL Foods jumped almost 10 percent as well. On the flip side, a few lower-tier shares came under pressure, such as Shajar Securities which slumped nearly 10 percent to Rs178.60 and GEM Bluex, down about 9.9 percent to Rs63.02.

The rebound looks largely driven by bargain-hunting after Friday’s dip and growing optimism that the local market could continue its upward momentum if political and economic conditions remain stable. With the KSE-100 index still trading within striking distance of its all-time high of 157,816.77, investors seem willing to bet that the rally has further room to run.

So far, the tone on the trading floor remains upbeat, and if the buying momentum sustains, the PSX appears on track to wrap up the day in positive territory, marking a strong start to the new trading week.

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