Trading at the Pakistan Stock Exchange (PSX) opened on a strong note on Wednesday, with the benchmark KSE-100 Index climbing over 1,200 points.
Investor optimism was driven by robust buying in major sectors, reflecting renewed confidence in the bourse.
At 10:55 a.m., the KSE-100 Index was hovering at 183,418.36, up 1,264.81 points, or 0.69%. Early trading showed strong demand in key sectors, including cement, commercial banks, fertiliser, oil and gas exploration companies, oil marketing companies (OMCs), and power generation and refinery stocks.
Index-heavy stocks such as HUBCO, MARI, OGDC, POL, PPL, PSO, MCB, MEBL, and UBL traded in the green, supporting the upward momentum.
Investor sentiment was also influenced by bilateral developments, as Pakistan and Indonesia agreed to accelerate plans to transform their existing Preferential Trade Agreement (PTA) into a Comprehensive Economic Partnership Agreement (CEPA) by 2027. Analysts said this move could strengthen economic ties and trade between the two nations.
PSX performance and recent trends
The surge comes after a modest decline in the previous session. On Tuesday, the PSX ended slightly lower, with the KSE-100 Index dropping 186.83 points, or 0.10%, to close at 182,153.55. Selling pressure in select fertiliser stocks offset gains in other sectors, reflecting cautious investor sentiment.
Global market context
Globally, markets showed mixed signals. U.S. 10-year Treasury yields fell nearly six basis points to a one-month low of 4.14% after softer-than-expected retail sales data. The S&P 500 closed 0.3% lower, while Alphabet shares declined 1.8% amid debt-raising plans for AI infrastructure investments.
In Asia, trading was lighter due to a holiday in Japan. Markets in Hong Kong and China opened around flat, while Australian stocks rose 1% mid-day on strong earnings. Gold also rebounded above $5,000 an ounce, indicating safe-haven demand amid global uncertainties.
