KARACHI: The Pakistan Stock Exchange (PSX) on Tuesday regained its footing after a mid-session sell-off, closing higher as renewed buying interest helped the benchmark KSE-100 index recoup earlier losses.
Investor sentiment received a boost from growing expectations of a breakthrough in US-Iran diplomatic efforts, though profit-booking in the latter part of the session temporarily trimmed gains. Buyers returned later in the day to steer the market back into positive territory. The KSE-100 index closed up 248.92 points, or 0.15%, at 171,402.08, with an intra-day high of 171,680.74 and a low of 170,866.94. Oil and gas exploration, cement, and power stocks spearheaded the recovery, while weakness in commercial banks and fertiliser shares kept the advance modest.
According to Ahmed Sheraz at KASB KTrade, the index gained 249 points on the back of 123 million shares traded. The market remained mildly positive as easing geopolitical concerns and lower international oil prices supported sentiment. Oil and gas stocks staged a recovery after Brent crude slipped below $100, trading around $98 and alleviating worries over inflationary pressures.
Investor confidence was further bolstered by reports that Iran had conveyed to the US administration its willingness to reopen the Strait of Hormuz within seven days if Washington lifted the blockade. This development raised hopes of improved oil flows and a reduced geopolitical risk premium, providing support to the oil segment, Sheraz added. He anticipated that the market would remain cautiously positive, with Brent prices, US-Iran developments, and Hormuz shipping traffic serving as key drivers.
“Oil and gas and cement sectors provided notable support during Tuesday’s session, while buying interest was also visible across pharma, power, technology, and engineering stocks,” commented JS Global analyst Mubashir Anis Naviwala.
On the other hand, bank and fertiliser stocks remained relatively subdued. International oil prices eased to a two-week low amid expectations of improving supply from the Gulf region. Overall, the session reflected selective buying with a cautious tone as investors continued to monitor regional developments and oil-market conditions, Naviwala added.
Arif Habib Limited Deputy Head of Trading Ali Najib said sentiment was initially fragile, but the KSE-100 gained 249 points, or 0.15%, to close at 171,402. Value hunters showed renewed interest as oil prices fell on easing supply concerns and diplomatic efforts to reopen the Strait of Hormuz gained momentum. He expected the market to remain volatile, with selective buying likely if geopolitical tensions eased further and oil prices continued to decline.
In corporate news, Sitara Petroleum Service posted FY26 earnings of Rs4,976 million, up 69% year-on-year, while fourth-quarter FY26 profit fell 10% to Rs570 million due to inventory losses, lower supplies, and the absence of volumetric discounts. Dealer margins stood at Rs8.64 per litre. The company declared a final cash dividend of Re1 per share, taking the FY26 payout to 34%.
Mari Energies, PPL, Hub Power, Fauji Cement, and Lucky Cement collectively added 233 points to the index, while Bank AL Habib, Fauji Fertiliser, MCB Bank, Bank Alfalah, and Askari Bank dragged it down by 216 points. Cumulatively, trading volumes decreased to 641.8 million shares compared with Monday’s tally of 692.9 million.
In the ready market, shares of 494 companies were traded. Of these, 226 stocks closed higher, 221 fell, and 47 stood unchanged.
Tasdeeq Information led the volumes with trading in 133.2 million shares, losing Rs0.09 to close at Rs4.91. Foreign investors bought shares worth Rs323.7 million, the National Clearing Company reported.
