PSX rebounds as Pakistan, Afghanistan agree to resume peace talks

KARACHI - Positive sentiment returned to the Pakistan Stock Exchange (PSX) on Friday as investors reacted to news of renewed peace efforts between Pakistan and Afghanistan, driving the benchmark KSE-100 Index up by 4,898.86 points, or 3.13%, to close at 161,631.73.

Buying activity was observed across key sectors including automobile assemblers, cement, commercial banks, oil and gas exploration, OMCs, power generation, and refinery. Index-heavy stocks such as HUBCO, MARI, OGDC, PPL, POL, PSO, SSGC, and SNGPL traded in the green.

According to JS Global, buying interest resurfaced after reports that Pakistan and Afghanistan agreed to extend the ceasefire during talks in Istanbul. The agreement has eased regional tensions and boosted investor confidence.

Turkey’s foreign ministry confirmed that both countries agreed to maintain the ceasefire and resume peace talks in Istanbul on November 6, 2025. It stated that “all parties have agreed to continue the ceasefire” and that its implementation modalities will be finalised at the upcoming meeting. Turkey and Qatar are jointly mediating between the two sides.

On Thursday, the market had extended its losing streak, with the KSE-100 Index dropping 1,732.19 points, or 1.09%, to close at 156,732.87 amid heavy selling pressure.