A volatile session was observed at the Pakistan Stock Exchange (PSX), as the benchmark KSE-100 Index swung both ways before closing the day with a loss of over 550 points on Tuesday.
Market opened on a bullish note, with the index hitting a record intra-day high of 137,747.60.
However, profit-taking was observed in the final hours of the trading session, wiping out all the gains, dragging the index to a low of 135,826.40.
At close, the KSE-100 Index settled at 135,939.87, a decrease of 562.66 points or 0.41%.
“The local bourse kicked off on a high note, continuing yesterday’s upward momentum as banking heavyweights led the charge. Optimism fueled early gains, propelling the benchmark index to an intraday high of 1,245 points.
“However, the rally ran out of steam in the latter half, as investors shifted gears to book profits, prompting a wave of selling across the board,” brokerage house Topline Securities said in its post-market report.
“The session mirrored a classic tug-of-war between bullish enthusiasm and prudent gain-taking.”
On the leaderboard, UBL, FFC, ABL, PSEL, and ENGROH stood out as top performers, collectively adding 564 points to the index. Meanwhile, pressure from MEBL, PPL, HUBC, and OGDC trimmed gains, dragging the index lower by 350 points.
On Monday, the PSX witnessed a resounding rally on the first day of the week, hitting a new historic high, propelled by strong institutional participation and growing investor confidence. The KSE-100 index finished by a remarkable 2,203 points, or 1.64%, to finish at a record 136,502.54 points.
Globally, Asian shares climbed and the dollar held gains on Tuesday as trade talks remained in the spotlight in a week that will see key readings on US inflation and bank earnings.
Oil prices edged lower after US President Donald Trump issued a 50-day deadline for Russia to end the war in Ukraine to avoid energy sanctions. Japanese government bond yields jumped to ma ulti-decade high as a critical upper house election neared.
Trump signalled he was open to discussions on tariffs after his weekend threat to impose 30% duties on the European Union and Mexico from August 1. Japan is reportedly trying to schedule high-level talks with the US this Friday.
Market reaction to the tariff uncertainty has been rather benign, making earnings in the United States this week all the more important for cues, said National Australia Bank strategist Rodrigo Catril.
MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.4%, after U.S. stocks ended the previous session with meagre gains. Japan’s Nikkei gauge added 0.2%.
The EU accused the US of resisting efforts to strike a trade deal and warned of countermeasures if no agreement is reached. Trump said he was open to further discussions with the EU and other trading partners.
Japan’s Prime Minister Shigeru Ishiba is arranging to meet U.S. Treasury Secretary Scott Bessent in Tokyo on Friday, the Yomiuri newspaper reported, ahead of an August 1 deadline before 25% tariffs are due to take effect.
Meanwhile, Pakistani rupee registered slight gain against the US dollar, appreciating 0.02% in the inter-bank market on Tuesday. At close, the currency settled at 284.67, a gain of Re0.05.
Volume on the all-share index increased to 879.12 million from 841.46 million recorded in the previous close.
The value of shares rose to Rs38.61 billion from Rs37.05 billion in the previous session.
B.O.Punjab was the volume leader with 61.32 million shares, followed by K-Electric Ltd with 56.73 million shares, and Trust Modaraba with 44.59 million shares.
Shares of 478 companies were traded on Tuesday, of which 110 registered an increase, 345 recorded a fall, while 23 remained unchanged.
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