Stocks Surge as Buying Resumes at PSX

The Pakistan Stock Exchange (PSX) witnessed a resurgence of buying activity, with the benchmark KSE-100 Index climbing over 1,100 points in early trading hours on Thursday.

As of 9:40 am, the KSE-100 Index stood at 121,629.44, reflecting a gain of 1163.51 points, equivalent to a 0.97% increase.

Significant buying interest was evident across various sectors, including automobile manufacturing, cement, commercial banking, fertilizer, oil and gas exploration, OMCs, power generation, and refining. Major stocks such as HUBCO, PSO, WAFI, MARI, OGDC, PPL, MCB, MEBL, NBP, and UBL were all trading positively.

In other news, US President Donald Trump stated on Wednesday that he was “honoured” to engage in discussions with Field Marshal Syed Asim Munir at the White House. This event marked the first instance of a US president hosting a army chief at the White House without the presence of senior civilian officials.

The meeting is perceived in Islamabad as a substantial diplomatic achievement, especially considering that an Indian delegation’s meeting with US Vice President JD Vance earlier in the month was portrayed by Indian media as a diplomatic triumph, highlighting the perceived inability of the Pakistani delegation to secure a similar audience.

Furthermore, the Federal Reserve maintained steady interest rates on Wednesday. Policymakers indicated that borrowing costs are still anticipated to decrease this year, yet they moderated the projected pace of future rate reductions in response to elevated inflation forecasts stemming from the Trump administration’s tariff policies.

On Wednesday, the PSX experienced bearish market sentiment, leading to the KSE-100 Index closing at 120,465.93, a decline of 1,505.11 points.

Globally, Asian stock markets experienced slight declines on Thursday, while safe-haven assets like gold and the Japanese yen saw increased demand. Investors remained cautious due to the potential involvement of the United States in the ongoing Israel-Iran tensions.

President Donald Trump remained ambiguous regarding potential US involvement in Israel’s actions, stating to reporters that he may or may not take action.

According to the Wall Street Journal, Trump approved attack plans on Iran but delayed the final order, awaiting Tehran’s decision on its nuclear program.

Japan’s Nikkei dropped by 0.8%, influenced by a stronger yen, which negatively impacts the value of overseas revenue for major exporters.

Taiwan’s stock benchmark decreased by 0.9%, and Hong Kong’s Hang Seng fell by 0.8%.

US S&P 500 futures indicated a 0.4% decline, although most US markets, including Wall Street and the Treasury market, were closed on Thursday for a national holiday.

Brent crude oil modestly decreased to $76.32 per barrel, remaining close to its recent peak.

The yen strengthened by 0.2% to 144.92 per dollar, while the US dollar also gained strength as a safe-haven currency, increasing to $1.1472 per euro and $1.3398 against the British pound.

This information constitutes an intra-day market update.