Pakistan stocks rally as record remittances lift investor sentiment

Pakistan’s benchmark stock index closed higher Monday, driven by strong investor sentiment following record remittances and positive momentum in regional markets, analysts said.

The market received a significant boost after remittances surged to an all-time high of $4.1 billion in March 2025, helping stocks gain traction throughout the session, said an analyst at Ismail Iqbal Securities.

“The upbeat momentum was largely driven by better-than-expected inward remittance figures, which significantly bolstered investor sentiment,” said an analyst at Topline Securities.

Further support came from a broadly positive trend across regional markets, encouraging local investors to re-enter and build fresh positions across key sectors, analysts added.

Commercial banks, cement, and power generation & distribution stocks led the rally, contributing a combined 1,192 points to the index.

KSE-100 index gained 1.34% or 1,536.70 points to close at 116,390.04 points.

Currency

US dollar steadied against PKR in the inter-bank market. Pakistani currency gained 13 paisas to close at 280.60. In the open market USD was trading at PKR 282.15.

DFM General Index gained 1.82% or 90.26 points to close at 5,056.28 points.

Crude Oil

Oil prices rose Monday after the U.S. eased some tariffs and China reported a surge in crude imports. However, concerns about the U.S.-China trade war’s impact on global growth and fuel demand limited gains.

On Friday, the U.S. excluded certain Chinese electronics from tariffs, adding to policy uncertainty. Trump said Sunday he would announce semiconductor tariff rates next week.

Brent crude prices increased by 1.48% to $65.72 per barrel.

Gold Prices

Market sentiment has shown some improvement this morning following President Trump's decision to exclude electronics and smartphones from U.S. tariffs.

This has contributed to a slight decline in gold prices, likely driven by profit-taking. On Monday, gold prices retreated from a record high after President Trump’s tariff exemption for smartphones and computers, though ongoing uncertainty surrounding tariff policies kept prices above the key $3,200 per ounce level.

International gold prices decreased 0.46% to close at $ 3,223.43 per ounce. In the local market, gold prices declined by PKR 1,800 to 338,800 per tola.

Goldman Sachs maintained its position as the most optimistic among major banks regarding gold, upping its year-end projection to $3,700.

The revision reflects unexpectedly strong central bank demand and growing recession risks, which are influencing ETF inflows.