The Pakistan Stock Exchange (PSX) continued its historic rally for a fourth consecutive session on Tuesday, crossing the landmark 185,000-point level despite early volatility.

The sustained upward momentum reflects growing investor confidence amid signs of easing inflation and improving economic conditions.

Market optimism has been strengthened by expectations of further policy rate cuts by the State Bank of Pakistan, following its surprise reduction last month.

This shift has encouraged investors to move funds from traditional savings instruments into equities, helping fuel the ongoing bull run.

According to Topline Securities, the benchmark index closed at a new all-time high of 185,062 points, gaining 2,654 points (1.45%).

While the index fluctuated during the session, touching both highs and lows, buying interest remained strong throughout the day, particularly from institutional investors and mutual funds.

Heavyweight stocks such as MCB Bank, United Bank, Meezan Bank, Habib Bank, and Lucky Cement played a key role in driving the rally, collectively contributing nearly 1,900 points.

Market capitalisation also climbed to a record Rs20.7 trillion, highlighting the scale of investor participation.

Trading activity remained healthy, with volumes exceeding one billion shares, while the value of traded shares rose to Rs85.1 billion, reflecting continued engagement from market participants.

Analysts attribute the rally to improving macroeconomic indicators, stable interest rates, and a more positive outlook for corporate earnings.

Experts say the successful crossing of the 185,000 mark signals strong momentum, with investors remaining hopeful for further gains.

While 181,000 points is now seen as a key support level, the overall sentiment remains optimistic, underpinned by confidence in Pakistan’s gradual economic recovery.