KARACHI: The Pakistan stock market recorded historic gains in the outgoing week, buoyed by a series of geopolitical and economic developments that have bolstered investor confidence. The KSE-100 index crossed the 162,000-point threshold for the first time, driven largely by the US-Pakistan leadership meeting, a landmark circular debt agreement, and progress on external account support from Gulf countries.

The market gained 2.7 per cent week-on-week, with the index closing at 162,257 points. Average daily traded volume increased to 1.67 billion shares, with a daily average traded value of Rs60bn. Key drivers included the signing of a Rs1.275tr financing facility with 18 commercial banks to address the power sector’s circular debt, and a strategic defence agreement with Saudi Arabia that raised hopes of enhanced bilateral trade and financial support.

Prime Minister Shehbaz Sharif’s meeting with US President Donald Trump on Sept 25 at the White House reinforced expectations of stronger diplomatic and economic ties. This followed a recent visit by a high-level US delegation focused on critical........

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