Finance & Digital Economy | July 2026 | 3 min read
⚡ Quick Takeaways
- The KSE-100 Index ended FY26 at 180,302 points, up 44% in rupee terms.
- Average daily traded volume reached a record 913 million shares.
- Average daily traded value rose to $152 million, the highest since FY08.
- AHL linked the rally to improved liquidity and stronger investor participation.
- Regional geopolitical volatility caused pressure, but the full-year trend stayed strong.
| 180,302
KSE-100 close |
44%
Rupee Gain |
913m
Daily Volume |
Pakistan’s stock market closed FY26 with one of its strongest annual performances, combining a sharp index rally with record trading activity and stronger market liquidity.
KSE-100 Closes FY26 With Strong Gains
The Pakistan Stock Exchange ended fiscal year 2025-26 with the KSE-100 Index at 180,302 points, compared with 125,627 points at the end of FY25. According to Arif Habib Limited, the benchmark gained 44% in rupee terms and 46% in US dollar terms over the 12-month period.
The full-year performance made FY26 one of the strongest years in Pakistan’s capital market history. AHL said improved liquidity, stronger investor participation and value unlocking across several key sectors supported the rally, even though the market faced periodic volatility from regional geopolitical developments.
| Market signal: The index gain shows that investors rewarded stronger liquidity and sector-level value after several years of uneven confidence. |
Record Volume Shows Deeper Investor Activity
The most striking figure was the average daily traded volume, which climbed to 913 million shares. AHL described it as the highest-ever volume recorded in PSX history, showing a major increase in day-to-day market activity.
The average daily traded value also rose sharply to $152 million, the highest level since FY08. Together, the volume and value numbers suggest that the FY26 rally was not only about index levels but also about broader participation and improved liquidity across the market.
| Indicator | FY25 / Prior level | FY26 level | Change or status |
| KSE-100 Index | 125,627 points | 180,302 points | 44% rupee gain |
| Dollar return | Not stated | FY26 full year | 46% in US dollar terms |
| Daily volume | Below FY26 peak | 913m shares | Highest ever at PSX |
| Daily value | Below FY08 peak | $152m | Highest since FY08 |
What the Charts Indicate
The trading-volume trend shows a long period of relatively subdued activity before a clear acceleration in FY25 and a record level in FY26. The latest daily volume figure stands well above earlier peaks, pointing to a wider increase in market turnover rather than a narrow one-off move.
The traded-value trend also matters. After peaking in FY17, average traded value moderated in later years before rebounding strongly over the last two fiscal years. FY26’s $152 million average daily value was the best reading since FY08, making the liquidity recovery more visible.
| Watch point: Higher volume improves liquidity, but investors still need to watch valuations, earnings quality and geopolitical risks. |
Why FY26 Stands Out
The combination of record volume, the strongest traded value in nearly two decades and a 44% annual KSE-100 gain made FY26 a landmark year for PSX. The performance reflected renewed confidence in equities, better market depth and a stronger appetite for listed companies across key sectors.
For policymakers and market participants, the year also showed the importance of liquidity. When trading activity improves, price discovery becomes more efficient and investors can enter or exit positions more easily. Deeper turnover can also help institutions build positions without creating the same level of price pressure seen in thinner markets. Sustaining that momentum will depend on earnings growth, macroeconomic stability and continued investor trust.
| Investor reminder: Past market performance does not guarantee future returns, even after a record year for volume and index growth. |
Disclaimer: This article is for general financial information only and is not investment advice. Investors should consult licensed advisers and review official market disclosures before making decisions.
