Pakistan’s stock market spent the week of August 24 to 28 doing what it’s done for much of the summer: flirting with a ceiling it couldn’t quite break. The benchmark KSE-100 index traded in a tight, nervous band, unable to sustain any move above the psychologically important 178,000 mark before sellers stepped back in.
By Friday’s close, the index settled at 177,696.51, an addition of 373.73 points, or 0.21 percent, capping a week that analysts at Arif Habib Limited described as mixed. The defining theme was the index’s inability to decisively clear resistance in the 178,000 to 180,000 zone, with the brokerage warning that a break lower could reopen the path back toward July’s lows. Still, the market has not been without its gains this year; year to date, the KSE-100 has advanced 2.09 percent, with total market capitalisation standing at Rs19.9 trillion.
Friday’s session itself was a rollercoaster. The KSE-100 swung both ways amid cautious bullish sentiment before ending the week in positive territory, buoyed partly by external tailwinds. Topline Securities attributed the day’s gains to falling oil prices amid signs of progress in Pakistan mediated diplomatic efforts involving Iran. Turnover stayed healthy, with regular market volume reaching 658.3 million shares worth Rs31.5 billion.
Globally, the backdrop was equally jittery. Asian markets turned cautious even after a Nvidia fuelled tech rally, while investors held their breath for remarks from the Fed at the Jackson Hole Symposium. Oil was headed for a weekly loss of over 5 percent, with Brent easing to $89.63 a barrel after Tehran and Muscat moved toward an accord on Strait of Hormuz traffic.
Looking ahead, investor attention is already shifting to Islamabad’s next big test. The IMF review mission is expected in September for the fourth assessment under the $7 billion Extended Fund Facility, a checkpoint that will likely decide whether the KSE-100 finally breaks its ceiling or slips back toward safer ground.
For now, Karachi’s traders are left watching the same number they’ve watched all month: 178,000.
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