The Pakistan Stock Exchange’s (PSX) benchmark index KSE-100 continued its recovery on Wednesday, surging by over 4,200 points during intraday trade.

The index gained 4,276.09 points, or 2.85 per cent, to stand at 154,292.25 points from the previous close of 150,016.16 points.

The KSE-100 plunged to an intraday low of 150,284.25 points at around 9:30am, then reached its intraday high of 154,684.45 points at 1:30pm, before settling at 154,292.25.

Topline Securities noted the bullish momentum reflected “recovery in overall market sentiment”.

“The upward movement was largely supported by slightly lower international oil prices, alongside selective value hunting by investors,” it added.

It noted that the rally was “primarily led by index-heavy stocks” — United Bank Limited (UBL), Oil & Gas Development Company (OGDC), Fauji Fertiliser Company Limited (FFC), Pakistan Petroleum Limited (PPL), and Meezan Bank Limited (MEBL) — which collectively added 1,816 points to the benchmark.

“Trading activity remained firm,” Topline Securities said, with total volumes clocking in at 397 million shares and overall turnover reaching Rs22.3 billion.

Among the most actively traded stocks today:

• Bank of Punjab: up 6.82pc to Rs27.55 on a volume of 54,733,142 shares
• Wasl Mobility Modaraba (Right): up 700pc to Rs0.64 on a volume of 31,549,329
• K-Electric Limited: up 4.32pc to Rs7.73 on a volume of 26,433,608

The top advancing stocks were led by Wasl Mobility Modaraba (Right), rising 700pc to Rs0.64, followed by First Al-Noor Modaraba, rising 14.38pc to Rs5.01, and Security Investment Bank Limited, rising 13.46pc to Rs7.42.

The top decliners were Tariq Corporation Limited (Pref), down 10pc to Rs13.23; Itanz Technologies Limited, down 10pc to Rs32.95, and Jubilee Spinning & Weaving Mills Ltd, down 9.63pc to Rs31.34.

The PSX had slipped below 150,000 points on Monday as volatile conditions arising from the Middle East conflict and border tensions with Afghanistan sent investors into panic, who sold off their positions.

However, on Tuesday, the KSE-100 index managed to close in the green, snapping a four-day losing streak and boosting the market above the 150,000-point level.

The ongoing Middle East war and the resulting shipping paralysis in the Strait of Hormuz have sent the global oil prices haywire.

On Tuesday, US crude rose 2.28pc to $95.63 a barrel and Brent climbed 2.59pc to $102.81 per barrel.

The State Bank of Pakistan (SBP) is likely to increase its policy rate at the next monetary policy meeting, following an expected sharp rise in headline inflation after a jump in oil prices.