PSX Achieves 3.23% Weekly Gain Amid Eased Oil Prices

The KSE‑100 index of the Pakistan Stock Exchange extended its winning streak, closing at 185,372 points—a 3.23% (5,801‑point) rise for the week. The gain followed easing oil prices driven by a de‑escalation of US‑Iran tensions, which in turn bolstered investor confidence. Brent crude softened to roughly $71.8 per barrel during the period.

Market action was mixed on Monday, when the KSE‑100 fell 1,157 points (‑0.64%) to 178,415 before rebounding sharply on Tuesday, gaining 1,887 points (+1.06%) to 180,302. The index reclaimed the 180‑k level, ending the month with a solid 3.63% month‑on‑month gain. Wednesday’s bulls dominated, lifting the index to an intra‑day high of 184,050 after a strong session that added 3,748 points (+2.08%).

The upward momentum continued into Thursday, with the KSE‑100 ending at 184,521, an increase of 471 points (+0.26%). The final session of the week added 851 points (+0.46%) for a close of 185,372. According to Arif Habib Limited, the index’s rise reflected decreasing oil prices and sustained bullish market sentiment.

The Consumer Price Index for June 2026 reported an 11.1% year‑on‑year inflation rate, down from 11.7% in May. Pakistan’s trade deficit widened to $4.5 billion in June 2026, up 75.4% month‑on‑month from the prior $2.6 billion, largely due to a sharp rise in imports. Total liquid foreign currency reserves stood at $22,045 million as of June 24; State Bank reserves contributed $16,527 million and commercial bank reserves added $5,517 million, marking a 2.6% week‑on‑week increase after a previous 5.5% decline. mits. In the Pakistan Investment Bond auction, the government raised Rs 438 billion against a target of Rs 350 billion, with yields falling by 47–70 basis points across all tenors, per AHL.

Gas production rose 0.5% week‑on‑week to 2,971 mmcfd in the third week of June 2026, mainly due to higher output from the Mari, Uch, and Qadirpur fields. Shewa production fell sharply to 21 mmcfd from 101 mmcfd, likely caused by disruptions linked to the SNGPL pipeline rupture.

Petroleum sales in June 2026 were under pressure, with volumes at 1.26 million tons—a 20% year‑on‑year decline. Provisional urea offtake increased 2% YoY to 592 k tons in June, though overall refinery sales fell 8.1% YoY, largely due to reduced diesel and furnace oil offtake. The Pakistani rupee strengthened marginally against the U.S. dollar, closing at Rs 278.12 per $1, a 0.03% week‑on‑week gain, according to AHL.

Syed Danyal Hussain of JS Global observed that the KSE‑100’s 3.2% week‑on‑week advance was mainly underpinned by improving investor sentiment following progress in US‑Iran negotiations, with Brent crude settling at $71.8 per barrel. On the macro side, CPI inflation was 11.1% YoY, bringing FY26 average inflation to 7.04%. However, the trade deficit widened 57% YoY to $4.5 billion in June, pushing the cumulative FY26 deficit to $39.4 billion (+22%)—the পাকিস্তানের highest level in four years, driven by a 6% drop in exports and an 8% rise in imports.

On fiscal matters, the Federal Board of Revenue achieved its revised FY26 tax collection target, raising Rs 13 trillion against the goal of Rs 12.98 trillion. Pakistan’s central‑government debt increased 5% YoY, the slowest rate of growth in 15 years. In related news, Barclays upgraded Pakistan’s sovereign debt rating to “Overweight,” citing a more favorable oil‑price outlook, as noted by Hussain.

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