Buying returns to bourse, KSE-100 gains nearly 1,400 points

A day after intense selling pressure, buying returned to the Pakistan Stock Exchange (PSX) on Tuesday after Iran and Israel announced a halt to attacks on each other, with the benchmark KSE-100 Index gaining nearly 1,400 points.

The KSE-100 Index opened on a strong footing and quickly moved into positive territory, touching an intra-day high of 171,022.94.

However, this momentum was not sustained in the latter hours as the market entered a choppy phase, with repeated swings between buying and selling pressure. Mid-session trading showed consolidation as investors appeared to lock in gains, leading to a gradual slide from the day’s high.

The benchmark index continued to drift lower in the latter half of the session, but remained comfortably above the previous close.

At close, the KSE-100 Index settled at 170,330.56, up 1,376.86 points or 0.81%.

“Market sentiment remained positive, supported by a decline in international crude oil prices following the easing of geopolitical tensions between Iran and Israel. The improving regional outlook helped strengthen investor confidence and encouraged broad-based buying activity,” brokerage house Topline Securities said in its post-market report.

“Although the market opened sharply higher, some gains were pared during the session as investors engaged in profit-taking. Nevertheless, sustained buying interest successfully absorbed selling pressure, enabling the index to remain firmly in positive territory throughout the day.”

On the index contribution front, heavyweight stocks including UBL, HBL, HUBC, LUCK, and MEBL collectively contributed 526 points to the benchmark index’s gain, Topline said.

On Monday, renewed exchanges of attacks between Iran and Israel and fading hopes for a near-term diplomatic breakthrough kept investors on the defensive, dragging PSX lower for another session as geopolitical uncertainty overshadowed otherwise healthy market participation. The KSE-100 Index slipped below the key 170,000-point psychological threshold for the first time since May 22, 2026 and ended at 168,953.71 points.

Internationally, Asian stock markets eked out a rally on ​Tuesday and oil prices came off highs after Israel and Iran said they would halt attacks on each other for now, while ‌ever-hopeful investors bought the latest dip in semiconductor stocks.

Analysts cautioned the bounce was narrowly based, with 60% of the S&P 500 finishing in the red overnight, even as the overall index edged up. Share futures for Wall Street and Europe were also lower in early trading.

Higher bond yields continued to test stretched equity valuations, with shipping through ​the Strait of Hormuz still badly restricted.

South Korea’s share market climbed 3.4%, having sunk more than 8% on Monday after a run of spectacular gains left valuations stretched and ​retail investors with extended margin positions.

Japan’s Nikkei firmed 0.9%, after losing 3.9% the previous session, while MSCI’s broadest index of Asia-Pacific shares outside Japan rose 1.5%.

Chinese blue chips added 0.4% as trade data showed exports rose 19.4% in May and imports climbed 27.4%, with both beating median forecasts. The strength shows China’s success in finding new markets in ​the face of U.S. tariffs and other trade hurdles, even as domestic demand struggles.

Meanwhile, the Pakistani rupee gained against the US dollar, appreciating 0.01% in the inter-bank market on Tuesday. At close, the local currency settled at 278.37, a gain of Re0.03 against the greenback.

Volume on the all-share index decreased to 767.45 million from 657.97 million recorded in the previous close.

The value of shares declined to Rs27.18 billion from Rs22.59 billion in the previous session.

TPL Properties was the volume leader with 56.53 million shares, followed by TPL Corp Ltd with 50.80 million shares, and Pace (Pak) Ltd with 43.23 million shares.

Shares of 492 companies were traded on Tuesday, of which 351 registered an increase, 104 recorded a fall, and 37 remained unchanged.