Karachi: The Karachi Stock Exchange's KSE-100 index is expected to gain traction following the continuation of a peace deal with Afghanistan, as analysts predict a shift in focus to improving macroeconomic fundamentals. October 2025 saw the index in negative territory due to ongoing border tensions, according to a report by AKD Securities Limited.

Despite the negative performance of the KSE-100 index in October, market depth showed signs of improvement. Trading volumes reached a record high, although the average traded value experienced a slight decline. This indicates an optimistic outlook among individual investors, who absorbed significant selling pressure from insurance companies and foreign investors.

AKD Securities Limited forecasts that the momentum in the KSE-100 will persist. The anticipated growth is attributed to moderating inflation, robust corporate profitability, lower-than-expected flood damages, and improved credit ratings by global agencies.

The report suggests that these factors, combined with the peace deal's stability, could bolster investor confidence and drive further gains in the market. As individuals maintain an optimistic outlook on the macroeconomic situation, the KSE-100 index is poised for potential growth.