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Pakistan Stocks Extend Record Run as KSE-100 Tops 189,000 Intraday

Investors bet on a policy rate cut at the Jan 26 central bank meeting.

Overview

  • Following record closes at 187,761 on Jan 19 and 188,622 on Jan 20, the index pushed past 189,000 intraday on Jan 21 as the rally entered a third session.
  • Rate-cut expectations drove buying, with a Topline Research poll showing 80% expect easing and most looking for a 50-basis-point move at the upcoming MPC.
  • Macro signals lent support, including a $16 million weekly rise in SBP reserves to $16.072 billion, lower Pakistan Investment Bond yields, and guidance for a FY26 current‑account gap of 0–1% of GDP.
  • Reform cues bolstered sentiment, highlighted by a Finance Ministry plan to tokenise up to $2 billion of domestic debt and a prospective panda bond discussed by market participants.
  • Turnover stayed near 1.22–1.23 billion shares with traded value around Rs63.9 billion, heavyweights in energy, banks and industrials led gains, and risks persisted with foreign net selling and a $135 million FDI outflow in December.