PSX stages strong recovery amid hopes of Middle East de-escalation

Pakistan’s share market climbed sharply on Tuesday morning as traders reacted to diplomatic activity aimed at easing the Middle East conflict and earlier weakness in crude prices. The KSE-100 stood at 168,299.99 at 11:10 am, a rise of 1,735.93 points, or 1.04%, from its prior finish, after an opening advance exceeding 1,800 points. Gains spread across several groups, including banks, cement makers, energy producers and power companies.

Analysts cited improved regional sentiment, cheaper oil and renewed interest after October’s market decline as factors behind the rebound. They said lower crude costs could reduce pressure on Pakistan’s import bill, external account and inflation, while investors were returning selectively to large banking, exploration and cement shares. The advance remained exposed to geopolitical news; meanwhile, oil prices edged higher on Tuesday after reports of a US strike on Iran’s Qeshm Island, reviving concerns about supply disruption.