Strong buying drives PSX recovery as easing US-Iran tensions and lower oil prices lift investor sentiment
The benchmark KSE-100 Index of the Pakistan Stock Exchange rebounded sharply on Monday, gaining nearly 1,100 points as investor sentiment improved on hopes of easing geopolitical tensions following renewed talks between Iran and the United States.
The KSE-100 Index closed at 162,896.68 points, up 1,091.66 points or 0.67% from the previous close of 161,805.02. During the session, the index hit a high of 164,309.64 and a low of 162,563.58, while traded volume stood at 169,982,745 shares and total value at 18.97 billion rupees.
Market participants said the rebound reflected renewed buying interest after recent losses, with the index maintaining upward momentum throughout the trading session. The benchmark briefly surged as much as 2,504 points intraday before easing at close.
Analysts at Topline Securities Limited said the local bourse staged a strong recovery as investor confidence improved, supported by easing geopolitical concerns linked to US-Iran negotiations and a mild decline in global oil prices.
They said lower crude prices helped ease inflationary concerns and strengthened expectations of macroeconomic stability.
Heavyweight stocks including United Bank Limited (UBL), Bank AL Habib (BAHL), Fauji Fertilizer Company (FFC), Oil and Gas Development Company (OGDC), and Pakistan Petroleum Limited (PPL) led gains, collectively contributing 751 points to the index.
Market participation remained relatively subdued, with total traded volume reaching 391 million shares and turnover at 22.9 billion rupees, higher than the previous session. Cnergyico PK Limited (CNERGY) led volumes with 23.9 million shares traded.