Pakistan Stock Exchange Surges 5,449 Points on Strong Buying Momentum

KARACHI:

The Pakistan Stock Exchange (PSX) experienced a robust rally on Tuesday, with the benchmark KSE-100 index climbing over 5,400 points as investors returned from a long weekend with heightened enthusiasm. The surge was fueled by robust remittance inflows and declining international oil prices, which bolstered market confidence.

The index closed at 179,335.24, marking an increase of 5,448.56 points, or 3.13%. It maintained positive momentum throughout the session, reaching an intra-day high of 179,424.04 and a low of 176,273.72. The market reopened after a public holiday on Monday for Iqbal Day, and the return of investors coincided with favorable domestic and global developments, sparking broad-based buying.

Domestically, strong remittance flows reinforced investor confidence by strengthening the country’s external account. Additionally, a drop in global oil prices provided relief, alleviating concerns about Pakistan’s import costs and inflationary pressures. Crude prices extended their decline following statements from President Trump that minimized the prospect of further military action, easing fears of supply disruptions in the Middle East.

According to Ali Najib, Deputy Head of Trading at Arif Habib Limited, the PSX continued its bullish trend, decisively reclaiming the 175,000 psychological level. The market opened positively, driven by a sharp correction in oil prices after the Democrats’ gains in the US midterm elections. West Texas Intermediate (WTI) crude fell below $87 per barrel, while Brent crude dropped to $96 from $102 previously, an over 8% decline, he noted.

This retreat in oil prices lifted investor sentiment, encouraging widespread buying and helping the index recapture the 175,000 mark for the first time since September 1, 2026. The US election outcomes fueled optimism about potential de-escalation in the Middle East, supporting a broader recovery in global risk appetite, Najib added.

Key contributors to the rally included UBL, Lucky Cement, Meezan Bank, Systems Ltd, Engro Holdings, Bank AL Habib, HBL, Hub Power, Oil & Gas Development Company, and Pakistan Petroleum, which collectively added 1,981 points to the index. “Looking ahead, the market is poised to sustain its bullish momentum amid easing oil prices and improved global risk appetite. However, profit-taking at higher levels may lead investors to remain selective and cautious,” he remarked.

Topline Securities highlighted that investor sentiment remained positive due to falling oil prices and reduced geopolitical tensions between the US and Iran. UBL, FFC, HUBC, LUCK, and MEBL were the top positive contributors, adding 1,982 points and providing significant support to the market’s performance.

Overall, trading volumes declined to 972.4 million shares from 1.5 billion on Friday, with the total value of traded shares at Rs50.7 billion.

A total of 501 companies were traded in the ready market, with 363 closing higher, 107 falling, and 31 remaining unchanged.

Cnergyico Pk led in volume with 70.1 million shares traded, closing down Rs0.75 at Rs11.35. Foreign investors purchased shares worth Rs1.68 billion, according to the National Clearing Company.

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