Pakistan stock market: KSE 100 jumps 2%, extends gains to 3rd day as India-Pak ceasefire lifts sentiments

Pakistan stock market: Extending its gains to the third consecutive session, the equity benchmark index of Pakistan – Karachi Stock Exchange 100 (KSE 100) – surged over 2% on Tuesday, May 13, edging closer to its all-time high level.

Pakistan's stock market rose to its highest since early April today, after surging 9.4% on Monday following the ceasefire announcement, according to Reuters.

KSE 100 index jumped to the day's high of 119,828.88, up 2.4% over its last close, following a record 9% rally seen on Monday, following a ceasefire agreement between India and Pakistan.

In the three sessions alone, the KSE 100 index has jumped over 15%, nearing its 52-week high level of 120,796.67.

The gains in the Pakistan stock market are fueled by optimism around the ceasefire following Operation Sindoor and the IMF’s $1.4 billion loan approval, said Harsal Dasani, Research Analyst at INVasset PMS. As of yesterday's close, Dasani said the index was just 3% shy of its all-time high, reflecting a wave of investor relief and short-term euphoria.

Dasani added that despite the sharp spike seen in the Pakistan stock market on Monday, the total market capitalisation of the Pakistan Stock Exchange remains around ₹14.5 lakh crore. "In stark contrast, Indian equity markets added over ₹16 lakh crore in a single trading session — purely on intraday gains. This isn’t merely a statistical difference — it highlights the sheer disparity in economic depth, institutional participation, and investor confidence between the two nations," he added.

Indian stock market today

Meanwhile, the Indian stock market, after witnessing a record rally on Monday, wherein it posted the best intraday gains in four years, witnessed some profit-taking.

While the benchmark indices Sensex and Nifty dipped 1% following a 3.7% rally yesterday, the broader market trend remained strong.

“Technically, the sharp rise in the Nifty marks a continuation of the uptrend following a three-week consolidation phase. Having crossed the previous swing high of around 24,857, the index is now poised to inch towards the 25,200 level, while the 24,400–24,600 zone is expected to offer strong support on any dip,” Ajit Mishra – SVP, Research, Religare Broking said on Monday.

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