PSX Surges as Global Markets React to US Court Ruling

The Pakistan Stock Exchange (PSX) experienced a surge, mirroring a global market rally triggered by a US court’s decision to halt President Donald Trump’s tariffs. The benchmark KSE-100 Index soared by over 1,200 points during Thursday’s trading session.

At 1:30 PM, the KSE-100 Index reached 119,550.30, reflecting an increase of 1,217.40 points or 1.03%.

Widespread buying activity was evident across various sectors, including automobile manufacturers, cement, commercial banking, oil and gas exploration, oil marketing companies, and power generation. Key stocks such as HUBCO, MARI, OGDC, PPL, SNGPL, SSGC, MCB, MEBL, and NBP all showed positive movement.

Earlier in the week, on Tuesday, the PSX saw a modest rebound, driven by pre-budget speculation and anticipation of real estate incentives in the upcoming federal budget, particularly benefiting cement stocks.

The KSE-100 index had previously gained 112 points, or 0.09%, closing at 118,333 points. Trading was closed on Wednesday for Yaum-e-Takbeer.

Globally, Asian markets and Wall Street futures rose on Thursday following the US court’s action against President Trump’s tariffs, which also led to a strengthening of the dollar against safe-haven currencies.

The Court of International Trade, based in Manhattan, determined that President Trump exceeded his authority by imposing broad tariffs on imports from countries with trade surpluses with the United States.

The White House has initiated an appeal and may escalate the matter to the Supreme Court if necessary. However, the initial ruling has raised hopes that President Trump may reconsider some of the threatened tariff increases.

Investors responded positively, with Japan’s Nikkei rising by 1.7% and South Korean shares climbing 1.2% to reach a nine-month high.

MSCI’s index of Asia-Pacific shares excluding Japan increased by 0.3%, while Chinese blue chips grew by 0.5%.

European markets also reacted, with EUROSTOXX 50 futures up by 1.1%, FTSE futures by 0.7%, and DAX futures by 0.9%.

S&P 500 futures rose by 1.6%, and Nasdaq futures increased by 1.9%, boosted by Nvidia’s strong earnings report, which exceeded sales expectations.

Nvidia also projected strong revenue for the current quarter, causing its shares to rise by 4.4% in after-hours trading.

This is an intra-day market update.