PSX in FY25: From Oof to Boom
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By Nilam Bano | July 02, 2025 at 05:05 PM GMT+05:00
July 02, 2025 (MLN): The Pakistan stock market delivered yet another stellar performance in FY25, extending last year’s extraordinary rally, though at a slightly tempered pace.
The KSE-100 Index surged by 60.1% during the fiscal year ended June 2025 to close at 125,627.31, marking its second consecutive year of robust double-digit returns and reinforcing investor confidence in the market’s long-term trajectory.
This impressive advance followed FY24’s exceptional 89.2%
gain, the highest yearly return since FY03, when the benchmark index added
nearly 37,000 points to close at 78,444.9.
In FY25, the momentum continued as optimism over economic
stabilisation, a supportive monetary policy environment, and an attractive
corporate earnings outlook kept equities buoyant.
Key drivers included the central bank’s sustained monetary
easing, improved external account metrics, and Pakistan’s continued engagement
with multilateral lenders, which collectively bolstered macroeconomic
sentiment.
However, the trading floor faced significant turbulence due
to Trump’s 90-day tariffs, escalating tensions between Pakistan and India in
May, and the conflict between Iran and Israel in June.
Following the India-Pakistan tensions, the KSE-100 Index saw
its steepest single-day decline of the year, plunging 5.89% on May 9, 2025.
Just days later, after a ceasefire was announced, the market staged a dramatic
rebound, surging 9.45% on May 12, 2025, marking one of the strongest
single-day rallies in recent history.
On the economic front, the State
Bank of Pakistan (SBP) led from the front, executing one of the most
aggressive easing cycles in the country’s history by slashing the policy rate
from 21.5% to 11%.
No doubt, this decisive shift laid the foundation for a
pickup in economic activity and investor sentiment.
Adding to the positive backdrop, Fitch
Ratings upgraded Pakistan’s sovereign credit rating to B- from CCC+.
Furthermore, the successful staff-level
agreements with the IMF for a $7bn Extended Fund Facility and a $1.3bn
Resilience and Sustainability Facility also paved the way for investors’
sentiments. These developments provided much-needed external confidence at a
time when the country was navigating a complex macro environment.
Pakistan’s standing in global equity markets also received a
notable lift as MSCI
added a total of five Pakistani companies to its Frontier Market Index during
its latest semi-annual review.
The broader strengthened, with GDP
growing by 2.68% and the size of the economy reaching an all-time high of $411bn.
Per
capita income also rose to $1,824, offering a modest but meaningful uplift
to household prosperity.
The external account showcased an even sharper turnaround.
Pakistan posted a current
account surplus of $1.8bn during the first 11 months of FY25, a major shift
from a deficit of $1.57bn in the same period last year.
The local unit held relatively stable, depreciating by just
1.95% over the year, while inflation cooled dramatically; average annual CPI inflation
dropped to 4.49% during FY25 from a searing 23.41% a year earlier.
Despite this encouraging macro landscape, the local bourse
faced bouts of turbulence triggered by geopolitical tensions. Escalations
between Pakistan and India in May, and between Iran and Israel in June, sent
shockwaves across regional equities.
However, swift ceasefires restored calm and powered some of
the strongest rallies in recent memory at the PSX.
Not to forget, this strong market performance also attracted
new equity offerings. On the IPO front, the trading floor saw three successful
listings. This included BF
Biosciences in the pharmaceuticals sector, Zarea
Ltd. in technology, and Barkat
Frisian Agro in food and personal care.
Top Index Movers
During the month, Commercial Banks, Fertilizer, Oil &
Gas Exploration Companies and Cement added 15,159.96, 9,752.72, 6,868.52, and 5,621.79 points, respectively.
On the flip side, Automobile Parts & Accessories, Synthetic
& Rayon, and Engineering lost -90.37, -29.56, and -26.16 from the index,
respectively.
Among individual stocks, FFC, UBL, MARI, LUCK, OGDC and MEBL
gained 6,305.59, 5,305.84, 2,648.40, 2,536.73, 2,082.94, and 1,796.06 points,
respectively.
On the other hand, HUBC, MEHT, and EPCL dented the index by -347.40,
-180.71, and -98.09 points.
FIPI/LIPI
Foreign investors remained as net sellers, offloading the
equities worth $304.37m.
Among them, Foreign Corporations led this activity by
selling securities worth $329.21m while Overseas Pakistanis bought securities
worth $27.83m.
The local investors remained net buyers, purchasing equities
worth $304.37m.
Among them, Mutual Funds, Companies and Individuals bought
securities worth $232.94m, $94.46m, and $68.01m, respectively. However, Banks/DFIs,
Insurance Companies, and Brokers sold securities worth $55.05m, $21.17m and $17.6m.
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Name | Price/Vol | %Chg/NChg |
---|---|---|
KSE100 | 130,344.03 345.79M |
1.67% 2144.61 |
ALLSHR | 81,023.99 1,021.87M |
1.55% 1236.37 |
KSE30 | 39,908.26 141.62M |
2.05% 803.27 |
KMI30 | 189,535.00 150.29M |
1.40% 2619.39 |
KMIALLSHR | 54,783.66 508.76M |
1.07% 581.78 |
BKTi | 34,940.73 55.86M |
4.37% 1464.05 |
OGTi | 28,296.06 16.02M |
1.19% 333.47 |
Symbol | Bid/Ask | High/Low |
---|
Name | Last | High/Low | Chg/%Chg |
---|---|---|---|
BITCOIN FUTURES | 109,660.00 | 110,105.00 109,405.00 |
-625.00 -0.57% |
BRENT CRUDE | 68.89 | 69.00 68.86 |
-0.22 -0.32% |
RICHARDS BAY COAL MONTHLY | 97.50 | 0.00 0.00 |
0.75 0.78% |
ROTTERDAM COAL MONTHLY | 109.20 | 110.00 108.25 |
1.70 1.58% |
USD RBD PALM OLEIN | 998.50 | 998.50 998.50 |
0.00 0.00% |
CRUDE OIL - WTI | 67.22 | 67.50 67.19 |
-0.23 -0.34% |
SUGAR #11 WORLD | 15.56 | 15.97 15.44 |
-0.14 -0.89% |
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