The Pakistan Stock Exchange (PSX) saw volatile session, with the benchmark KSE-100 Index closing with a gain of nearly 800 points on Tuesday.
The market opened on a strong note, with an early sharp spike reflecting aggressive buying interest shortly after trading began. This initial rally, however, was not sustained, as the index entered a choppy phase amid escalating geopolitical tensions and a rise in trade deficit.
Around mid-day to early afternoon, the index experienced a noticeable dip, dropping to an intra-day low of 162,532.98.
In the latter half of the session, buying returned with the index climbing steadily and forming higher highs, eventually closing near the day’s peak.
At close, the benchmark index settled at 164,742.47, up by 793.53 points or 0.48%.
“Investors are weighing a massive local trade gap against a global energy standoff that could redefine the fiscal year,” said Behtari Capital on Tuesday.
“If the Strait of Hormuz standoff doesn’t de-escalate soon, the import bill could break the camel’s back.”
Index-heavy stocks, including HUBC, UBL, LUCK, INDU, and KTML, remained under sustained selling pressure, collectively weighing on the index by 167 points, Topline Securities said in its post-market report.
Pakistan’s trade deficit crossed $4 billion in April 2026 amid an increase in imports, data released by the Pakistan Bureau of Statistics (PBS) showed on Tuesday.
Meanwhile, the US and Iran launched new attacks in the Gulf on Monday as they wrestled for control over the Strait of Hormuz with duelling maritime blockades, not long after US President Donald Trump launched a new effort to get stranded tankers and other ships through the vital energy-trade chokepoint.
On Monday, PSX ended on a positive note, though early strong momentum faded amid renewed geopolitical uncertainty and volatility in global oil markets, tempering investor sentiment toward the close. The KSE-100 Index gained 954.77 points or 0.59% to settle at 163,948.94 points.
Internationally, stocks in Asia slid on Tuesday, while oil prices eased but remained well above $100 a barrel, as the US and Iran continue to work towards a truce even as they trade blows over the Strait of Hormuz.
Traders also had their eyes on the yen after the Japanese currency briefly jumped in the previous session, stoking speculation of another round of intervention from Tokyo.
MSCI’s broadest index of Asia-Pacific shares outside Japan was down 0.3%. Shares in Australia fell 0.4% in thinned Asia trade, while markets in Japan and South Korea were closed for a holiday.
Nasdaq futures and S&P 500 futures edged down about 0.1% each, while EUROSTOXX 50 futures lost 0.2% and FTSE futures fell 0.75%.
Meanwhile, the Pakistani rupee strengthened against the US dollar in the inter-bank market on Tuesday. At close, the local currency settled at 278.75, a gain of Re0.01 against the greenback.
Volume on the all-share index decreased to 453.22 million from 696.70 million recorded in the previous close.
The value of shares dropped to Rs22.78 billion from Rs34.91 billion in the previous session.
B.O.Punjab was the volume leader with 45.25 million shares, followed by Sui South Gas with 30.89 million shares, and WorldCall Telecom with 30.17 million shares.
Shares of 484 companies were traded on Tuesday, of which 221 registered an increase, 210 recorded a fall, and 53 remained unchanged.
Comments