KSE-100 surges 2,036 points on US decision to pause tariffs

KARACHI: The Pakistan Stock Exchange (PSX) rebounded strongly on Thursday, as the benchmark KSE-100 index surged by 2,036 points amid the US government’s decision to pause tariffs for 90 days.

The index surged by 2,036.05 points, or 1.78 per cent, to 116,189.21 points, up from the 114,153.16 points recorded in the last session. The highest index of the day remained at 117,484.17 points, while the lowest level was recorded at 116,130.9 points.

Ahsan Mehanti, an analyst at Arif Habib Corp, said, “Stocks staged sharp recovery led by scrips across the board after US tariff relief and policy reversal.” He said that the bull run in global equities, a surge in global crude oil prices, and govt hopes over success in Pak-US tariff talks played a catalyst role in the bullish closure in the earning season at the PSX.

The KSE-30 index increased by 549.81 points or 1.56 per cent to 35,750.23 points against 35,200.42 points. Traded shares increased by 190 million shares to 638.089 million shares from 448.693 million shares. The trading value rose to Rs36.924 billion from Rs26.585 billion. Market capital expanded to Rs14.235 trillion against Rs13.984 trillion. Of the 451 companies active in the session, 347 closed in green, 63 in red and 41 remained unchanged.

Analyst Naveed Nadeem at Topline Securities said the PSX closed on a positive note, as the KSE-100 index settled at 116,189 points, recording a substantial increase of 2,036 points or 1.78 percent. “This upward trajectory was fuelled by a strong rebound in US and other international equity markets, with the index rallying as much as 3,331 points during intraday trading,” he said.

The gains were predominantly driven by standout performances from key index movers including HUBC, OGDC, LUCK, UBL, and PPL. Collectively, these stocks contributed 633 points to the index.

The highest increase was recorded in Rafhan Maize Products Company Limited, which rose by Rs158.17 to Rs8,999 per share, followed by Hoechst Pakistan Limited, which increased by Rs144.31 to Rs3,200 per share. A significant decline was noted in Nestle Pakistan Limited, which fell by Rs22.87 to Rs7,183.48 per share; Ismail Industries Limited followed it, which closed lower by Rs16.83 to Rs1,756.91 per share.

Muhammad Hasan Ather, an analyst at JS Global, said that following gains in regional capital markets, the PSX responded positively to US President Donald Trump’s decision to pause tariffs for 90 days. The market remained in positive territory throughout the session, although some profit-taking emerged at higher levels.

“Going forward, we recommend a ‘buy-on-dips’ strategy, with a focus on oil and gas, pharmaceutical and cement stocks,” he suggested. Cnergyico PK remained the volume leader with 86.573 million shares, which closed higher by 20 paisas to Rs8.52 per share. K-Electric Ltd., with 57.922 million shares, followed it, which closed higher by 33 paisas to Rs4.54 per share.

Other significant turnover stocks included Sui South Gas, Pak Int Bulk, Maple Leaf, Pak Elektron, Fauji Cement, WorldCall Telecom, Citi Pharma Ltd and Sui North Gas. In the futures market, 312 companies recorded trading, 284 of which increased, 27 decreased and one remained unchanged.