Pakistani equities surged dramatically on Wednesday, with the Pakistan Stock Exchange (PSX) registering its largest single-day gain as fears of conflict between the United States and Iran eased following Pakistan’s role in brokering peace talks.

The benchmark KSE-100 index jumped 14,137 points (9.32%) to close at 165,811, up from 151,673 in the previous session, signaling renewed investor optimism.

Trading activity was robust, with 1.245 billion shares exchanged at a total value of Rs. 54.4 billion. Among 565 companies that saw transactions, 448 posted gains, 16 faced losses, and 101 remained unchanged.

Mohammed Sohail, CEO of Topline Securities, attributed the rally to the Pakistan-mediated US–Iran ceasefire and declining oil prices. “Although the index remains roughly 24,000 points below its 189k peak, valuations at ~7.5x PE remain attractive. Momentum was widespread, with over 130 stocks hitting their 10% upper limit, reflecting a strong revival in risk appetite,” he noted.