KARACHI: The Paki­stan Stock Exchange (PSX) opened the week on a bullish note, briefly crossing the 140,000-point mark, but failed to sustain mom­entum due to profit-taking. The benchmark KSE-100 index closed marginally higher at 139,380.06, gaining 172.77 points or 0.12 per cent on Monday.

Ali Najib, Deputy Head of Trading at Arif Habib Ltd, said another attempt by the PSX to break past the 140,000 psychological barrier on a closing basis went in vain. The session began on a strong note, with the index hitting an intraday high of 140,149 — up 942 points or 0.68pc. However, the rally proved short-lived as selling pressure emerged, pulling the index back below the key threshold.

Investor sentiment was buoyed early in the day by Foreign Minister Ishaq Dar’s remarks over the weekend that Pakistan and the United States were “very close” to finalising a trade deal. However, the US side, following Dar’s meeting with Secretary of State Marco Rubio, did not confirm a timeline. If materialised, the agreement could enh­a­nce exports, attract inve­s­tment, and improve market confidence, though any delay may weigh on economic optimism.

According to Topline Securities, the market remained range-bound throughout the session. The banking sector came under pressure amid speculation over an imminent policy rate cut, while the cement sector gained following the ECC’s approval of the Housing Finance Subsidy Scheme.

Top contributors to the index’s gains included Lu­cky Cement, Systems Ltd, PSO, Fatima Ferti­liser, and Sazgar Engine­ering, which collectively added 379 points. On the downside, UBL, Meezan Bank, and Bank Alfalah were the major laggards, jointly shaving off 261 points.

Ahsan Mehanti of Arif Habib Corporation attributed the positive close to investor speculation ahe­ad of the State Bank’s mo­­netary policy annou­nce­m­ent on July 30. The surge in Pakistan’s sovereign bond prices following S&P Global’s credit rating upgrade to ‘B-’ with a stable outlook, along with strong earnings expectations and rising global crude oil prices, also contributed to the market’s resilience.

Published in Dawn, July 29th, 2025