Karachi: The KSE-100 Index surged by 465 points, closing at 180,311, with a total of 742 million shares traded. The top gainers in terms of price change were GHNO, POL, and PSX, while the top decliners included IBFL, HGFA, and NPL. Trading activity was predominantly focused in the Textile Spinning, Refinery, and Oil Marketing Companies (OMCs) sectors.
According to Taurus Securities Limited, the market witnessed increased activity following several significant announcements and developments. Among these, FO indicated a 60-day extension in the ceasefire, and discussions between Iran's envoy and Dar about regional situations were highlighted. Additionally, Naqvi briefed Pezeshkian on the Makkah Accord, while Trump asserted the U.S. would maintain control over the Hormuz Strait.
In other news, Erdogan expressed interest in expanding a regional defense pact, while Pakistan announced its readiness to participate in a maritime alliance. The International Energy Agency again revised its 2026 oil demand forecast downwards. Meanwhile, concerns over Houthi attacks have led to a blackout on Saudi Red Sea oil exports.
Domestically, the Pakistani government announced a price cut of Re0.94 for petrol and an increase of Re0.54 for high-speed diesel. The first Youth Employment Policy was launched, and a CPC leader pledged support for CPEC 2.0 and Belt & Road cooperation. The State Bank of Pakistan identified hybrid cloud technology as crucial for advancing the digital financial system.
Additionally, Aurangzeb discussed economic ties with the Belarusian Minister, and Pakistan and Norway are set to enhance bilateral relations. The government is seeking to recover Rs34 billion from consumers of Discos and KE for Q2FY26, amid changes in the EU's GSP+ mechanism. Debt and liabilities are nearing Rs100 trillion, and a U.S. report has called for stronger parliamentary oversight of Pakistan's public finances.
Furthermore, the State Bank of Pakistan aims to raise approximately Rs5.4 trillion, while $500 million worth of export containers remain stuck at factories. In Balochistan's Chagai, seven miners were abducted, and the government is advocating for a fundamental shift in the automotive industry to boost export growth. A 150-acre automotive processing zone was unveiled at Port Qasim, and Pakistan won a case concerning Basmati rice.
The Securities and Exchange Commission of Pakistan launched a Shariah-compliant brokerage segment for stock market investors. Meanwhile, Pakistan's oil output decreased by 3%, but gas production increased by 4% week on week.