KARACHI:
The Pakistan Stock Exchange faced intense selling pressure on Monday, driving the benchmark KSE‑100 index down 2,288 points as domestic political turmoil outweighed any relief from lower international oil prices.
The index closed at 165,867.32, a decline of 1.36 % from the previous session’s close of 168,155.49. During trading it swung between an intraday high of 167,918.37 and a low of 165,764.21, underscoring the session’s volatility. Political anxiety intensified after negotiations between the government and Pakistan Tehreek‑e‑Insaf (PTI) broke down without resolution, with PTI pressing forward with its march toward Islamabad. Disagreements over counter‑terrorism policy and access to jailed PTI founder Imran Khan emerged as key obstacles, fuelling fears of renewed confrontation. Meanwhile, oil prices initially slipped on expectations of increased Middle Eastern supply and a planned G7 emergency‑stock release, but later rebounded amid concerns about regional energy‑supply disruptions, leaving the market under sustained pressure.
According to Arif Habib Limited (AHL), eight stocks advanced while 91 retreated. The biggest contributors to gains were Pakistan Oilfields (+1.16 %), Tariq Glass Industries (+0.81 %) and Highnoon Laboratories (+0.23 %). On the downside, UBL (‑1.57 %), Engro Holdings (‑1.77 %) and HBL (‑2.34 %) weighed most heavily on the index. AHL also noted that PTI’s march toward Islamabad commenced after talks stalled over several demands, including access to the detained leader. Authorities responded by positioning shipping containers and other barriers around Islamabad to deter demonstrators from entering the capital.
On the regional front, Yemen’s government launched a large‑scale offensive to retake Houthi‑held territory after weeks of escalating clashes between the Iran‑backed group and Saudi Arabia. AHL added, “After hitting the downside target of 166k, a near‑term pullback becomes more likely, although further downside targets remain possible in the coming weeks.”
Ahmed Sheraz of KASB KTrade observed that the KSE‑100 continued its correction, finishing at 165,867—down 2,288 points or 1.36 %—amid broad‑based selling and heightened risk aversion. Trading volume was modest at 169 million shares, with activity led by Pakistan International Bulk Terminal, Cnergyico, K‑Electric and The Bank of Punjab.
Selling pressure was evident across commercial banks, investment banks, cement, oil & gas and power sectors, where UBL, Engro Holdings, HBL, Hub Power, Pakistan Petroleum and OGDC figured among the notable laggards. International oil prices remained steady around $101‑103 per barrel, while renewed tensions in the Strait of Hormuz and the Red Sea added to market unease.
Domestically, the ongoing political noise—including the long march and speculation about possible constitutional measures—further eroded investor confidence. Sheraz commented, “Looking ahead, we anticipate the KSE‑100 will stay volatile and range‑bound until greater clarity emerges on the political front and geopolitical tensions ease.” Cumulatively, trading volumes fell to 441.9 million shares, down from 494 million in the prior session.
Shares of 499 companies changed hands in the ready market, with 55 closing higher, 409 lower and 35 unchanged.
First National Equities led turnover, trading 50.3 million shares and slipping Rs0.05 to close at Rs1.17. Foreign investors offloaded shares worth Rs45 million, as reported by the National Clearing Company.