Analysts noted that investors adopted a cautious stance amid mixed sentiment, selective buying and profit-taking. Trading volumes registered an uptick, supported by gains in banking stocks, while weakness in fertiliser and energy sectors capped the advance. The market also got support from the ongoing Pakistan-US trade and investment discussions, a stable rupee and corporate earnings.
According to Ahsan Mehanti of Arif Habib Corp, stocks closed higher on a strong earnings outlook and rupee stability. Speculation about Pakistan-US trade and investment deals and the government seeking further export incentives, and a rise in business confidence drove the PSX to a record high, he added.
At the end of trading, the benchmark KSE-100 index recorded an increase of 75.48 points, or 0.05%, and settled at 147,005.32.
In its review, Topline Securities commented that the KSE-100 index wrapped up the trading session at 147,005, marking a modest gain of 75 points. The market saw intra-day volatility as the index surged to the high of 147,977 before retreating to the low of 146,895, reflecting investor-driven profit-taking strategies, it said.
Positive momentum in Bank Alfalah, HBL and Systems Limited provided a combined lift of 295 points, offering partial reprieve against the broader market weakness. In contrast, significant downward pressure stemmed from Fauji Fertiliser, Mari Petroleum, Oil and Gas Development Company (OGDC), Pakistan State Oil and Bank AL Habib, which shaved 527 points off the index, added Topline.
In its commentary, Arif Habib Limited (AHL) noted that Tuesday marked a flat session, following Monday’s surge, with the KSE-100 managing to close above 147,000.
Some 47 shares rose while 53 fell, with Bank Alfalah (+5.28%), HBL (+2.04%) and Systems Limited (+1.73%) contributing the most to index gains. On the flip side, Fauji Fertiliser (-1.11%), Mari Petroleum (-2.51%) and OGDC (-2%) were the biggest drags, it said.
AHL observed that Pakistan and US officials were in talks to finalise finer details of their trade deal, which included investment commitments from Washington. Finance Minister Muhammad Aurangzeb hinted at major US investment in different sectors.
Additionally, Barrick Mining was seeking to raise $3.5 billion from international lenders, including US-backed institutions, to fund the Reko Diq copper and gold mining project. “Near-term index support remains at 146,000 points,” added AHL.
JS Global analyst Muhammad Hasan Ather said that the KSE-100 index closed flattish, inching up just 75 points. Gains were fuelled by strong corporate earnings, robust remittances and optimism about US-Pakistan investment ties following a new trade pact, he said.
Institutional buying and improving macro indicators including a stable rupee and progress on circular debt resolution lifted sentiment. While short-term corrections are possible, the outlook remains bullish as foreign inflows, fiscal reforms and export prospects gain traction amid easing geopolitical tensions, he added.
Overall trading volumes increased to 691.7 million shares compared with Monday’s tally of 611.2 million. Traded value increased to Rs44.6 billion compared to Rs44 billion in the previous session.
Shares of 482 companies were traded. Of these, 208 stocks closed higher, 242 dropped and 32 remained unchanged.
Yousuf Weaving Mills was the volume leader with trading in 46.3 million shares, gaining Rs1 to close at Rs6.09. It was followed by Kohinoor Spinning Mills with 39.9 million shares, gaining Rs0.24 to close at Rs6.47 and Invest Bank with 34.4 million shares, gaining Rs1 to close at Rs9.68. Foreign investors bought shares worth Rs132.7 million, the National Clearing Company reported.