KARACHI: As international oil prices continued their downward movement amid ongoing Middle East de-escalation talks, bulls managed to tighten their grip over the market for the fourth straight session despite a volatile start at the Pakistan Stock Exchange (PSX) on Thursday.

The market drew its strength from strong investor interest in cement scrips, followed by fertiliser, E&P and banking sectors.

Topline Securities Ltd said the local bourse opened on a positive note, carrying forward the bullish momentum from the previous session as the benchmark index climbed to an intraday high of 1,569 points.

However, profit-taking during the mid-session triggered volatility, trimming a significant portion of the early gains and dragging the index to an intraday low of 163 points.

Index gains 1,189 points despite profit-taking

Despite the volatile trading pattern, the market displayed notable resilience and settled firmly in positive territory at 172,894 points, posting a gain of 1,189 points, or 0.69 per cent.

Index-heavy stocks, including United Bank Ltd, Fauji Fertiliser Company, Lucky Cement, Oil and Gas Development Company, and Mari Energies, remained the key drivers of the rally, collectively contributing 735 points to the benchmark index.

Investor participation weakened from the previous session as total trading volume decreased 17.9pc to 987 million shares and traded value declined 16.34pc to Rs52.7 billion. Bank of Punjab emerged as the volume leader, with 86 million shares.

The finance minister’s overnight remarks at the launch of the Rs120 million Capital Market Development Fund, outlining the economic outlook, boosted investor sentiment. He emphasised the need to strengthen capital markets, promote local investment, achieve self-reliance, and implement key energy sector reforms, while noting that Pakistan’s economy continues to move in a positive direction despite regional and economic challenges.

He noted that Pakistan’s stock market had demonstrated resilience during challenging times, reflecting growing investor confidence in the country’s economic direction.

According to Arif Habib Ltd, the market’s trajectory depends on the outcome of ongoing developments. The US awaits Iran’s response to its proposal to reopen the Strait of Hormuz, expected in the coming days through mediator Pakistan. The US proposal involves a moratorium on Iran’s uranium enrichment and the lifting of sanctions.

On the corporate front, Millat Tractor Ltd, which rose 4.14pc, notified that it is evaluating EV bike production in Pakistan.

Published in Dawn, May 8th, 2026