PSX extends rally as KSE-100 jumps 2,837 points

The Pakistan Stock Exchange (PSX) continued its upward momentum on Thursday as investors returned to the market, pushing the benchmark KSE-100 Index higher for a second consecutive trading session.

The index surged by 2,837 points, or 1.62 percent, to settle at 178,123 points, recovering further after the sharp decline witnessed earlier in the week. The latest gains indicate renewed investor confidence and suggest that the previous market selloff was largely driven by short-term sentiment rather than changes in economic fundamentals.

Market activity remained robust throughout the session, with around 311 million shares traded across the exchange. Investors showed strong interest in several actively traded stocks, reflecting healthy participation in the market.

The rally was led by heavyweight sectors, including commercial banking, cement, fertiliser, investment banking and power generation, which attracted significant buying interest. Shares of major blue-chip companies were among the strongest contributors to the benchmark index’s rise as investors shifted their focus back to fundamentally strong businesses.

Analysts said the market’s recovery demonstrates improving investor sentiment after the sharp correction earlier in the week. They noted that the rebound was supported by relatively stable global market conditions and renewed confidence among local investors.

The two-day recovery has helped the benchmark index regain a substantial portion of its recent losses, signalling that market participants are adopting a more balanced approach after the earlier wave of panic selling.