The KSE-100 index reached an all-time high of 98,467.52 points during intra-day trading, surpassing its previous close of 97,328.39 points.

This surge in the benchmark index was driven by sustained optimism surrounding Pakistan’s macroeconomic outlook, which has contributed to a positive market sentiment.

The day's trading volume was impressive, with 137.09 million shares traded, valued at Rs9.26 billion.Analysts attribute the rise to investor optimism over economic reforms and fiscal policies, reinforcing the bullish sentiment in the market.

A day earlier, stiock market skyrocketed to unprecedented heights as the KSE-100 index shattered the previous record, surging past the 97,000 mark for the first time in history.

The rally, during which the index soared nearly 1,800 points, was fuelled by a broad-based surge in stocks as investors brushed off political anxiety and responded to the drop in government bond yields as well as a wave of positive economic data, including the current account surplus, higher remittances and exports.

At the heart of the market's advance were fertiliser stocks, which became a key focus for investors. Surging foreign exchange reserves and speculation about reforms and privatisation of state enterprises added fuel to the market's remarkable growth.

With brief selling earlier in the day, the index touched its intra-day low of 95,300.21 points. However, a strong buying spree pushed it to the intra-day high of 97,437.15 towards the end of trading.

"Stocks closed bullish, led by across-the-board activity, as investors reacted to the drop in government bond yields and strong economic data, including the current account surplus, remittances, exports and foreign investment," said Arif Habib Corp MD Ahsan Mehanti.

Surging foreign exchange reserves and speculation about economic reforms and privatisation acted as catalysts for the record surge at the PSX, he added.

At the end of trading, the benchmark KSE-100 index posted a sharp increase of 1,781.94 points, or 1.87%, and settled at 97,328.40.

Topline Securities, in its commentary, observed that the market demonstrated a bullish trajectory, reaching the intra-day high of 97,437. Investor confidence was boosted following the army chief's meeting with the business community, it said.

Additionally, aggressive buying in the fertiliser sector, particularly Fauji Fertiliser Company and Fauji Fertiliser Bin Qasim, contributed to the positive momentum.

Key contributors to the index included Fauji Fertiliser Company, Engro Ferilisers, Engro Corporation, Fauji Fertiliser Bin Qasim, and Oil and Gas Development Company, which added 1,196 points, Topline said.

Arif Habib Limited (AHL), in its report, wrote that a strong recovery, led by fertiliser stocks, propelled the KSE-100 to new highs, with a gain of 1.87% day-on-day.

A total of 61 stocks advanced, while 37 declined. The most significant contributors to the index's upside were Fauji Fertiliser Company (+10%), Engro Fertilisers (+5.29%) and Engro Corp (+4.12%).

AHL mentioned that Haleon Pakistan, a leading health and wellness company, was expected to import, launch and later manufacture Centrum multivitamins in Pakistan, marking a significant move in the local market. Heading into Friday's session, the KSE-100 is currently up 2.8% week-on-week, with the 100,000 milestone within touching distance, it added.

JS Global analyst Mubashir Anis Naviwala commented that the KSE-100 index soared to an all-time high of 97,328, recording an impressive gain of 1,782 points. Significant interest was observed in pharma, exploration and production (E&P), and fertiliser sectors. The analyst advised investors to consider a buy-on-dips strategy, with a particular focus on pharma, fertiliser, automobile, E&P and technology sectors.

Overall trading volumes dropped to 969.9 million shares compared with Wednesday's tally of 1,138 million. The value of shares traded during the day was Rs35.2 billion.

Shares of 457 companies were traded. Of these, 249 stocks closed higher, 167 fell and 41 remained unchanged.

WorldCall Telecom was the volume leader with trading in 95.6 million shares, gaining Rs0.1 to close at Rs1.38. It was followed by Pace Pakistan with trading in 51.5 million shares, gaining Rs0.32 to close at Rs5.81 and Kohinoor Spinning Mills with 48.3 million shares, losing Rs0.58 to close at Rs8.40.

During the day, foreign investors were net sellers of shares worth Rs1.02 billion, according to the NCCPL.