Key Points
- Index moves between 147,743.67 and 150,225.63 before closing at 148,743.31
- Buying interest returns after the previous session’s heavy sell-off
- Global cues and geopolitical developments improve investor sentiment
- Trading activity remains subdued as volumes stayed low
ISLAMABAD: The Pakistan Stock Exchange witnessed a volatile recovery on Tuesday as buying interest returned after a sharp decline in the previous session, pushing the benchmark KSE-100 Index up by more than 1,900 points or 1.29 per cent.
The market opened under pressure and slipped to an intra-day low of 147,743.67 amid cautious sentiment and continued profit-taking.
Selling pressure eased gradually as buyers re-entered the market, lifting the index back toward the 149,000 level.
Momentum strengthened after midday when the benchmark surged past the 150,000 mark to touch an intra-day high of 150,225.63.
The rally could not sustain at higher levels, and the index retreated in the final trading hour before settling at 148,743.31.
Market participants attributed the rebound to shifting global risk perceptions after reports suggested US President Donald Trump was signalling willingness to end military operations against Iran, even if the Strait of Hormuz remains partially constrained.
The development helped ease concerns over immediate escalation and supported broader risk assets.
Analysts said investors also positioned ahead of expectations surrounding a briefing from the United States Department of War, which contributed to selective buying in key index-heavy stocks.
Arif Habib Ltd Deputy Head of Trading Ali Najib noted that macroeconomic stability efforts remained in focus.
He highlighted State Bank of Pakistan foreign exchange interventions worth $12.4 billion between June 2024 and December 2025, including $1.0 billion in December alone.
March 2026 has been a difficult month for equities, with the KSE-100 Index declining by 19,319 points or 11.5% on a month-on-month basis before the latest recovery.
The previous session on Monday extended losses for a fourth consecutive trading day, with the index closing at 146,842.97 after shedding 4,864.54 points or over three per cent amid geopolitical tension and weak investor participation.
In global markets, equities and bonds remained under pressure as investors reacted to persistent geopolitical uncertainty and shifting interest rate expectations.
Oil prices stayed on track for strong monthly gains, while Asian markets extended losses, reflecting broader risk-off sentiment.
Currency markets showed relative stability, with the Pakistani rupee posting a marginal gain of Rs 0.01 to close at Rs 279.15 against the US dollar in the inter-bank market.
Market activity remained subdued, with trading volume on the all-share index falling to 434.96 million shares from 529.13 million in the previous session.
Total traded value also declined to Rs 22.54 billion from Rs 29.60 billion.
K-Electric led volumes with 46.92 million shares, followed by Dost Steels with 36.12 million shares and WorldCall Telecom with 27.97 million shares.
Out of 479 traded companies, 281 advanced, 137 declined, and 61 remained unchanged.
Analysts advised the small investors to stay alert to the geopolitical developments while taking any fresh positions.
