The Pakistan Stock Exchange witnessed a powerful rebound on Friday as the benchmark KSE-100 Index surged by 4,899 points, or 3.13%, to close at 161,632, marking the fourth-highest single-day gain in its history. The rally helped the index reclaim the 160,000 level after days of sustained selling pressure.

The rally was fueled by optimism following the ceasefire agreement between Pakistan and Afghanistan, brokered in Istanbul under the mediation of Turkey and Qatar, said Ali Najib, Deputy Head of Trading at Arif Habib Ltd. “The development revived investor confidence, easing geopolitical concerns that had weighed heavily on sentiment throughout the week.”

Heavyweight stocks in banking, fertiliser, technology, and cement led the rally. Major gainers included UBL, MEBL, FFC, BAHL, HBL, SYS, LUCK, BAFL, NBP, and MCB, which collectively contributed 3,083 points to the index’s advance.

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Market participation remained robust, with trading volumes reaching 951.3 million shares and the total traded value standing at Rs42.2 billion. WorldCall Telecom (WTL) once again topped the volume chart, with 98.9 million shares changing hands.

On a weekly basis, however, the benchmark closed in negative territory, shedding 1,672 points, or 1.02%. The index opened the week at 163,309 points, hit a high of 163,571, and dipped to a low of 156,328 before ending at 161,632.

Analysts said the KSE-100 has now entered a consolidation zone between 160,000 and 170,000 points, with strong support emerging around the 160,000 level. Market sentiment has improved following the recovery, and the index is expected to test the 165,000 mark in the coming sessions if momentum continues.