The KSE-100 index experienced seesaw movements during the outgoing week.
KARACHI:
The Pakistan Stock Exchange (PSX) recorded a modest rebound on Tuesday, with the benchmark KSE-100 index rising 1,421.67 points (0.85%) to close at 169,392.33, supported by renewed buying in key sectors and improved investor sentiment.
During the session, the index fluctuated between an intraday high of 169,988 and a low of 169,189, as investors rebuilt positions in heavyweight stocks, fueling a broad market recovery.
The rebound received a boost from growing confidence after the State Bank of Pakistan (SBP) held the policy rate steady at 11.5% on Monday, which alleviated worries about an abrupt monetary policy change and strengthened rate-sensitive stocks.
Buying interest spread across auto assemblers, cement producers, commercial banks, oil and gas exploration companies, refineries, power generators, and oil marketing firms, signaling broad-based participation in the recovery.
Despite ongoing concerns about the US-Iran conflict and risks to regional oil supplies, the market recovered some of its recent losses. Crude oil prices increased nearly 2% on Tuesday due to persistent supply disruption fears following attacks on Saudi energy infrastructure, which took the kingdom’s East-West pipeline offline and raised doubts about Gulf shipping risk mitigation efforts.
Ahmed Sheraz, an equity trader at KASB KTrade, observed that the stock market maintained a positive tone throughout the session, finding strong support from commercial banks, cement, pharmaceutical, and oil and gas stocks, which reflected broad-based buying interest across key sectors.
Individually, UBL, Fauji Fertilizer, Lucky Cement, and Bank Alfalah stood out as notable contributors, helping to sustain the index’s upward momentum. Additionally, the bourse took cues from improving global market sentiment, which provided a favorable backdrop for local equities.
Overall, the session underscored renewed confidence following the SBP’s policy rate hold, with buying interest spreading across multiple sectors. Looking ahead, Sheraz noted that global sentiment, oil prices, and macroeconomic developments would continue to be the primary market drivers.
Ali Najib, Deputy Head of Trading at Arif Habib Limited, stated that investors engaged in selective buying across auto assemblers, cement firms, commercial banks, exploration and production (E&P) companies, refineries, power companies, and oil marketing companies (OMCs) following the SBP’s decision to maintain the policy rate at 11.5%.
On the corporate front, Mughal Iron & Steel Industries reported a 2.6-fold year-on-year increase in profit to Rs2.487 billion for fiscal year 2026, with earnings per share reaching Rs7.41. This growth was driven by improved margins, reduced finance costs, and higher other income. The company also announced a dividend of Rs2 per share, marking its first payout in two years.
UBL, Fauji Fertilizer, Lucky Cement, Bank Alfalah, Pakistan Services, Pakistan Oilfields, Engro Holdings, Bank AL Habib, MCB, and Systems Ltd led the gains, together contributing 1,024 points to the index. Najib anticipates continued market volatility, with selective profit-taking and stock-specific movements likely during the ongoing earnings season.
Overall trading volume decreased to 372 million shares, down from Monday’s 570.5 million shares. The total value of traded shares amounted to Rs17.2 billion.
In the ready market, shares of 494 companies were traded. Of these, 280 stocks closed higher, 166 declined, and 48 remained unchanged.
Cnergyico Pk topped the volume chart with 56.2 million shares traded, closing unchanged at Rs12.81. Foreign investors purchased shares worth Rs143 million, as reported by the National Clearing Company.
