The KSE-100 Index rose as much as 2,947.08 points, or 1.66%, on Tuesday after the State Bank of Pakistan held the policy rate at 11.5% and global oil prices eased.
The Pakistan Stock Exchange benchmark touched an intraday high of 179,986.90 before retreating to 177,741.46, up 701.64 points, or 0.4%, according to market data.
The SBP kept its key rate unchanged at 11.5% on Monday as the Monetary Policy Committee assessed inflation and growth risks from the Middle East conflict. Trading Economics also recorded the June 15 decision at 11.5%.
The central bank said global oil prices had eased after positive geopolitical developments but remained above pre-conflict levels. It said headline inflation rose from 7.3% in March to 10.9% in April and 11.7% in May.
Core inflation rose to 8.2% in April and 8.7% in May, the SBP said after the policy meeting. The bank projected inflation to remain in double digits for the next few months before gradually easing.
Read: Oil Prices Hold Losses as US-Iran Deal Lifts Stocks
Global oil prices remained under pressure after a US-Iran interim peace deal raised hopes that the Strait of Hormuz would reopen. Brent crude was down 25 cents, or 0.3%, at USD 82.92 a barrel by 0436 GMT, while West Texas Intermediate slipped 9 cents, or 0.1%, to USD 80.66.
The Pakistan Stock Brokers Association called Budget FY27 a “balanced and investor-friendly package” on Monday. It said the decision to retain the existing stock market tax regime removed uncertainty over possible new levies on investors.
The KSE-100 had closed Monday at 177,039.82, up 4,639.92 points, or 2.69%, from the previous close of 172,399.90. The KSE-30 Index rose 1,462.27 points to 52,890.43.
