ISLAMABAD: Pakistan’s benchmark stock index rose more than 4.5% on Wednesday, gaining over 6,700 points, as falling oil prices and strength in global equities lifted investor sentiment, analysts said.
The KSE-100 Index gained 6,768.25 points, or 4.55%, to close at 155,511.56, up from 148,743.31 in the previous session, according to Pakistan Stock Exchange data.
“The upward trend was largely supported by declining international oil prices, which bolstered investor confidence,” Senior Equity Trader Naveed Nadeem said in a market review by Topline Securities.
“Furthermore, positive performance in global equity markets provided additional impetus to the bullish momentum.”
The rally comes as markets react to developments in the Middle East, where tensions following US and Israeli strikes on Iran and Tehran’s retaliation have disrupted energy infrastructure and shipping routes, including through the Strait of Hormuz, a key global oil artery.
Pakistan’s market has remained highly sensitive to such developments, with fluctuations in oil prices and geopolitical signals driving recent volatility.
Earlier in the session, trading was temporarily halted after a sharp rally pushed a key index up more than 5%, triggering an automatic suspension under exchange rules.
Topline Securities said about 670 million shares were traded during the session, with K-Electric Limited leading volumes at more than 78 million shares.
Arif Habib Commodities Chief Executive Officer Ahsan Mehanti said investor sentiment was also supported by expectations that US forces could scale down operations in Iran.
“Surging global equities, upbeat data on remittances, FX reserves and diplomatic role in securing crude supplies, promoting peace talks to resolve Middle East conflict played catalyst role in bullish activity at PSX,” he said.
