Karachi: The KSE-100 Index experienced its strongest rally in nearly six months, climbing 7,477 points, or 4.5% week-on-week, to close at 173,886. The surge was driven by a sharp drop in oil prices as Iran indicated a willingness to engage in talks to end the ongoing war, alleviating concerns about inflation and external economic pressures. The week also saw a 43% increase in average trading volumes, reaching 856 million shares, while the traded value rose 24% to $103 million.

According to JS Global, Brent crude oil saw a substantial decline, closing the week at approximately $98.5 per barrel, down from last week's average of around $115.5 per barrel. Domestically, this led to reductions in petrol and high-speed diesel prices by Rs25.32 and Rs20.71 per liter, respectively, bringing them to Rs352.59 and Rs382.25 per liter. On a macroeconomic scale, the Consumer Price Index for October eased to 9.6% year-on-year from 10.3% in September. Additionally, the State Bank of Pakistan's foreign exchange reserves increased by $39 million to $21.56 billion during the week.

The finance minister reported that the country's external accounts remain stable. Meanwhile, the International Monetary Fund has urged Pakistan to broaden its tax base, and the Federal Board of Revenue Chairman suggested plans to abolish the super tax. According to the latest data from the Ministry of Finance, public debt increased by Rs6.2 trillion to Rs91 trillion in the fiscal year 2026. Despite these developments, energy cost pressures continued, with the Central Power Purchasing Agency (Guarantee) seeking an 8% tariff hike and the Oil and Gas Regulatory Authority announcing a 15.3% increase in RLNG prices.