The Pakistan Stock Exchange (PSX) opened with strong momentum on Monday, fuelled by improved investor confidence following an upgrade in the country’s sovereign credit rating and a steady flow of positive earnings reports.
At 10:30am, the KSE-100 Index was recorded at 147,091.44, a gain of almost 600 points, reflecting a 0.41% rise. Traders noted that activity remained concentrated in cement, banking, fertiliser, oil and gas exploration, and power sector stocks. Heavyweights such as HUBCO, MARI, OGDC, PPL, SNGPL, SSGC, POL, MEBL, and UBL all traded higher.
Moody’s raised Pakistan’s credit rating from Caa2 to Caa1 and revised the outlook to stable, citing fiscal discipline, improved foreign reserves, and progress under the IMF-supported programme. Analysts described this as a significant development, helping ease concerns over external financing pressures and adding to market confidence.
Last week, the PSX had already displayed strength by climbing to a record intraday high of 147,534 before closing at 146,492 points, an increase of 1,109 points on a weekly basis.
Internationally, markets in Asia moved higher ahead of key policy signals from the US Federal Reserve. Japan’s Nikkei jumped 0.9% to another record level, while Chinese and Taiwanese shares also posted gains.
Investors worldwide are now looking ahead to the Jackson Hole economic symposium, where Fed Chair Jerome Powell is expected to outline the central bank’s approach to interest rates. Markets are largely pricing in a rate cut in September, with expectations of another before year-end.
At the same time, oil prices slipped as fears of supply disruption from Russia appeared to ease. Political attention was also on the US after President Donald Trump met Vladimir Putin in Alaska, where both sides discussed possible peace options for Ukraine.