KARACHI (Web Desk) – The Pakistan Stock Exchange (PSX) staged a strong recovery on Wednesday, snapping a two-day losing streak as investors reacted positively to improved external current account data and renewed market optimism.
During intraday trading, the benchmark KSE-100 index surged by more than 3,800 points, reaching 177,023 points compared to its previous close of 173,150.41 points, reflecting renewed buying interest across key sectors. The rally came after the market witnessed bearish pressure a day earlier, when the index declined by 1,303.52 points, or 0.75 percent, closing at 173,150.42 points versus 174,453.94 points in the preceding session, according to official PSX data.
Market activity remained robust, with trading volume in the ready market recorded at 716.035 million shares, amounting to a traded value of Rs 40.471 billion. This compared with 773.291 million shares valued at Rs 46.242 billion in the previous session. Despite the rebound, total market capitalization stood at Rs 19.666 trillion, slightly lower than Rs 19.781 trillion recorded a day earlier.
Out of 477 active companies in the ready market, 128 stocks advanced, while 293 declined and 56 remained unchanged, indicating mixed sentiment among investors despite the broader market rally.
Analysts attributed the market’s upward momentum partly to encouraging macroeconomic indicators. Pakistan’s External Current Account Balance recorded a surplus of $121 million in January 2026, marking a notable improvement from a deficit of $265 million in December 2025, according to the State Bank of Pakistan’s monthly Balance of Payments report.
However, the broader fiscal picture remains mixed. During the first seven months of fiscal year 2025–26, the current account posted a cumulative deficit of $1.074 billion, compared with a surplus of $564 million during the same period of the previous fiscal year. The trade balance also remains under pressure, with a cumulative goods trade deficit of $18.402 billion during July–January FY26, widening from $14.056 billion in the corresponding period last year.
Market participants are expected to continue monitoring macroeconomic indicators, currency stability, and global market trends as they assess the sustainability of the PSX’s recovery.
