Stocks stage partial recovery amid uncertainty

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KARACHI: The Pakis­tan Stock Exchange (PSX) on Wednesday recovered some losses from the week’s first two sessions amid persistent regional and political tensions.

Attractive valuations drew investors back to cherry-pick stocks, pushing the benchmark KSE-100 index above the psychological 165,000 mark after it moved in both directions.

Elevated oil prices and the imposition of governor’s rule in the PTI-ruled Khyber Pakhtunkhwa continued to fuel uncertainty about the economic outlook.

Topline Securities Ltd said the index staged a recovery after persistent selling pressure over the past few sessions, closing at 165,417.51, up 641.07 points, or 0.39 per cent. The benchmark remained volatile throughout the session, recording an intraday swing of 852 points from its low to its high, before holding on to its gains to the close.

The recovery reflects renewed buying interest following the recent market downturn, as investors turned to value hunting. However, sentiment remains cautious amid prevailing political and economic uncertainty, and sustained buying interest is needed to support the market’s recovery in the coming sessions.

Engro Holdings, Lucky Cement, Fauji Fertiliser, Bank Al-Habib and National Bank were the major contributors to the upside, collectively adding 381 points. Conversely, MCB Bank, Hub Power, Pakistan Oilfield, Pak­is­tan Telecommunication Company and National Foods Ltd remained the top laggards, collectively eroding 132 points.

Ali Najib, deputy head of trading at Arif Habib Ltd, noted that the market opened lower, losing 716 points to an intraday low of 164,060. However, institutional value buying in select stocks triggered a recovery, pushing the benchmark into positive territory and enabling it to close above the 165,000 mark.

Media reports suggest Oman and Iran have discussed a proposed Strait of Hormuz deal. However, finalising the arrangements remains contingent on the outcome of US-Iran talks and other outstanding issues, according to Oman’s foreign minister, speaking in Islamabad.

Investor participation improved, with total volume surging 52.67pc to 585.8 million shares and turnover rising 53.17pc to Rs20.07bn. WorldCall Telecom led the volume chart with 87m shares.

Analysts believe the recovery above 165,000, supported by institutional and value buying, could offer near-term support. Improved volumes also indicate renewed participation.

However, persistent US-Iran tensions, elevated oil prices, and domestic political uncertainty may limit gains and keep volatility elevated.

Published in Dawn, October 15th, 2026

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