PSX Climbs 400 Points in Cautious Trade Amid Geopolitical Watch

KARACHI:

The Pakistan Stock Exchange (PSX) closed Tuesday’s session nearly 400 points higher in a cautious trading day, as the benchmark KSE-100 index hovered just below the key 178,000 resistance level. The index ultimately settled at 177,370.71, marking a gain of 404.02 points, or 0.23%.

Banking and fertiliser sectors led the upward momentum, with United Bank Limited (UBL), Meezan Bank, and Fauji Fertiliser Company emerging as the top contributors. However, losses in oil & gas and technology stocks—particularly OGDC, Engro Holdings, and Systems Ltd—weighed on overall performance.

Investor sentiment was also influenced by unfolding geopolitical developments following a one-day diplomatic visit by Pakistan’s army chief to Iran, aimed at easing regional tensions. Iranian officials described the visit as productive, expressing optimism over future diplomatic outcomes. Meanwhile, international oil prices slipped approximately 3%, adding to market dynamics.

Arif Habib Limited (AHL) reported that despite attempts, the KSE-100 was unable to breach the 178,000-180,000 resistance zone, with intraday highs reaching 177,800. Market breadth remained narrow, with only 45 stocks advancing compared to 53 declining. UBL rose 2.72%, Meezan Bank added 1.42%, and FFC inched up 0.53%, while OGDC dropped 1.10%, Engro Holdings declined 0.77%, and Systems Ltd fell 1.24%.

For the week, the index was up 0.12%, contributing to a 0.72% gain for the month and 1.91% year-to-date. Total market capitalization reached Rs19,892.3 billion ($71.7 billion), with trading volumes at 644.8 million shares valued at Rs31.4 billion.

Topline Securities echoed similar observations, noting that the index recovered from initial weakness during the session, driven by selective buying in blue-chip names. Despite the volatility, investor caution persisted, with market direction largely dependent on near-term news flow ahead of the market closure on Wednesday for 12th Rabiul Awwal.

On the flip side, heavyweight laggards like OGDC, Engro Holdings, and Systems Ltd collectively erased 201 points from the index. In contrast, top gainers including UBL, Meezan Bank, Fauji Fertiliser, HBL, and Lucky Cement contributed roughly 667 points to the index’s upward movement.

Overall trading activity declined slightly, with ready-market volumes totaling 644.84 million shares, down from 933.52 million in the prior session. The total value of shares traded stood at Rs31.37 billion. Of the 499 actively traded companies, 223 closed in positive territory, 229 declined, and 47 remained unchanged.

Cnergyio Pk led volume charts with 117.90 million shares changing hands, edging up by Rs0.10 to close at Rs14.27. Following closely, First National Equities traded 79.30 million shares, rising Rs0.13 to Rs1.30, while Pakistan Refinery saw 43.03 million shares transact, advancing Rs3.85 to settle at Rs90.59. Foreign investors offloaded securities worth Rs1 billion, according to data released by the National Clearing Company.

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