Shares cross 135,500 mark amid positive economic indicators

Shares at the Pakistan Stock Exchange (PSX) crossed the 135,500-point barrier on Monday, with the KSE-100 benchmark index gaining more than 1,200 points during intra-day trading.

Experts attributed the surge to positive economic indicators, including a decline in the inflation rate and an increase in exports.

At the beginning of intra-day trading, the market showed positive sentiment among investors. Arif Habib Commodities' Managing Director and CEO, Ahsan Mehanti, stated that “speculations ahead of major earnings announcements this week” were driving the stock market to new all-time highs.

As the bullish rally continued, the KSE-100 benchmark surged by 122,2.08 points at 10:18 am, reaching an all-time high of 135,521.84 points, up from the previous close of 134,299.76 points.

Read: PSX hits record high as post-budget bullish trend continues

AAH Soomro, an independent economic analyst, believed that the “rally continues on the strong endorsement from the IMF and improvements in foreign exchange reserves.”

He also pointed to recent budget decisions, such as taxes on fixed income returns, which have helped attract investors.

Analysts remain optimistic about the continuation of positive sentiments, as Pakistan received record-breaking remittances that have elevated foreign exchange reserves and improved macroeconomic indicators.

The International Monetary Fund (IMF) also endorsed Pakistan’s efforts toward economic growth. Mahir Binici, the IMF representative for Pakistan, stated that the country’s performance under the Extended Fund Facility (EFF) has been “strong so far.”

Read: Shares at PSX hit all-time high as KSE-100 crosses 130,000-point benchmark

She linked the country’s progress to early policy measures that have helped restore macroeconomic stability.

Pakistan received a record-breaking $38.3 billion in worker remittances for the fiscal year 2025, marking a 27% year-over-year increase.

In June 2025, remittances totalled $3.4 billion, an 8% rise compared to the same period last year. This significant influx has bolstered the country’s external position and boosted investor confidence.

The State Bank of Pakistan’s foreign exchange reserves surged by $1.8 billion to $14.5 billion for the week ending July 4, marking a 39-month high. When combined with commercial bank reserves, Pakistan’s total foreign reserves have surpassed $20 billion for the first time in three years, reaching $20.03 billion.