Investor optimism drove a significant rally at the Pakistan Stock Exchange this week, as the benchmark KSE-100 Index climbed by 560 points to close at 134,300. The rise reflects renewed confidence in the market, supported by favorable government policies and a broadly positive outlook on economic recovery.
Market analysts attributed the sustained momentum to recent policy measures aimed at stabilizing the macroeconomic environment, which have encouraged both local and foreign investors to remain active in equities.
Business leaders described the rally as a reassuring indicator of strengthening economic fundamentals. Many voiced hope that the market’s upward trend would continue over the coming sessions, further boosting investor confidence.
The strong performance has also caught the attention of international investors, who are increasingly viewing Pakistan’s equity market as a viable option amid global market uncertainty. Analysts highlighted that this foreign interest could further enhance liquidity and market depth.
In parallel to the stock market rally, the Pakistani rupee also posted gains against the US dollar. The dollar weakened by 31 paisas in the interbank market, settling at Rs284.25. Economists see this modest appreciation of the rupee as a welcome sign, suggesting it may help lower the cost of imports and ease inflationary pressures in the near term.
The combination of a rising stock market and a stronger currency has provided a much-needed boost to business sentiment and public confidence in economic management.
Financial experts noted that continued policy consistency and political stability would be essential to sustain these gains. They also emphasized the importance of structural reforms to keep investor interest strong and support long-term growth.
As trading heads into next week, market watchers will be looking closely to see if the positive momentum can extend, potentially setting new milestones for the index.

