RECORDER REPORT

KARACHI: Pakistan Stock Exchange (PSX) rebounded on Wednesday as renewed institutional buying, optimism over diplomatic efforts to resolve the US–Iran conflict and expectations surrounding the draft Auto Policy 2026–31 lifted the index.

The KSE-100 Index gained 779.34 points, or 0.47 percent, to close at 165,930.99 points against 165,151.64 points in the previous session. During the day, the benchmark moved within a range of 1,510.52 points, touching an intraday high of 166,242.43 points and a low of 164,731.91 points. The advance followed two consecutive sessions of losses, during which the index had shed 1,268.07 points cumulatively, recovering part of that decline on Wednesday.

Business Recorder’s benchmark indices also reflected the recovery. BRIndex100 closed at 18,255.07 points, gaining 97.41 points, or 0.54 percent, with a total turnover of 288.618 million shares. BRIndex30 rose by 460.81 points, or 0.71 percent, to settle at 65,323.46 points, with total volume reaching 177.441 million shares.

Ali Najib, Deputy Head of Trading at Arif Habib Limited, said the market closed higher amid renewed institutional buying, optimism over intensified diplomatic efforts to resolve the US–Iran conflict and expectations of easing geopolitical tensions.

He added that the prime minister’s approval of the draft Auto Policy 2026–31 brought automobile stocks back into investors’ focus. On the index contribution front, HUBC, HBL, UBL, OGDC, MARI, PPL, FFC, SAZEW, LUCK and NCPL collectively contributed 711 points to the benchmark.

Ready-market trading recorded a decline in share volume despite an increase in traded value. Total turnover fell to 379.905 million shares from 446.843 million shares in the previous session, a decrease of 66.938 million shares, or 14.98 percent. In contrast, the traded value increased by Rs. 1.855 billion, or 9.55 percent, to Rs. 21.282 billion from Rs. 19.427 billion.

Total market capitalisation expanded by Rs. 76.221 billion to Rs. 18.385 trillion from Rs. 18.309 trillion previously.

Market breadth was almost evenly divided between declining and advancing stocks, with 230 companies closing lower, 225 advancing and 42 remaining unchanged out of 497 active issues.

Pak Refinery Limited led ready-market turnover with 49.412 million shares. The stock closed at Rs. 99.88 against the previous close of Rs. 101.44. Cnergyico PK followed with 40.074 million shares. It settled at Rs. 12.52 compared with Rs. 12.41 previously. Pervez Ahmed Company recorded turnover of 21.683 million shares. The stock closed at Rs. 3.04 against the previous close of Rs. 3.14.

Among ready-market price gainers, Unilever Pakistan Foods Limited recorded the largest increase, rising by Rs. 2,535.18 to close at Rs. 27,886.93. PIA Holding Company LimitedB followed, gaining Rs. 620.82 to settle at Rs. 14,265.33.

On the losing side, Pakistan Engineering Company Limited recorded the largest decline, shedding Rs. 69.66 to finish at Rs. 742.24. Hoechst Pakistan Limited followed, falling by Rs. 67.02 to close at Rs. 3,989.89.

Sectoral performance was predominantly positive. The BR Automobile Assembler Index gained 172.56 points, or 0.81 percent, to close at 21,599.08 points on a turnover of 3.154 million shares. The BR Cement Index added 47.95 points, or 0.42 percent, to settle at 11,332.51 points, with 15.337 million shares traded.

The BR Commercial Banks Index advanced by 358.04 points, or 0.63 percent, to close at 57,391.82 points on a turnover of 15.129 million shares. The BR Power Generation and Distribution Index recorded one of the stronger sectoral advances, rising by 520.46 points, or 2.12 percent, to 25,093.03 points, with 23.872 million shares traded.

The BR Oil and Gas Index increased by 109.91 points, or 0.75 percent, to finish at 14,811.83 points on a turnover of 12.074 million shares. The BR Tech & Communication Index was the exception among the listed sector indices, declining by 11.22 points, or 0.36 percent, to close at 3,142.54 points, with turnover of 53.679 million shares.

Ali Najib said the market could sustain its positive momentum if institutional buying continued, diplomatic efforts over the US–Iran conflict supported expectations of easing geopolitical tensions, and the proposed Auto Policy maintained investor interest in automobile stocks. He cautioned, however, that geopolitical uncertainty and evolving macroeconomic risks could keep volatility elevated, making a selective investment approach appropriate.