PSX extends gains as KSE-100 Index gains over 2.2%

Buying momentum continued at the Pakistan Stock Exchange (PSX), with the benchmark KSE-100 Index gaining over 2.2% on Thursday, reflecting aggressive buying activity across the board.

The market opened on a positive note and witnessed some early volatility during the first trading minutes, where the index briefly dipped after touching intra-day low of 166,638.56.

However, investor sentiment quickly strengthened, triggering a sustained upward trajectory for the remainder of the session.

By mid-day, the index traded firmly above the 167,500 level, indicating renewed institutional and retail participation.

The rally gathered further pace in the second half, with the KSE-100 steadily climbing toward the intra-day high of 168,869, before some mild profit-taking emerged near the close.

At close, the benchmark KSE-100 Index settled at 168,514 points, up 3,683 points or 2.23%.

“The bulls stood firm in today’s trading session as investor confidence returned strongly to the local bourse, driven by encouraging developments in the ongoing US-Iran negotiations and a decline in international oil prices,” brokerage house Topline Securities said.

“Growing optimism over easing geopolitical tensions lifted overall sentiment, prompting aggressive buying across key sectors. The fall in oil prices, amid expectations of a constructive outcome in the US-Iran talks, further strengthened investor confidence,” it added.

The rally was primarily fueled by heavyweight stocks, including UBL, FFC, LUCK, HBL, and HUBC, which collectively contributed 1,608 points to the benchmark index, playing a key role in sustaining the market’s upward trajectory, Topline said.

“Investors who were panic selling just 48 hours ago are now racing back into the market as the global narrative shifts from imminent conflict to a potential diplomatic breakthrough,” said Behtari Capital.*

In a key development, Pakistan and the International Monetary Fund (IMF) will continue discussions on the federal budget for fiscal year 2027 in the coming days, following the conclusion of a staff-level visit.

On Wednesday, PSX extended its upward momentum as improving investor confidence encouraged aggressive buying across major sectors and lifted the benchmark index firmly into positive territory. The KSE-100 Index gained 1,934.74 points or 1.19% to settle at 164,831.42 points.

Globally, Asian stocks surged on ​Thursday as some vessels resumed passage through the Strait of Hormuz, while forecast-beating results at Nvidia and a suspended workers’ strike at Samsung Electronics lifted shares of ‌chipmakers.

MSCI’s broadest index of Asia-Pacific shares outside Japan climbed 2.6%, snapping a four-day streak of losses. Korea’s KOSPI leapt more than 7%, Taiwanese shares rose 3.5% and Chinese blue-chips gained 1.1%.

Brent crude futures edged up 0.6% to $105.68 a barrel in Asian trade, retracing declines after three supertankers passed through the strait on Wednesday and Iran consolidated its control of the waterway. Supply concerns persist, though, following a U.S. inventory drawdown.

On Wall Street on Wednesday, the S&P 500 rose 1.1%, while the ​Nasdaq Composite rallied 1.5% after three days of declines, as President Donald Trump said the United States was ready to proceed with further attacks on Iran if Tehran did not agree ​to a peace deal, but suggested Washington could wait a few days to “get the right answers.”

Meanwhile, the Pakistani rupee posted marginal gain against the US dollar in the inter-bank market on Thursday. At close, the local currency settled at 278.55, a gain of Re0.01 against the greenback.

Volume on the all-share index jumped to 729.40 million from 386.39 million recorded in the previous close.

The value of shares rose to Rs34.99 billion from Rs20.12 billion in the previous session.

Hascol Petrol was the volume leader with 57.00 million shares, followed by Sitara Petroleum with 56.52 million shares, and Aisha Steel Mill with 31.04 million shares.

Shares of 490 companies were traded on Thursday, of which 330 registered an increase, 120 recorded a fall, and 40 remained unchanged.