Pakistan’s benchmark stock index surged more than 5,000 points on Monday as investors welcomed signs of de-escalation between the United States and Iran, boosting risk appetite and triggering broad-based buying across the market.
The KSE-100 Index rose 5,004.48 points, or 2.93%, to 176,025.68 shortly after trading began. By 12:14 p.m., the benchmark had extended gains to 176,391.90, up 5,370.70 points, or 3.14%.
The index was later trading at 176,354.07, an increase of 5,332.87 points, or 3.12%, from the previous close of 171,021.20. During the session, it touched an intraday high of 176,392.61 and a low of 175,153.16.
Investor sentiment improved after reports of a pause in hostilities between the United States and Iran, raising hopes that the conflict could be contained. The easing geopolitical tensions also pushed Brent crude down 4.2% to $92.74 a barrel in early Asian trading.
Strong buying was recorded across major sectors, including automobile assemblers, cement, commercial banks, oil and gas exploration companies, oil marketing companies, and power generation.
The rally followed sharp losses in the previous session and reflected growing optimism that reduced geopolitical risks and lower oil prices could provide relief for oil-importing economies such as Pakistan.
Market activity remained robust, with 195.01 million shares traded and a total turnover of Rs12.61 billion.