PSX rebounds as KSE-100 gains nearly 2,000 points

KARACHI: Buying activity returned to the Pakistan Stock Exchange (PSX) on Tuesday, with the benchmark KSE-100 Index rising nearly 2,000 points during the opening minutes of trading.

By 9:35am, the index had climbed 1,999.58 points, or 1.19%, to reach 169,970.23 points.

Positive sentiment was witnessed across several major sectors, including automobile assemblers, cement, commercial banks, oil and gas exploration companies, oil marketing companies, power generation and refineries.

Major stocks such as Attock Refinery Limited (ARL), Hub Power Company (HUBCO), Mari Petroleum (MARI), Oil and Gas Development Company (OGDC), Pakistan Petroleum Limited (PPL), Pakistan Oilfields Limited (POL), Pakistan State Oil (PSO), MCB Bank, Meezan Bank, Habib Bank Limited and National Bank of Pakistan traded in positive territory.

The market’s recovery followed a sharp decline in the previous session, when the KSE-100 Index shed 2,541.20 points to close at 167,970.66.

Monday’s sell-off was driven by concerns over escalating tensions between the United States and Iran, disruptions to shipping through the Strait of Hormuz and international oil prices remaining above $100 per barrel.

Investors remained cautious about the potential impact of higher fuel costs on inflation, Pakistan’s import bill and the future direction of monetary policy.

Meanwhile, Pakistan’s foreign exchange reserves held by the State Bank of Pakistan (SBP) rose to a record $21.4 billion following inflows from Eurobond proceeds.

The country raised approximately $3 billion through a dual-tranche Eurobond issuance during the first week of September. The transaction marked Pakistan’s largest-ever global bond offering in a single issuance.

International markets also remained under pressure on Tuesday as investors monitored developments in the Middle East, elevated oil prices and rising bond yields ahead of key central bank meetings.