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       KARACHI: The Pakistan Stock Exchange (PSX) rebounded sharply on Tuesday as improved investor sentiment — buoyed by a high-level meeting between business leaders and the army chief — lifted the benchmark KSE-100 index to a new all-time closing high near the 140,000 mark.

       Ahsan Mehanti of Arif Habib Corporation said the index rallied after Field Marshal Asim Munir assured business leaders of the military’s support for economic progress. The government’s recent success in securing a majority in Senate seats, coupled with speculation over a potential interest rate cut in the upcoming monetary policy and expectations of strong corporate earnings and dividends, further fuelled the bullish momentum.

       Topline Securities noted that the bulls roared back to life, pushing the benchmark index up by 1,684 points during intraday trading. The index settled at 139,419, reflecting a gain of 1,202 points or 0.87pc by the closing bell.

       The rally was driven by renewed market confidence ahead of the corporate earnings season, with widespread optimism lifting sentiment across sectors. Key contributors to the index’s surge included Engro Holdings, Habib Bank, Fauji Fertiliser, Engro Fertiliser, Pakistan Petroleum, and Oil and Gas Development Company — collectively adding 1,142 points.

       Trading activity rem-ained robust, with a total volume of 627 million shares and an overall turnover of Rs34.6 billion.

       Ali Najib, Deputy Head of Trading at Arif Habib Ltd, said the session opened on a buoyant note following overnight negativity. The fertiliser sector led the charge, with strong buying driven by expectations of positive financial results and dividend surprises.

       Broad-based gains were observed across major sectors, including commercial banks, cement, oil and gas exploration, oil marketing companies (OMCs), power generation, and refineries—signalling widespread investor confidence.

       The 137,000 level now serves as a key support for the KSE-100. A drop below this mark could test the 135,000 level, where attractive valuations and hopes of monetary easing may trigger renewed buying.

       Published in Dawn, July 23rd, 2025