PSX Closes at 167,193 as SBP Reserves Rise to $21.52 Billion
The KSE-100 closed at 167,193.43, up 0.88%, on Thursday, while SBP reserves edged up to $21.52 billion even as commercial bank reserves and total liquid reserves fell.
Highlights
- The KSE-100 closed at 167,193.43 on Thursday 29 October 2026, up 1,456.68 points or 0.88%.
- Value traded was Rs32.14 billion and market capitalisation was Rs18.49 trillion, with 237 shares rising and 244 falling.
- SBP reserves rose $33.1 million to $21,521.7 million in the week ended 23 October, while commercial bank reserves fell $111.9 million.
- Total liquid reserves fell $78.8 million to $26,754.2 million.
- Workers’ remittances in July-September 2026 were $10.9 billion, up 14% year on year.
A second strong close for the KSE-100
Pakistan Stock Exchange, Thu 29 Oct 2026: the KSE-100 index closed at 167,193.43, up 1,456.68 points (+0.88%) from the previous close of 165,736.75; value traded Rs32.14 billion; market capitalisation Rs18.49 trillion; 237 shares rose, 244 fell, 39 were unchanged (PSX Expert).
That breadth is worth noting. An index gain of 0.88% alongside more falling shares than rising shares suggests the move was led by larger stocks rather than a broad advance across the whole market. The traded value, however, rose sharply from the previous session, pointing to heavier activity behind the headline number.
Wednesday’s session, reported Thu morning, set up that close: the KSE-100 rose 1,269.55 points (+0.77%) to 165,736.76; volume 578.124 million shares vs 401.969 million; traded value Rs26.203bn vs Rs18.069bn; foreign investors were net sellers of Rs624 million (Express Tribune).
Two consecutive gains, on rising volume and rising traded value, describe a market that was rebuilding confidence over the week, even while foreign investors were net sellers on Wednesday.
Dividends and a smaller-than-feared rate hike
Drivers on Wednesday included company news and monetary policy relief. Fauji Fertiliser announced a dividend of Rs18.5 per share and Hub Power Rs5 per share; sentiment improved after the State Bank’s 50bp hike to 12% came in lower than markets had feared (Express Tribune).
That policy context is central to the week. Readers following the State Bank’s rate hike to 12% will recognise why a hike that was smaller than feared could lift shares even though borrowing costs still rose: investors had priced in a worse outcome, and the actual decision removed part of that fear.
Traders quoted by the Express Tribune kept the risks in view, however. Ahmed Sheraz, equity trader at KASB KTrade, said:
“However, Brent crude hovering around $115 per barrel remains a key concern, alongside geopolitical uncertainty involving Iran, Israel and the US,”
Nawaz Ali, JS Global analyst, added:
“Looking ahead, any positive developments regarding the US-Iran situation that lead to a decline in crude oil prices could further improve investor confidence,”
Both comments, via the Express Tribune (Express Tribune), link the market’s next move less to domestic policy alone and more to oil. With Brent around the level Sheraz cited, energy costs remain the external variable that could reverse sentiment quickly.
Reserves: SBP up, banks and total down
SBP foreign reserves for the week ended 23 Oct 2026, released Thu 29 Oct, rose $33.1 million (+0.15%) to $21,521.7 million; commercial bank reserves fell $111.9 million (-2.09%) to $5,232.5 million; total liquid reserves fell $78.8 million to $26,754.2 million (Mettis Global).
The SBP’s weekly statement, via APP, put it this way:
“During the week ended on 23-Oct-2026, SBP’s FX reserves increased by US$ 33 million to US$ 21,521.7 million”
The distinction between the three figures matters. The central bank’s own reserves edged up, but the fall at commercial banks was larger, so the country’s total liquid reserves still declined. Reporting that focuses only on the SBP increase would miss that wider picture, which is also reflected in the total of $26.75 billion reported elsewhere (Tez Khabar).
Looking further ahead, SBP Governor Jameel Ahmad has projected reserves of $23 billion by December 2026 and $25 billion by June 2027; the FY27 remittance forecast was raised to $45 billion (Mettis Global). Those are projections, not current holdings, and the gap between $21,521.7 million now and $23 billion by December shows the pace of accumulation the central bank is expecting over the coming weeks.
Remittances provide the underlying support
Workers’ remittances in Jul–Sep 2026 (Q1 FY2026-27) were $10.9 billion, up 14% year on year, according to the Ministry of Finance monthly outlook via Pakistan Observer (Mettis Global).
That quarterly figure helps explain why the FY27 remittance forecast could be raised to $45 billion. Remittances are a recurring source of foreign exchange, separate from market sentiment on the stock exchange, and a 14% year-on-year rise in the first quarter gives the reserves outlook a firmer base than a single week’s $33.1 million increase.
The bottom line
Thursday’s data tells three stories at once. Equities rose for a second day, with the KSE-100 closing at 167,193.43 on heavier trading, helped on Wednesday by dividends from Fauji Fertiliser and Hub Power and by relief that the policy hike to 12% was lower than feared. Reserves moved in opposite directions, with the SBP up $33.1 million but commercial banks down $111.9 million and total liquid reserves down to $26,754.2 million. And remittances, at $10.9 billion for the quarter and up 14%, remain the steady inflow behind the governor’s $23 billion December projection.
The caution from traders was equally clear: oil around $115 and geopolitical uncertainty involving Iran, Israel and the US remain the risks that could change that picture faster than any domestic announcement.
