PSX Rebounds as KSE-100 Gains More Than 600 Points in Early Trade
KARACHI: Buying interest returned to the Pakistan Stock Exchange on Monday morning, pushing the benchmark KSE-100 Index more than 600 points higher during the opening phase of trading. At 9:44am, the index stood at 177,810.60 points, gaining 644.08 points, or 0.36%, as investors moved back into several major sectors following losses during the previous week.
The recovery was broad enough to include automobile assemblers, cement producers, commercial banks, oil and gas exploration companies, power generation firms and refineries. Several index-heavy shares, including HUBCO, Attock Refinery, Mari Energies, Oil and Gas Development Company, Pakistan Petroleum Limited, Habib Bank, MCB Bank, Meezan Bank and United Bank, were trading in positive territory during the early session.
Monday's advance followed a difficult week for Pakistani equities. The KSE-100 had started the previous week at 180,104.61 points before ending at 177,166.52, representing a weekly decline of 2,938.09 points, or 1.6%. Business Recorder attributed the weakness to heightened political and geopolitical uncertainty, concerns surrounding the Strait of Hormuz and a sharp increase in international oil prices, all of which weighed on investor confidence.
The rebound at the PSX came as international markets remained cautious. Asian equities were largely subdued on Monday while oil prices eased as investors waited for details of additional United States sanctions against Iran. Developments involving Iran and the Strait of Hormuz remain particularly significant for Pakistan because movements in global energy prices can influence the country's import costs, inflation outlook and wider market sentiment.
Global investors were also watching major economic and corporate events scheduled later in the week. Nvidia's results were expected on Wednesday, while attention was also focused on upcoming US inflation data and comments from Federal Reserve Chairman Kevin Warsh at Jackson Hole on Friday. These developments could influence expectations for US interest rates and international capital-market sentiment.
For Pakistan, the early-session rise indicated renewed demand after last week's sell-off, particularly in energy, banking and refinery shares that carry substantial weight in the benchmark index. However, the market remained exposed to changes in international oil prices and geopolitical developments, meaning the strength of the rebound would depend on whether buying interest continued through the trading session.
The PSX movement was an intraday development rather than a final closing result. Investors were expected to continue monitoring the government's economic signals, regional tensions and global market cues as Monday's session progressed. The final KSE-100 close will provide a clearer indication of whether the early recovery developed into a sustained rebound or faded later in the day.