PSX recovers with 400-point gain after heavy losses

The Pakistan Stock Exchange (PSX) showed a slight recovery on Tuesday after heavy selling pressure in the previous session, with the benchmark KSE-100 Index gaining over 400 points.

At the close of trading, the index stood at 171,021.77 points, up by 421.57 points or 0.25%.

Buying interest was seen in several key sectors, including automobile assemblers, cement, commercial banks, oil and gas exploration companies, oil marketing companies, power generation firms, and refineries.

The recovery came after a sharp decline on Monday, when the market started June on a negative note. Investor sentiment weakened due to uncertainty over US-Iran peace talks, leading to widespread selling across major sectors.

On Monday, the KSE-100 Index fell by 3,362.62 points, or 1.93%, to close at 170,600.20 points.

Meanwhile, a new report by the Overseas Investors Chamber of Commerce and Industry (OICCI) showed a decline in business confidence in Pakistan during the second quarter of 2026.

According to the OICCI Business Confidence Index survey, overall sentiment dropped by 9 percentage points to 13%, compared to 22% in the previous survey.

The report said rising geopolitical tensions in the Middle East have affected supply chains, increased costs, and weakened investment plans in the country.