Pakistan Stock Exchange (PSX) showed slight signs of recovery on Tuesday after a historic loss on Monday. KSE-100 Index climbed over 1400 points in the early trading on Tuesday. morning.
At 9:40 a.m., the index was at 116,355.79, up 1,446.31 points or 1.26% from the previous close. An uptick in the index signalled the restoration of investors’ confidence. Buying interest was visible in multiple sectors, including automobile assemblers, cement, chemicals, commercial banks, oil and gas exploration companies, oil marketing companies (OMCs), and refineries.
Blue-chip and index-heavy stocks such as HUBCO, ARL, PSO, SNGPL, MARI, OGDC, PPL, HBL, MCB, and NBP traded firmly in the green, contributing significantly to the rally.
On Monday, the index plunged by 8700 points, becoming the largest intraday decline in terms of points. The index recovered by 50% and settled at 114,909.48. However, the index was still down by 3.2%. As per the analysts, the surge in the market on Tuesday can be attributed to the technical correction and assurances from the policymakers.
A similar downward trend was observed across the Asia-Pacific markets on Monday. The imposition of reciprocal tariffs by US President Donald Trump has elicited panic among investors globally.
Hong Kong’s Hang Seng Index plummeted by 10.37%, while the Hang Seng Tech Index collapsed by 12.11%. Taiwan’s Taiex index shed 9.62%, hitting its lowest level since March 2024.
South Korea’s KOSPI fell by 4.7% while Australia’s ASX 200 extended its loss to 3.87%.
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US business leaders have warned of global trade wars and economic slowdown amid the imposition of tariffs by the USA.
Meanwhile, China has announced that fight the tariff war with the USA. China has described new US tariffs as “bullying,” arguing that they threaten to undermine the stability of the global economic order and escalate trade tensions between the world’s two largest economies.
Commenting on Monday, Chinese Foreign Ministry spokesperson Lin Jian condemned Washington’s decision to impose a 34% tariff on Chinese exports to the US on top of an existing 20% levy, bringing total duties to at least 54%.