Oil falls to $103, KSE-100 jumps nearly 3% on diplomatic hopes

May 06, 2026 (MLN): Oil prices dropped to $103.45 per barrel down from an earlier $107, while Pakistan’s benchmark KSE-100 Index surged 2.88% to 169,490.34 points by 2:12 PM, as improving geopolitical sentiment lifted investor confidence.

The decline in oil prices came after U.S. President Donald Trump declared a pause in a key naval operation in the Strait of Hormuz, raising hopes of easing tensions in the region.

In a statement on Truth Social, Trump said the United States would temporarily suspend “Project Freedom,” a military initiative launched just a day earlier to escort commercial ships through the strategically vital waterway.

He pointed to encouraging developments in ongoing negotiations with Iran, suggesting progress toward a potential diplomatic agreement.

The positive shift in global sentiment fueled strong momentum at the Pakistan Stock Exchange, with the KSE-100 remaining in the green.

The index touched an intraday high of 169,497.84, up 4,755.37 points, while as of now the day’s low stood at 167,354.44, still significantly higher by 2,611.97 points.

Trading activity remained robust, with total volume in the KSE-100 Index reaching 336.73 million shares.

Market breadth was overwhelmingly positive, as 97 out of 100 index companies recorded gains, while only 3 declined.

Top performers included HCAR (+10.00%), MLCF (+9.63%), PIOC (+9.34%), NML (+8.80%), and DGKC (+8.23%), reflecting broad-based buying across key sectors.

Copyright Mettis Link News