PSX jumps almost 2000 points amid budget anticipation

Market holds steady midday amid hopes for growth-oriented FY27 fiscal plan

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Photo: Express

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KARACHI:

Trading at the Pakistan Stock Exchange (PSX) jumped almost 2,000 points before suspension on account of Friday prayers, as investors braced for Finance Minister Senator Muhammad Aurangzeb’s presentation of the federal budget for FY2026-27 later in the day. 

The benchmark Index climbed significantly to 171,659.29 points, reflecting positive investor sentiment. The market registered a strong gain of 1,955.69 points, which translates to a 1.15% increase from the previous close of 169,703.60 points.

During the session, the Index touched an intraday high of 171,692.23 points and a low of 170,946.54 points. Trading volume stood at 120,208,518 shares, while the total market turnover reached Rs. 9.73 billion. The upward momentum was clearly visible on the intraday chart, showing sustained buying pressure throughout the morning.

The session followed a positive close on Thursday, with the benchmark KSE-100 Index gaining around 276 points to settle near 169,704 points, reflecting sustained optimism ahead of major fiscal announcements.

Read: PSX remains below 170,000 ahead of budget

Yesterday’s release of the Pakistan Economic Survey 2025-26 provided a largely encouraging backdrop. The survey reported real GDP growth of 3.7% for FY26 — missing the 4.2% target but showing improvement over prior years.

Per capita income rose to $1,901, while inflation moderated significantly. Sectoral performance was broad-based, with agriculture up 2.89%, industry 3.51%, and services 4.09%.

Foreign exchange reserves strengthened, and the current account posted a modest surplus.

Analysts noted that the market has been riding on expectations of a “neutral to positive” budget that could include measures to support growth, tax reforms, relief for salaried classes, and incentives for key sectors like exports, IT, and agriculture.

Blue-chip stocks in banking, oil & gas, and cement have been key drivers in recent sessions, with the KSE-100 showing resilience despite global uncertainties.