Key Points
- KSE-100 jumps over 3pc in early trade
- Index hits high of 180,507.82, low of 179,047.16
- Volume crosses 109.9 million shares
- Asian markets mixed, Japan leads gains
ISLAMABAD: Pakistan stocks rallied sharply in early trade on Monday, with the benchmark KSE-100 Index rising more than 3 per cent after reports of an Iran-US economic understanding boosted investor sentiment.
Pakistan Stock Exchange‘s benchmark KSE-100 Index climbed to an intraday high of 180,507.82 points compared with the previous close of 178,922.75, before oscillating within a narrow range.
The index touched a low of 179,047.16 during the session as investors locked in early gains after a strong opening surge. Trading activity remained robust, with total volume reaching 109,918,845 shares.
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Market participants said the rally was driven largely by sentiment, with expectations that easing geopolitical tensions in the Middle East could reduce oil price risk premiums and support external stability in import-dependent economies such as Pakistan.
Pakistan’s energy stocks lead rally
Energy stocks and major index-heavy names led early buying, although some profit-taking emerged as the index approached higher intraday levels.
Despite short-term volatility, the broader market trend remains strongly positive. The KSE-100 is up 3.16 per cent year-to-date and has gained 49.60 per cent over the past year.
The index continues to trade well above its 52-week low of 115,887.49, though still below its peak of 191,032.73, indicating sustained but incomplete recovery in valuations.
Across Asia, equity markets showed a mixed performance. Japan’s Nikkei index remained supported near elevated levels, driven by a weaker yen and continued foreign inflows into export-oriented sectors.
Hong Kong shares traded unevenly amid concerns over China’s property sector and uneven recovery momentum, while mainland Chinese equities remained range-bound as policy support measures stabilised sentiment without triggering a strong upward breakout.
Elsewhere in the region, South and Southeast Asian markets broadly tracked global cues, with cautious optimism prevailing amid shifting expectations over global interest rates and geopolitical developments.
Analysts noted a continued divergence in regional performance, with Japan outperforming and China-linked markets lagging.
In global markets, sentiment remained broadly constructive in early trading as investors rotated into equities on improved geopolitical expectations.
However, analysts warned that volatility could resurface if developments surrounding the Iran–US understanding change or if energy markets react sharply to supply-side signals.
For Pakistan, market direction is expected to remain closely tied to foreign inflows, oil price stability, and domestic macroeconomic indicators, which continue to shape investor confidence and the broader trajectory of the equity market.
