Pakistan stocks rebound as corporate earnings bolster investor confidence

Pakistan's stock market rebounded on Monday, buoyed by attractive valuations and renewed investor confidence after weeks of selling pressure.

The surge was primarily driven by stronger-than-expected corporate earnings, which bolstered investor sentiment and spurred buying interest across key sectors.

Key sectors such as banking, fertilizers, and energy contributed to the rise, supported by expectations of robust earnings reports.

Looking ahead, the market is likely to maintain its positive momentum, benefiting from the earnings season, easing inflation, and supportive policies from the State Bank of Pakistan.

Investors remain optimistic as they navigate through an improving economic landscape, hoping for continued growth and stability in the market.

KSE-100 index gained 0.96% or 1,055.03 points to close at 111,377.97 points.

Indian stocks fell on Monday due to a selloff in real estate, healthcare, and metal stocks. Even with the RBI's rate cut and BJP's election victory in Delhi, the market couldn't stay positive.

The Indian rupee also dropped, reaching a record low of ₹87.94 per U.S. dollar, due to worries about potential U.S. trade tariffs affecting regional currencies.

BSE-100 index shed 1.01% or 248.38 points to close at 24,449.73 points.

DFM General Index gained 0.44% or 22.92 points to close at 5,261.31 points.

Commodities

Oil prices went up on Monday, even though people are still worried about a possible global trade war because of U.S. President Donald Trump's new tariff plans on steel and aluminum.

The rise in oil prices on Monday might be because people are looking for good deals after the market fell for three weeks in a row due to worries about global trade.

There are fears that tariffs might slow down global economic growth and reduce the demand for energy.

Brent crude prices surged 1.08% to $75.47 per barrel.

Gold prices are still rising. People are worried that President Trump's tariffs and the growing trade tensions between the US and China might hurt the economy, so they are buying more gold as a safe investment.

Additionally, fears that Trump's policies could lead to higher inflation in the US are also making gold a popular choice to protect against rising prices.

International gold prices increased 1.52% reaching $2,905.42 per ounce.

Currency

US dollar steadied against PKR in the inter-bank market. Pakistani currency gained 7 paisas to 279.21. In the open market USD was trading at PKR 281.