PSX up 400 points amid mixed trading

Gains in banks, fertiliser stocks offset losses in energy, tech shares

KARACHI:

The benchmark KSE-100 index closed around 400 points higher at the Pakistan Stock Exchange (PSX) on Tuesday in a cautious session that saw the market test but fail to breach the 178,000 resistance zone.

Banking and fertiliser stocks provided the main support, with UBL, Meezan Bank and Fauji Fertiliser Company among the largest positive contributors. Oil, gas and technology shares weighed on the index, led by declines in OGDC, Engro Holdings and Systems Ltd.

Investors also monitored geopolitical developments after the army chief concluded a one-day visit to Iran aimed at easing tensions between Tehran and Washington. International oil prices were trading about 3% lower. The local market will remain closed on Wednesday.

At the end of trading, the KSE-100 index posted a gain of 404.02 points, or 0.23%, and settled at 177,370.71.

Arif Habib Limited (AHL) noted that the KSE-100 closed with a modest gain of 404 points and resistance in the 178,000-180,000 zone continued to hold firm, with the high of the day coming in at 177,800. Market breadth remained mixed as 45 shares advanced while 53 declined. UBL (+2.72%), Meezan Bank (+1.42%) and FFC (+0.53%) provided the largest positive impetus to the index, whereas OGDC (-1.1%), Engro Holdings (-0.77%) and Systems (-1.24%) acted as the principal drags.

Week-to-date the index was up 0.12%, month-to-date 0.72% and calendar-year-to-date 1.91%. Aggregate market capitalisation stood at Rs19,892.3 billion ($71.7 billion). Regular-session traded volumes reached 644.8 million shares valuing at Rs31.4 billion.

Geopolitical developments also featured in the day's commentary. AHL highlighted that Pakistan's army chief concluded a one-day visit to Iran aimed at easing tensions between Tehran and Washington. Iranian officials described the trip as highly fruitful, stating that valuable diplomatic achievements would become apparent soon.

International oil prices were trading approximately 3% lower. With the local market closed on Wednesday for 12th Rabiul Awwal, "subsequent news flow is expected to shape sentiment for the remainder of the week. The 178,000-180,000 resistance band remains the key technical level to monitor," it said.

Topline Securities, in its market review, said the KSE-100 index gained 404.02 points (+0.23%). The market remained volatile throughout the session, with the index recovering from early weakness as selective buying emerged across key sectors.

Investor participation remained cautious, with buying interest concentrated in selected blue-chip and cyclical stocks. The broader market continued to face resistance around the 178,000 level, keeping the near-term outlook range bound.

On the positive side, UBL, Meezan Bank, Fauji Fertiliser, HBL, and Lucky Cement were among the key contributors, collectively adding approximately 667 points to the KSE-100 index. Conversely, OGDC, Engro Holdings, and Systems Ltd were among the major laggards, shaving 201 points off the index, Topline said.

Overall trading volumes in the ready market were recorded at 644.84 million shares compared with the previous session's tally of 933.52 million. The value of shares traded during the day was Rs31.37 billion.

Shares of 499 companies were traded. Of these, 223 stocks closed higher, 229 fell, and 47 remained unchanged.

Cnergyico Pk was the volume leader with trading in 117.90 million shares, gaining Rs0.10 to close at Rs14.27. It was followed by First National Equities with 79.30 million shares, gaining Rs0.13 to close at Rs1.30, and Pakistan Refinery with 43.03 million shares, gaining Rs3.85 to close at Rs90.59. Foreign investors sold shares worth Rs1 billion, the National Clearing Company reported.