The Pakistan Stock Exchange (PSX) kicked off the New Year on a strong footing on Monday, as aggressive buying by local mutual funds and optimism over a potential policy rate cut powered a decisive bullish session.

The benchmark KSE-100 Index surged to a new all-time high during intraday trade, touching 183,964.37 points, before easing slightly to close at 182,408.23. The index still logged a robust gain of 3,373.31 points, or 1.88%, marking one of the strongest starts to a year in recent times.

Market sentiment remained upbeat throughout the session, underpinned by expectations that the upcoming monetary policy meeting could deliver a rate cut, boosting risk appetite and driving broad-based participation across sectors.

According to a market report by Topline Securities, the strong close near the day’s peak reflected firm investor confidence and signaled a buoyant start to the year for equities.

Index-heavy stocks led the rally, with UBL, HBL, ENGROH, MCB, EFERT and FFC collectively contributing 1,853 points to the benchmark.

Trading activity remained elevated, with total volume clocking in at 1.3 billion shares, while traded value stood at Rs77.9 billion. Bank of Punjab (BOP) emerged as the volume leader, with 95 million shares changing hands.

The session underscored continued bullish momentum at the PSX, as investors welcomed the New Year with fresh optimism and record-breaking gains.