KARACHI: PSX Registers Mild Gains as 140,000 Level Proves Elusive Again.The Pakistan Stock Exchange (PSX) kicked off the week with optimism, briefly breaching the 140,000 mark before retreating as profit-taking emerged. The benchmark KSE‑100 index closed at 139,380.06, up 172.77 points (+0.12%) on Monday.
140,000 Level Remains Unconquered
Ali Najib, Deputy Head of Trading at Arif Habib Ltd, noted that although the index surged to an intraday high of 140,149 (a gain of 942 points or 0.68%), it failed to hold above that key psychological boundary by session’s end. This marks yet another failed attempt to secure a closing breakout above 140,000.
Trade Deal Buzz Fuels Early Optimism
Investor sentiment was initially buoyed by comments from Foreign Minister Ishaq Dar, suggesting Pakistan and the United States are close to finalising a trade agreement. However, US officials—after Dar’s meeting with Secretary of State Marco Rubio—did not commit to a timetable. Still, hopes for a deal sparked early buying, with the expectation that such an agreement could boost exports, attract foreign investment, and enhance market confidence.
Sectoral Trends: Cement Up, Banks Under Pressure
According to Topline Securities, the market traded within a familiar range all day. Banks came under selling pressure amid growing speculation over a pending policy rate cut, while the cement sector outperformed following the ECC’s approval of a Housing Finance Subsidy Scheme.
Winners and Losers: Who Moved the Index?
Some of the top contributors to the index’s gain included:
-
Lucky Cement
-
Systems Ltd
-
PSO
-
Fatima Fertiliser
-
Sazgar Engineering
These heavyweights added a combined 379 points to the index.
Conversely, banking giants such as UBL, Meezan Bank, and Bank Alfalah dragged the index down by roughly 261 points overall.
Market Drivers Ahead of Policy Decision
Ahsan Mehanti from Arif Habib Corporation pointed to investor positioning ahead of the State Bank’s monetary policy announcement on July 30 as another key driver. In addition, a recent upgrade of Pakistan’s sovereign credit rating to “B‑” with a stable outlook by S&P lifted Pakistan bond prices, boosting investor sentiment. Rising global crude prices and strong corporate earnings expectations further supported market resilience.
Market Outlook
Although the KSE‑100 closed positively, it wasn’t enough to break the 140,000 level outright. Traders and investors will be watching closely as future drivers like the MPC decision, U.S.–Pak trade developments, global oil trends, and corporate earnings shape the next phase of market direction.
