KARACHI: The Pakistan Stock Exchange (PSX) staged a dramatic recovery on Tuesday, with the benchmark KSE-100 Index rebounding by over 800 points after suffering a steep intra-day loss of more than 1,100 points earlier in the session. The reversal came as margin-related selling pressures subsided and investors seized the opportunity to accumulate quality stocks at discounted levels.
The index, which opened the day on a negative note, touched a low of 112,935.57 amid continued investor unease following rising regional tensions. However, strong institutional buying in the second half of the trading session propelled the index to a high of 115,040.59 before closing at 114,872.18, marking a gain of 808.28 points or 0.71%.
“Market sentiment improved as margin related selling eased and investors began to buy quality stocks at lower levels,” said Topline Securities in its post-market commentary.
The recovery was largely driven by heavyweight scrips including Engro Corporation (ENGROH), Mari Petroleum (MARI), Systems Limited (SYS), MCB Bank, and Sui Northern Gas Pipelines Ltd (SNGP). These five stocks collectively contributed around 760 points to the day’s overall gains, reflecting their dominant influence in the benchmark’s turnaround.
The rebound followed Monday’s sharp decline, where the KSE-100 had shed over 1,400 points, reflecting broad-based panic triggered by regional uncertainties and aggressive selling to meet margin calls.
Market participants said lingering concerns over the Pahalgam attack and the resulting escalation in Pakistan-India tensions have weighed heavily on investor confidence since last week. However, with margin-related pressure easing, buyers returned to the market in anticipation of value opportunities.
On the currency front, the Pakistani rupee posted a marginal appreciation against the US dollar, gaining Re0.05 to close at 281.02 in the inter-bank market. Currency dealers attributed the stability to subdued import demand and modest inflows.
Trading activity remained subdued in terms of volume, as total shares traded on the all-share index declined to 409.93 million from 423.94 million a day earlier. However, the value of traded shares rose significantly to Rs29.07 billion, up from Rs26.46 billion, indicating larger institutional transactions.
WorldCall Telecom led the volumes chart with 29.47 million shares, followed by Cnergyico PK with 14.82 million shares, and At-Tahur Ltd with 14.77 million shares.
Overall, 445 companies were active in Tuesday’s trade. Among them, 211 scrips closed higher, 183 declined, while 51 remained unchanged, showing a broad-based market recovery despite geopolitical overhang.
