Profit‑taking Ends Four‑Day Rally on PSX; Index Closes Lower

KARACHI:

The KSE‑100 index of the Pakistan Stock Exchange (PSX) closed lower on Friday, shedding around 785 points and ending October down by 2.09% month‑on‑month. Rising oil prices, driven by concerns over heightened U.S.‑Iran tensions after the midterm elections and reports of tanker attacks in the Strait of Hormuz, weighed on market sentiment. In addition, profit‑taking following the recent rally sparked by September‑quarter earnings added pressure on the benchmark.

At the close of trading, the KSE‑100 posted a loss of 784.19 points, or 0.47%, settling at 166,409.25.

Arif Habib Limited (AHL) noted that the index slipped 0.47% to hover around 166,400, with UBL, LUCK and HBL among the primary drags. OGDC’s strong first‑quarter results—EPS up 53% YoY at Rs13.60 and a Rs5 dividend per share, driven by higher oil and gas output plus other income—provided some relief amid elevated oil prices, while support was seen near 160,000 points.

Topline’s daily market review observed that the market remained largely negative during the final trading session of the week, with the index down 0.47% to close at 166,409. The bearish sentiment was primarily attributed to rising crude oil prices amid expectations of intensified U.S.‑Iran tensions following the U.S. midterm elections, coupled with reported attacks on tankers in the Strait of Hormuz, raising concerns over potential supply disruptions.

Investors also engaged in profit‑taking after the recent rally fueled by September‑quarter financial results. The top negative contributors to the index were UBL, LUCK, HBL, FATIMA and ATRL, collectively erasing 359 points. By traded value, CNERGY (Rs1.57 billion), OGDC (Rs953 million), THCCL (Rs794 million), SAZEW (Rs530 million) and PSO (Rs510 billion) dominated activity.

In its monthly review, Topline reported that the KSE‑100 dipped 2.09% on a month‑on‑month basis during October, primarily due to geopolitical uncertainty, foreign portfolio outflows, profit‑taking in heavyweight stocks and cautious investor sentiment amid global financial market volatility and domestic macroeconomic concerns.

Key developments during the month included a moderation in Pakistan’s CPI inflation to 10.26% in September 2026, from 11.15% in August 2026, though still above the 5.76% recorded in September 2025. Automobile sales fell 12% YoY and 3% MoM to 15,104 units, according to the auto manufacturers association.

Overall trading volumes reached 825.47 million shares, up from the previous session’s 816.83 million, with a total value of Rs23.12 billion. Shares of 501 companies were traded, of which 173 closed higher, 300 fell, and 28 remained unchanged.

Volume leaders were Pervez Ahmed Consultancy, which traded 165.86 million shares and lost Rs0.44 to close at Rs3.96; Cnergyico PK with 111.99 million shares, down Rs0.44 at Rs13.64; and First National Equities, gaining Rs0.01 to Rs1.13 on 40.46 million shares. Foreign investors sold shares worth Rs6.2 billion, as reported by the National Clearing Company.

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