KARACHI: The Pakistan Stock Exchange (PSX) came under renewed selling pressure on Wednesday as investors opted to book profits after a brief overnight rebound, pushing the benchmark KSE-100 index back below the 183,000-point threshold. Market participants cited the absence of positive triggers and heightened regional tensions as key factors behind the pullback.
Read More: PSX sheds 1,382 points to close at 182,570 points
According to Topline Securities Ltd, the benchmark index remained volatile throughout the session, swinging between an intraday high of 775 points and a low of 1,581 points. It eventually settled at 182,569.82, down 1,381.69 points or 0.75 per cent on a day-on-day basis.
Despite the negative trend, the exploration and production sector outperformed. Oil and Gas Development Company ended 2.95pc higher, while Pakistan Petroleum gained 2.12pc, supported by selective buying interest in energy stocks.
Key index contributors included OGDCL, PPL, Meezan Bank, Askari Bank, and Atlas Honda, which collectively added 429 points to the benchmark. However, selling pressure in United Bank, MCB Bank, Fauji Fertiliser, Lucky Cement, and Hub Power eroded 897 points, dragging the broader market lower.
Overall trading activity remained muted, with volumes falling to 1.031 billion shares. In contrast, the value of shares traded rose 5.19pc to Rs65.9bn, with K-Electric topping the volume board at 56m shares.
Ali Najib, Deputy Head of Trading at Arif Habib Ltd, said elevated geopolitical tensions continued to weigh on investor sentiment. He noted a cautious stance amid uncertainty in the Middle East, prompting market participants to limit exposure.
Read More: PSX equities slide 2,025 points amid profit-taking
On the macroeconomic front, Bloomberg projected Pakistan’s recent inflation slowdown to 5.6pc year-on-year to be short-lived. It expects consumer price inflation to reaccelerate due to base effects, stronger demand and higher energy costs, potentially nearing 8pc by the fourth quarter of FY26.
This outlook, analysts say, strengthens expectations for the State Bank of Pakistan to keep the policy rate steady at 10.5pc. They added that upside risks persist, particularly from oil price volatility.