PSX: Buying continues, KSE-100 gains over 800 points

Buying continued at the Pakistan Stock Exchange (PSX), with the benchmark KSE-100 Index settling with a gain of over 800 points during a volatile trading session on Wednesday.

The benchmark index opened with a sharp upward move before facing selling pressure in the early session.

After briefly moving above 172,400, the benchmark retreated towards the 172,000 level before recovering steadily through the late morning. Buying momentum strengthened around noon, pushing the KSE-100 to its intraday high of 172,762.41.

The rally, however, failed to sustain at the upper levels and the index gradually lost ground through the afternoon, slipping from above 172,600 to around 172,100–172,000 by 2pm.

The index remained largely range-bound during the latter part of the session before staging a modest rebound during the final hour of trading.

At close, the benchmark index settled at 172,232.51, up by 830.43 points or 0.48%.

“The local bourse staged a strong recovery today, as easing international oil prices and improving US-Iran dynamics provided a much-needed boost to investor sentiment,” said Topline Securities in its post-market commentary.

The brokerage house noted that the positive momentum was supported by softer global oil prices and signs of easing tensions between the US and Iran, helping revive risk appetite and ease concerns surrounding regional and external account pressures.

“The refinery sector stole the spotlight, with PRL hitting its upper circuit, while ATRL, NRL, and CNERGY also closed higher amid market chatter that the long-awaited refinery policy could be signed as early as tomorrow or Friday.

“Index-heavy names provided further fuel to the rally, with FFC, UBL, MEBL, ATRL, and ENGROH emerging as the major contributors, collectively adding approximately 493 points to the index,” it added.

In a key development, an International Monetary Fund (IMF) mission led by Iva Petrova has started discussions with Pakistani authorities for the next review under the $7-billion Extended Fund Facility (EFF) and the Resilience and Sustainability Facility (RSF), official sources told Business Recorder.

On Tuesday, the PSX closed marginally higher, as late-session value-hunting helped the market recover from early weakness amid declining international oil prices and developments surrounding efforts to ease regional tensions.

The benchmark KSE-100 remained range-bound during the session before settling at 171,402.08 points.

Globally, Asian shares were aiming for a sixth session of gains on Wednesday as signs of consumer demand for AI apps continued to buoy ​tech stocks, while oil prices faltered on reports of increased supply out of the Middle East.

Sources told Reuters Saudi Arabia had ‌restarted operations at its East-West Pipeline and may have already resumed exports from the Red Sea port of Yanbu.

US President Donald Trump also claimed talks with Iran in New York had made progress, but then threatened to “annihilate” the country if a deal was not done.

Iranian President Masoud Pezeshkian addresses the UN General Assembly later on Wednesday and markets ​are alive to reports he might hold talks with Trump.

Chinese President Xi Jinping arrives in Washington later in the day amid speculation that a trade truce between the ⁠two countries will be extended, and there could be cooperation over AI.

Renewed buzz over AI helped South Korean stocks gain 1.2%, with Samsung and ​SK Hynix both up over 2%. Taiwan firmed 0.9%, to near all-time peaks.

MSCI’s broadest index of Asia-Pacific shares outside Japan added 0.7%, having now risen ​for six straight days. Chinese blue chips were little changed.

Japanese markets were closed for a holiday, but Nikkei futures were trading at 66,745, almost 2,000 points above where the cash Nikkei closed on Friday.

Meanwhile, the Pakistani rupee extended its marginal gains against the US dollar in the interbank market on Wednesday. The local unit closed the day at 277.20, a gain of Re0.01 against the greenback.

Volume on the all-share index increased to 773.59 million from 641.83 million recorded in the previous close.

The value of shares jumped to Rs26.45 billion from Rs18.47 billion in the previous session.

Cnergyico PK was the volume leader with 150.27 million shares, followed by WorldCall Telecom with 91.08 million shares, and Tasdeeq Information with 58.64 million shares.

Shares of 496 companies were traded on Wednesday, of which 262 registered an increase, 196 recorded a fall, and 38 remained unchanged.