Selling continued at the Pakistan Stock Exchange (PSX) on Friday, with the benchmark KSE-100 Index remaining under pressure during the first half of the session as investors stayed cautious.
By around 12pm, the index was hovering at 166,297.89, showing a decline of 200.94 points, or 0.12 percent, compared to the previous close of 166,498.83. The market moved within a range of 165,347.40 to 166,924.48 during the session, with trading activity crossing 137 million shares.
Broad-based selling weighs on market
The downward trend was visible across major sectors, including automobile assemblers, cement, commercial banks, oil and gas exploration, and power generation. Heavyweight stocks such as HUBCO, OGDC, PPL, PSO, HBL, MEBL, NBP and UBL all traded in negative territory, dragging the index lower.
Market participants said investor sentiment remained weak despite some positive developments. Analysts noted that while Pakistan’s recent Panda Bond issuance provided some support, concerns linked to the International Monetary Fund outlook and ongoing global tensions continued to weigh on confidence.
The IMF has recently introduced 11 new structural benchmarks for Pakistan. These include securing parliamentary approval of the FY2027 budget in line with programme targets, revising gas and power tariffs, and making changes to improve transparency and autonomy in the accountability framework.
Previous session sets cautious tone
The weak start follows Thursday’s sharp decline, when the KSE-100 Index dropped by 952.30 points, or 0.57 percent, to close at 166,498.84. That session was marked by heavy selling in index-heavy stocks as investors reacted to geopolitical uncertainty and rising oil prices.
Mixed activity in individual stocks
Despite the overall decline, some stocks saw notable gains. Among the most active counters, K-Electric, Bank of Punjab, Cnergyico and Pakistan Refinery-related scrips recorded modest increases. CSIL stood out with a strong rise of over 11 percent, making it one of the top performers.
On the gaining side, several stocks posted sharp increases of around 10 percent, including HIRAT, LSEFSL, SPAC1 and others. In contrast, decliners such as IDRT, MACFL and PIM recorded losses of up to 10 percent, reflecting continued volatility at the broader market level.
Global cues add to uncertainty
International markets offered little comfort. Asian equities moved lower as concerns over inflation and the possibility of higher US interest rates unsettled investors. Rising US Treasury yields and firm oil prices added to the cautious mood.
Oil markets remained firm amid uncertainty surrounding the Strait of Hormuz and ongoing geopolitical tensions. Meanwhile, developments during Donald Trump state visit to China 2026 are being closely watched, as investors look for signs of easing tensions that could stabilise global markets.
Overall, the PSX continues to face pressure, with investors closely tracking both domestic policy steps and global developments for clearer direction.
