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PSX Soars Over 6,000 Points as Ceasefire Cools Iran-Israel Tensions
PSX surges 6,079 points after Trump announces Iran-Israel ceasefire. Market halts triggered amid global rally. Oil dives 5% as tensions cool.
ND
by News Desk
2025-06-24
PSX Soars Over 6,000 Points as Ceasefire Cools Iran-Israel Tensions

The Pakistan Stock Exchange (PSX) experienced a major rally on Tuesday, surging by over 6,000 points following an overnight ceasefire announcement by U.S. President Donald Trump aimed at ending the 12-day war between Israel and Iran.

The benchmark KSE-100 index jumped by 6,079.16 points, or 5.23%, closing at 122,246.63 points. This marks one of the sharpest single-day gains in recent years.

Earlier in the day, the PSX hit an intraday high of 122,045.62 points, up 5,878 points from Monday’s close of 116,167.47. Trading was halted briefly after the KSE-30 index triggered a market-wide circuit breaker due to a 5% increase, as per PSX regulations.

Yousuf M. Farooq, Director of Research at Chase Securities, credited the surge to the unexpected ceasefire announcement. “The market rallied earlier today following the overnight announcement of a ceasefire. Broad-based gains were seen across most sectors,” he said.

However, sentiment was slightly dampened during the day amid Israeli claims that Iran had violated the ceasefire. This led to a mild pullback from the day’s highs, but the market still closed strong.

“The rally could resume if the ceasefire holds. Local fundamentals remain intact, but geopolitical developments will continue to drive market direction,” Farooq added.

The global market echoed similar optimism. World shares rallied, the U.S. dollar slipped, and oil prices plunged nearly 5% to a two-week low as fears of supply disruptions eased, according to Reuters.

The PSX had endured significant losses on Monday, shedding over 3,800 points amid panic selling triggered by U.S. airstrikes on Iranian nuclear facilities and Iran’s threats to close the Strait of Hormuz.

In a surprise social media post late Monday, U.S. President Donald Trump announced a staggered ceasefire deal. Iran was to halt all operations at 4am GMT (9am PKT) Tuesday, with Israel following 12 hours later.

Despite Trump's announcement, Iran’s Foreign Minister Abbas Araghchi stated there was “no agreement” yet on a formal ceasefire. However, he hinted Tehran would cease further action if Israel ended what he termed its “illegal aggression.”

The Israeli government claimed it had achieved all objectives in the war and accepted the U.S. proposal after eliminating Iran’s nuclear and missile threats. However, it warned that any violation of the truce would be met with a forceful response.

As markets closely watch how the truce unfolds, investors are expected to remain cautious, with volatility likely to persist in the near term.

 
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PSX

PakistanStockExchange

KSE100

IranIsraelCeasefire
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