The Pakistan Stock Exchange closed lower on Tuesday as investors took profits, erasing an early increase in the KSE‑100 index. Refinery stocks outperformed amid expectations of policy changes in oil refining.
KARACHI: The Pakistan Stock Exchange relinquished its early gains on Tuesday as investors locked in profits during the latter session, pulling the benchmark KSE‑100 index down 638.45 points, or 0.36%, to 177,623.88.
The market opened strongly, with the index climbing to an intraday peak of 179,123.01, a rise of 860 points, before selling pressure reversed the trend. It subsequently declined by as much as 827 points to 177,434.96, underscoring a pronounced shift in sentiment after the prior overnight recovery.
Topline Securities noted that trading remained volatile throughout the day, with early buying giving way to broad‑based profit‑taking. Arif Habib Ltd characterized the session as overall bearish, while observing that initial sentiment was bolstered by an extension of the pause in hostilities between the United States and Iran, as well as by focus on discussions between Tehran and Oman concerning the resumption of traffic through the Strait of Hormuz.
Refinery Shares Outperform the Broader Market
Refinery shares stood out amid the broader decline following reports that the Cabinet Committee on Energy approved amendments to the Pakistan Oil Refining Policy 2023, eliminating obstacles that had postponed refinery upgrade agreements since the policy’s August 2023 introduction.
Attock Refinery, Pakistan Refinery, National Refinery, and Cnergyico PK all closed higher on the news. Cnergyico PK also topped the volume chart, with nearly 273 million shares changing hands.
Conversely, United Bank, Oil and Gas Development Company, Hub Power, Pakistan Petroleum, and Bank of Punjab emerged as the biggest drags on the benchmark, collectively shaving around 318 points from the index.
Trading Activity Cools from Prior Session
Overall trading activity slowed relative to the previous session, with the volume of traded shares falling 7.8% to 958 million. The total value of shares traded reached Rs41.5 billion.
Analysts indicated that the KSE‑100’s near‑term target remained at 180,000 following a period of consolidation. Market sentiment also received support from Pakistan and China’s signing of investment and commercial agreements valued at approximately $1.4 billion at the Pakistan‑China Business Conference, initiatives that aim to deepen industrial cooperation, facilitate technology transfer, and boost local manufacturing.
