KSE100 spurts 9,900 pts within mins, up 9% as Pak investors cheer India ceasefire

KSE100, Pakistan's benchmark stock index, rallied over 9,900 points, or 9 per cent, in Monday's trade, in a relief rally after India and Pakistan agreed to ceasefire, and a day of calm followed.    

May 11 saw the first calm night in 19 days following the Pahalgam terror attack on April 22. While Pakistan violated ceasefire on May 10 itself, May 11 was relatively calm. The Directors General of Military Operations (DGMOs) of the two nations are set to engage in crucial discussions to solidify the ceasefire understanding reached recently. 

Both nations are expected to reinforce the ceasefire terms during the DGMO-level talks scheduled for today at 12 noon IST. 

KSE100 climbed 9,899.99 points or 9.23 per cent, to hit a high of 1,17,074.63. Despite this rally, the 100-pack index is still 1355.72 points away from 1,18,430.35 level it traded at on April 22. 

The domestic stock market also gained today, but the gains were capped, given India's $5-trillion stock market size. The BSE Sensex rose 2,358.28  points, or 2.97 per cent, to 81,805.99. The 50-pack Nifty was trading at 24,739.90, up 731.90 points or 3.05 per cent. Investor wealth in India, as suggested by the BSE market capitalisation, rose Rs 11 lakh crore to Rs 4,27,84,445.04 crore from Rs 4,16,51,538 crore on Friday.     

The recent military exchange resulted in the elimination of 40 Pakistani army personnel due to artillery and fire exchanges along the Line of Control from May 7 to May 10. The strategic precision strikes under Operation Sindoor have been a pivotal aspect of India's response to recent terror activities, with a focus on maintaining regional stability and security.

From May 7 to May 10, artillery and fire exchanges along the Line of Control led to the deaths of 40 Pakistani army personnel. These actions were part of Operation Sindoor, a series of targeted precision strikes forming a key component of India’s response to recent terrorist activity, aimed at upholding regional stability and security.

On April 2025, five terrorists attacked a group of tourists in Baisaran Valley near Pahalgam in Jammu and Kashmir, killing 26 people. The incident marked the deadliest civilian attack in India since the 26/11 Mumbai attacks in 2008, and resulted in diplomatic fallout, trade suspensions, and retaliatory military actions including Indian airstrikes on suspected terror camps in Pakistan.

India’s retaliatory measures included the launch of Operation Sindoor, a precision strike targeting nine locations in Pakistan-occupied Kashmir and Pakistan’s Punjab province. Over 100 terrorists were killed in the missile strikes, JM Financial said in a note.