The Pakistan Stock Exchange (PSX) staged a strong recovery on Tuesday as the benchmark KSE-100 Index jumped 4,654 points during intraday trading, supported by improving investor sentiment, falling international oil prices and reduced concerns about a fresh military escalation between the United States and Iran.
The rally followed a long weekend during which the stock market remained closed on Monday for Allama Iqbal Day. Investors returned with renewed buying interest, pushing the benchmark index above the 178,500-point level.
KSE-100 Index Gains 2.68% in Strong Trading Session
According to market data, the KSE-100 Index climbed to 176,739 points by 9:34am, gaining 2,852.32 points, or 1.64%, compared with its previous closing level.
Buying momentum strengthened as the session progressed, taking the index to 178,540.36 points by 12:04pm. This represented an increase of 4,653.68 points, or 2.68%.
During the session, the benchmark recorded an intraday high of 178,606.21 points, while its lowest level stood at 176,273.72 points.
Trading activity also remained strong, with approximately 227.49 million shares changing hands. The total value of transactions reached Rs21.35 billion.
The broad-based buying reflected improved confidence among investors following recent developments in international markets and the Middle East.
Falling Oil Prices Improve Investor Sentiment
One of the major factors supporting the PSX recovery was a decline in international crude oil prices.
Brent crude futures fell by 70 cents, or 0.75%, to $91.88 per barrel by 0246 GMT on Tuesday. Meanwhile, US West Texas Intermediate (WTI) crude declined by 78 cents, or 0.90%, to $86.07 per barrel.
Both international benchmarks had also recorded losses of around 1% earlier in the trading session.
The decline in oil prices eased concerns about prolonged disruptions to global energy supplies amid tensions involving the United States, Israel and Iran.
For Pakistan, which relies heavily on imported energy, lower international oil prices can help reduce the country’s import bill, ease pressure on foreign exchange reserves and limit inflationary pressures.
These factors contributed to improved investor expectations and supported buying activity at the local stock exchange.
PSX Extends Bullish Run, Gains More Than 3,400 Points
Trump’s Remarks on Iran Conflict Lift Market Confidence
Investor sentiment also improved following comments by US President Donald Trump indicating that Washington would hold off on launching further military strikes against Iran for the time being.
Trump made the remarks after meeting Qatar’s Prime Minister Sheikh Mohammed bin Abdulrahman Al-Thani, who has been involved in diplomatic efforts to reduce tensions between Washington and Tehran.
The US president said regional countries, including Qatar, Saudi Arabia, the United Arab Emirates, Bahrain and Kuwait, preferred avoiding further military escalation.
His comments raised hopes of progress towards ending the conflict and reducing the risk of additional disruptions to energy supplies and international trade.
However, diplomatic differences between Washington and Tehran remain unresolved, and a lasting agreement has yet to be reached.
Previous Weekly Rally Provided Additional Support
Tuesday’s recovery followed a strong performance by the Pakistan Stock Exchange during the preceding trading week.
The KSE-100 Index had gained 7,477.44 points, or approximately 4.5%, to close at 173,886.69 points on Friday, November 6.
That performance represented the market’s strongest weekly rally in nearly six months.
However, investors booked profits during Friday’s session ahead of the long weekend, resulting in a decline of 1,493.18 points, or 0.85%.
The subsequent surge on Tuesday indicated a renewed return of buying interest as investors responded to improving international market conditions.
Despite the positive momentum, market participants will continue monitoring international oil prices, developments in the Middle East and broader economic conditions to assess whether the recovery can be sustained.
Source: The Express Tribune, with market data reported on November 10, 2026.
