Buying interest returned to the Pakistan Stock Exchange (PSX) early Tuesday, pushing the benchmark KSE-100 Index up by more than 900 points during opening trade, before profit-taking erased gains later in the session.
The market opened on a positive note despite rising global geopolitical tensions and uncertainty over the economic outlook. Investors initially bought shares across major sectors, including automobile assemblers, cement, commercial banks, oil and gas exploration companies, oil marketing firms, power generation and refineries.
At around 9:50am, the benchmark KSE-100 Index climbed 909 points, or 0.53 percent, to 171,415.35 points. However, selling pressure later pulled the market into negative territory.
By 12:39pm, the index had dropped to 169,959.02 points, down 547.29 points, or 0.32 percent, from the previous close of 170,506.31 points.
The market touched an intraday high of 171,571.55 points and a low of 169,928.87 points, with trading volume crossing 257 million shares.
Major index-heavy stocks including ARL, HUBCO, MARI, OGDC, PPL, POL, MCB, Meezan Bank, National Bank and UBL traded higher during the early session, helping the market recover from Monday’s losses.
Among actively traded shares, Cnergyico Holdings gained 5.89 percent, while WorldCall Telecom and KOSM also posted gains. On the other hand, Hascol Petroleum remained under pressure and lost nearly 8 percent, while K-Electric, AGHA Steel and Fauji Foods traded lower.
Several stocks hit the upper circuit during the session. TRG Pakistan surged over 10 percent, while GOC, SGPL, BPL and SUTM also recorded strong gains. Meanwhile, stocks including PKGI, SERT and EWIC remained among the top losers.
Global concerns keep investors cautious
Analysts said investor sentiment remained fragile due to geopolitical tensions between the US and Iran, along with uncertainty surrounding global inflation and interest rate expectations.
On Monday, the PSX had ended lower after a range-bound session, with the KSE-100 Index losing 609 points as investors remained cautious amid concerns over tensions in the Middle East.
Global markets also remained under pressure on Tuesday. Oil prices moved higher as hopes for a breakthrough over the Strait of Hormuz weakened. Brent crude rose around 0.7 percent to $105 per barrel.
Investors were also closely watching upcoming US inflation data, which could shape expectations about future Federal Reserve interest rate decisions. Higher-than-expected inflation may reduce hopes for rate cuts later this year and could increase volatility across global financial markets.
Asian equities mostly traded lower, while European futures also pointed to a weaker opening as traders assessed geopolitical risks and rising energy prices.
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