Stocks rally at PSX amid hopes for US-Iran talks revival
The Pakistan Stock Exchange (PSX) opened on a positive note on Tuesday, showing strong upward momentum at the start of trading as US-Iran peace talks likely to resume in Islamabad, reported 24NewsHD TV channel.
During early business hours, the PSX’s benchmark KSE-100 Index surged by more than 2,248 points, reaching the level of 174,335 points. However, protit-taking ate up some of the gains by the end of the day when the index surged by 959.09 points or 0.55 percent to 173,155.79 points.
Buying was observed in key sectors, including automobile assemblers, cement, commercial banks, oil and gas exploration companies, OMCs, power generation and refinery. Index-heavy stocks, including ARL, HUBCO, MARI, OGDC, PPL, POL, HBL, MCB, MEBL and NBP, traded in the green.
In a key development, the State Bank of Pakistan (SBP) said on Tuesday it had received funds of $1 billion from the Ministry of Finance, Kingdom of Saudi Arabia.
Internationally, stocks rebounded in early trading in Asia on Tuesday as markets took heart from reports Iran is considering attending peace talks with the United States in Pakistan, with renewed bets on AI underpinning demand.
Investors were also keeping their eyes on a Senate confirmation hearing later for Kevin Warsh, US President Donald Trump’s nominee to lead the Federal Reserve, which Trump has repeatedly criticized for failing to cut rates sooner and more aggressively.
MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.9%, as South Korea’s Kospi rose 2.1% to hit a fresh record high for the first time since the Iran war began. S&P 500 e-mini futures were up 0.1%, while Brent crude slipped 0.4% to $95.09 a barrel.
Japan’s Nikkei 225 tacked on 1.2%, while Australian shares bucked the trend, slipping 0.3%.
An uneasy ceasefire between the United States and Iran frayed after the US announced the seizure of an Iranian cargo ship, drawing vows of retaliation from Tehran. Iran said over the weekend it would skip a second round of negotiations, though a senior official later told Reuters the country may yet send delegates to talks expected in Islamabad.
Reporter: Ahsan Abbasi