The KSE-100 Index came under pressure on Monday as uncertainty over a US-Iran peace deal and the upcoming federal budget kept investors cautious.
The Pakistan Stock Exchange benchmark touched an intraday high of 174,171.64, up 208.83 points, or 0.12%, from the previous close of 173,962.81.
The index later fell to an intraday low of 172,139.66, down 1,823.15 points, or 1.05%, during the session.
Market participants said the index remained choppy because of swings in expectations around the US-Iran deal. They said investors needed clear announcements before the market could pick a direction.
Budget-related uncertainty is also expected to weigh on trading next week as investors await fiscal and tax measures.
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European shares also slipped on Monday as renewed Middle East tensions reduced hopes for a quick end to the conflict.
Iran’s chief negotiator warned Sunday that Tehran would not trust Washington or accept any deal unless its rights were secured. Reports of a tougher US proposal added to concerns over delays.
The uncertainty has kept markets sensitive to developments around the Strait of Hormuz, a key route for about one-fifth of global crude in peacetime. Oil prices edged higher amid supply concerns.
On the external front, Pakistan’s total liquid foreign reserves rose by $58 million to $22.646 billion. Commercial bank reserves fell by $8 million to $5.499 billion.
The report said recent reserve support came from $1.3 billion in International Monetary Fund disbursements under the Extended Fund Facility and Resilience and Sustainability Facility, along with $250 million from panda bonds.
In the previous session on Friday, the KSE-100 Index gained 2,237.52 points, or 1.3%, to close at 173,962.82. Topline Securities said the index gained 6,119 points, or 4.0%, week-on-week.