KARACHI: The Pakistan Stock Exchange (PSX) continued its upward trend for the third consecutive session on Monday settling above 116,000 barrier after the International Monetary Fund (IMF) recognised significant progress on economic policy reforms following the conclusion of the first review over the weekend.

Topline Securities Ltd said the market experienced a positive session, with the benchmark KSE 100 index reaching a peak of 1,091 points. It closed at 116,199 points, marking a gain of 663 points or 0.57 per cent day-on-day. This performance was influenced by the government`s initiatives to tackle the power circular debt, though the Rs1.25 trillion deal is still awaiting final approval.

Furthermore, the IMFdescribed the progress of the $7 billion loan programme as `strong, despite the absence of a Staff-Level Agreement (SLA).

The market`s gainswere mainly driven by Mari Energies, PSO, Lucky Cement, OGDCL, and The Searle Company, which collectively added 658 points to the index.

Conversely, FaujiFertiliser, Engro Fertiliser, and Hub Power came under selling pressure and lost 200 points.

Ali Najib, Head of Sales at Insight Securities, said that the PSX remainedbullish despite no SLA so farbecause the countryis currently in the IMF`s Extended Fund Facility (EFF).

Over the weekend, the IMF issued a press releaseafter the conclusion of the first review and acknowledged Pakistan`s progress towards ongoing programme guidelines and implementation.

The press release highlighted key areas, such as fiscal consolidation, monetary policy, energy sector reforms, and structural improvements.

Ahsan Mehanti of Arif Habib Corporation said investors cheer that the IMF review concluded positively on significant progress towards SLA.

The $1bn tranche is expectedtobereleasedin May along with IMF board approval of $1bn climate financing. The surge in global crude oil prices and a bull run in global equities led to a bullish close. However, the market activity remained strong as the trading volume rose 40.79pc to 507.51 million shares while the traded value surged 62.1pc to Rs34.00bn day-on-day.