PSX Sees Bullish Trend with KSE-100 Index Gaining Nearly 600 Points

The Pakistan Stock Exchange (PSX) experienced a resurgence of buying interest on Wednesday, as the benchmark KSE-100 Index increased by almost 600 points during the initial hours of trading.

At approximately 9:50 am, the KSE-100 Index stood at 119,552.34, reflecting a surge of 581.22 points, which translates to a 0.49% rise.

Positive momentum was evident in crucial sectors, including commercial banks, oil and gas exploration firms, oil marketing companies (OMCs), power generation, and the refinery sector. Stocks with significant index weight, such as HUBCO, NRL, PSO, SNGPL, SSGC, MARI, OGDC, POL, and PPL, all showed gains.

On the preceding day, Tuesday, the PSX had a downbeat session, with the KSE-100 Index declining by 700 points to close at 118,971.12. This downturn was attributed to anxieties surrounding the forthcoming budget for the fiscal year 2025-26.

Global Market Overview

Across international markets, Asian equities saw a slight rise on Wednesday. However, risk appetite remained limited due to high bond yields, as investors continued to be concerned about the fiscal health of major developed economies and the stagnation in new trade agreements.

Crude oil prices experienced a surge of over $1 per barrel following a report indicating that Israel was preparing a strike on Iranian nuclear facilities. This development heightened concerns about supply disruptions from the key Middle Eastern producing region, thereby bringing geopolitical issues back into focus.

Attention is also directed towards the Japanese bond markets, particularly after yields on super-long tenors reached unprecedented highs due to worries about demand for the nation’s debt following a weak 20-year bond auction.

In early trading, the yield on 20-year bonds in Japan marginally increased by 2 basis points, while the yield on 30-year Japanese Government Bonds (JGBs) decreased by 1.5 bps.

In the stock market landscape, China’s blue-chip index showed minimal movement in early trading, while Hong Kong’s Hang Seng Index increased by 0.58%.

China has stated its intention to take legal action against any entity or individual assisting or implementing US measures that discourage companies from utilizing advanced semiconductors from China.

The MSCI index for Asia-Pacific shares, excluding Japan, saw a slight increase of 0.5%, while Japan’s Nikkei experienced a decrease of 0.18%.

This information reflects an intra-day market update.