Pakistani stocks rose sharply on Monday as falling oil prices and hopes of fresh US-Iran talks lifted sentiment (Geo News).
The KSE-100 index rose as much as 2,891.83 points, or 1.64 per cent, to an intraday high of 178,985.94. At its session low the index stood at 178,045.68, still up 1,951.57 points or 1.11 per cent.
“Trump’s message on delaying the attacks, having Israel on board for the plan in exchange for a rapid deal, is driving hopes of peace and falling oil prices,” said AAH Soomro, an independent investment and economic analyst. “The market is happy to hear that and thus is positive.”
Oil fell nearly 5 per cent after Trump announced the negotiations (Geo News).
The move came alongside a supply decision. Seven participating countries in the enlarged Organisation of the Petroleum Exporting Countries agreed to raise September production by 188,000 barrels per day, an increase analysts had widely expected (Geo News).
“OPEC+ has finished unwinding its voluntary cuts,” said Jorge Leon, an analyst at Rystad Energy. “The next challenge is managing the surplus that could emerge as export flows normalise.”
For Pakistan the two developments point the same way. Crude falling from above $100 relieves pressure on the daily fuel pricing mechanism introduced on July 17, and on an import bill that has driven RLNG prices up more than 144 per cent since the war began — though a single session’s optimism rests on talks that have not yet produced anything.
