The Pakistan Stock Exchange (PSX) surged by over 3,300 points on Thursday, rebounding sharply after the United States announced a 90-day pause on most of its newly proposed tariffs, excluding those targeting China.
The PSX rallied after global financial markets found relief following Trump’s announcement to pause tariffs. Recently, concerns over a rising US-China trade conflict had unsettled investors, but the halt in tariffs eased fears of a more extensive economic downturn, thereby boosting confidence among investors.
At 9:33 a.m., the benchmark index KSE-100 increased by 3,331.01 points, or 2.92%, reaching 112,891.48, up from the previous close of 109,560.47.
The PSX’s sharp rise followed similar gains in international markets, which responded positively to the US decision. On Wednesday, markets had dipped amid growing concerns that higher US tariffs on Chinese goods could increase global recession risk by dampening growth and investor sentiment.
However, analysts noted that declining global commodity prices, especially oil, and a potential competitive advantage for emerging markets like Pakistan could help improve the country’s external balance in the near term.
Market watchers are now closely monitoring global economic signals, with hopes that the momentum at PSX can be sustained if international stability continues and local fundamentals align.