Pakistan’s stock market continued its record-breaking rally on Monday as investors showed confidence ahead of the monetary policy review by the State Bank of Pakistan (SBP) scheduled later in the day. The benchmark KSE-100 Index surged 971.95 points, or 1.07%, to reach 91,831.80 by 10:20 a.m. This impressive climb adds to a 47.05% gain year-to-date, with the index up by 29,381 points, reflecting an optimistic sentiment among market participants.
The central bank is widely anticipated to announce another cut to its key interest rate in response to the gradual cooling of inflation from recent highs. The SBP has already slashed the benchmark policy rate to 17.5%, down from a record 22%, across three consecutive policy meetings since June. In its last adjustment, the rate was reduced by 200 basis points in September.
This anticipation of further easing has fueled significant buying interest across multiple sectors. Leading the day’s gainers were prominent companies including Systems Limited (SYS) with a 9.21% increase, Cherat Cement Company Limited (CHCC) up 6.13%, Javedan Corporation Limited (JVDC) advancing 5.21%, Kohat Cement Company Limited (KOHC) rising 5.15%, and EFU General Insurance Limited (EFUG) up 5.10%.
On the downside, a few companies saw losses, led by Pakistan Gold and Copper Limited (PGLC) down 3.64%, Pakistan General Petroleum Limited (PKGP) down 2.59%, Kohinoor Spinning Mills (KOSM) with a 2.48% drop, Dewan Cement Limited (DCR) declining 1.78%, and Fauji Hamdard Limited (FHAM) slipping by 1.34%.
Contributions to the index were notably supported by key players, with Systems Limited (SYS) adding 268.46 points, Pakistan State Oil (PSO) contributing 65.96 points, Cherat Cement Company (CHCC) adding 64.54 points, Fauji Fertilizer Company (FFC) boosting the index by 63.94 points, and Millat Tractors Limited (MTL) adding 42.81 points.
Sector-wise, Technology & Communication led with a gain of 289.13 points, followed by Cement with 203.33 points, Oil & Gas Marketing Companies adding 100.56 points, Oil & Gas Exploration Companies with 86.26 points, and Fertilizer contributing 70.15 points.
The broader market reflected similar optimism, with the All-Share Index climbing 513.43 points, or 0.89%, to settle at 58,385.49. As investors await the central bank’s decision, positive sentiment remains high, reflecting confidence in a continued economic revival backed by easing inflation and supportive monetary policy measures.
