Share prices rally despite uneasy calm at Pakistan Stock Exchange

The business activity remained dull though the share prices made some headway towards the end of the day on Thursday pushing the Pakistan Stock Exchange (PSX) in positive direction but uneasy calm prevailed as the investors were still trying to gauge the impact of the 29 percent tariff which US President Donald Trump imposed on imports from Pakistan, reported 24NewsHD TV channel.

At the end of the day, the PSX’s benchmark KSE-100 index which at the start of the trading shed 200 points, climbed up by 1,131.37 points or 0.95 percent, lifting the index to 118,938.11 points.

Of the total companies traded today, share prices of 247 companies were up, 154 down while 51 remained unchanged.

The uncertainty in the stock market came amid Donald Trump’s announcement of 10% reciprocal tariffs on imports from countries around the world, including specific additional levies on major trading partners like China and EU.

As part of his trade policy, Trump imposed a 29% reciprocal tariff on Pakistan, further contributing to investor unease. The announcement led to heightened uncertainty about the potential long-term effects on trade, local businesses, and the broader economy.

Stock markets in parts of world also reacted strongly to Trump’s tariff announcement, with US stocks diving and international markets showing sharp declines. As result, investor sentiment at the PSX remained cautious, with concerns growing about the economic impact of the new tariffs on both local and international levels.

Analysts suggested that current market volatility is expected to continue as global markets adjust to the changes in trade policy, adding to the pressure already faced by Pakistan’s economy.

Reporter Kavish Memon