KARACHI (September 19, 2025) – The Pakistan Stock Exchange (PSX) soared to a fresh all-time high as investor confidence surged following the landmark defence pact between Pakistan and Saudi Arabia.
The benchmark KSE-100 index gained 723.73 points, closing at a historic 158,677.19 points, marking a 0.46% increase from the previous day’s close of 157,953.46 points.
Why Did the Market Rise?
The rally comes after Prime Minister Shehbaz Sharif’s visit to Riyadh, where Pakistan and Saudi Arabia signed a Strategic Mutual Defence Agreement.
Key aspects of the pact include:
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Enhanced defence cooperation between the two nations.
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A joint commitment that any aggression against one country will be treated as aggression against both.
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Strengthened bilateral trust and strategic ties.
This historic agreement has reassured investors about regional stability and boosted market sentiment, even as Pakistan continues to grapple with economic and flood-related challenges.
Trading Activity at PSX
The PSX witnessed strong market participation on Friday:
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Total Volume Traded: 1.95 billion shares
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Market Value: Rs. 56.93 billion
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Companies Traded: 485
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332 gained
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124 lost
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29 remained unchanged
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The bullish run continued from Thursday’s session, when the index jumped 1,775.65 points (1.14%), closing at 157,953.47.
What This Means for Investors
Market experts believe the latest surge reflects:
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Improved investor confidence after the defence agreement.
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Foreign interest in Pakistan’s stability and partnerships.
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A continuation of the bullish momentum seen in recent sessions.
Analysts say if the upward trend holds, the PSX may continue to attract both local and international investors, potentially driving the index even higher in coming weeks.
Final Thoughts
The PSX crossing 158,600 points marks a major milestone, powered by optimism from the Pakistan-Saudi defence pact. With stability returning and investor trust growing, the stock market could see further records in the near future.
For now, the defence deal has not only strengthened ties between the two nations but also delivered a confidence boost for Pakistan’s economy and capital markets.