KARACHI: The Pakistan Stock Exchange (PSX) opened Tuesday on a strong note, with benchmark indices climbing as investors looked past sharp rhetoric from Tehran and Washington and placed cautious bets on the possibility of a second round of peace talks in Islamabad.
By 9:35 a.m., the KSE‑100 Index had surged 1,746 points, or 1 percent, to 173,943.68, while the broader All‑Share Index gained 944 points to 103,732.98. The KSE‑30 advanced 554 points to 52,874.97, reflecting broad‑based buying across blue‑chip counters.
Trading activity was brisk, with nearly 29 million shares changing hands in 12,932 transactions, generating a value of Rs1.19 billion. Out of 564 active symbols, 255 advanced, 48 declined, and 261 remained unchanged, underscoring a market tilted toward optimism.
Sectoral indices also posted gains, with the Banking Index rising 1.42 percent and the Oil & Gas Index up 0.65 percent, suggesting confidence in financials and energy despite ongoing volatility in global crude markets.
Investor sentiment was further buoyed by news that the State Bank of Pakistan has received a second tranche of $1 billion from Saudi Arabia, strengthening foreign exchange reserves and easing concerns over external financing.
Market participants said the rally reflected hopes that Pakistan’s mediation efforts could still yield progress, even as Iran publicly ruled out sending a delegation for talks with the United States. “Investors are betting that behind‑the‑scenes diplomacy may soften positions,” one trader remarked.
Analysts cautioned, however, that sentiment remains fragile. “The market is pricing in optimism, but any further escalation in the Gulf could quickly reverse these gains,” a brokerage note observed.
For now, the KSE‑100’s early surge highlights the resilience of investor confidence in Pakistan’s role as mediator, with hopes that diplomacy may yet temper geopolitical risks weighing on the economy.
