[Kite Valley Shares Plunge 1,733 Points Amid Surging Oil Prices and Geopolitical Ripple Effects]
Summary
- The market remained under pressure as Brent crude prices moved above $100 per barrel, raising concerns over inflation, the external account and overall macroeconomic stability.
- Market sentiment also remained cautious amid heightened tensions in the Middle East and renewed concerns over crude prices.
- Brent crude moved above the $100 mark, with KTrade noting that prices approached $107 per barrel.
AI Generated Summary
The Pakistan Stock Exchange (PSX) witnessed a sharp decline on Thursday as renewed geopolitical tensions, rising global oil prices and profit-taking erased the market’s recent gains.
The benchmark KSE-100 Index fell 1,733.57 points, or 1.01%, to settle at 170,498.95, reversing Wednesday’s strong advance. The market remained under pressure as Brent crude prices moved above $100 per barrel, raising concerns over inflation, the external account and overall macroeconomic stability.
Arif Habib Limited (AHL) reported that the decline was broad‑based, with the KSE-100 lingering near its July low consolidation zone. Eleven index stocks rose while eighty‑seven closed negative. Engro Fertilisers, Habib Bank Limited (HBL), and Ghandhara Automobiles offered limited relief, whereas United Bank Limited, Lucky Cement and Mari Energies placed significant downward pressure on the index.
AHL further highlighted progress in the auto and refining sectors. Geely has announced entry into Pakistan with three SUV models through Bestway Automotive. Separately, Attock Refinery and Cnergyico concluded agreements with Inter State Gas Systems for facility upgrades under the updated brownfield policy.
Analysts note the KSE‑100 posted an intraday peak of 172,491 before sharpening to a low of 170,418. After three consecutive upward sessions, profit‑taking escalated dramatically during the second market half.
Sentiment persisted cautious due to simmering Middle Eastern conflicts and mounting worry about crude commodities. Brent crude cleared $100, reaching roughly $107 per barrel per KTrade.
This reversal erased Wednesday’s 830‑point jump driven earlier by optimism surrounding U.S.–Iran dialogue and an IMF delegation.
Session turnover was measured, with 759.97 million shares traded versus 773.59 million previously. Total market turnover amounted to Rs27.54 billion.
Out of 495 listed companies, 101 rose, 358 fell, and 36 remained flat.
Cergyneco topshed volume with 158 million shares declining to Rs13.47. K‑Electric follows with 72 million shares closing at Rs6.05 (−Rs0.48). First National Equities registered 60 million shares ending at Rs1.12 (−Rs0.07).
Foreign investors stayed net buyers, accumulating Rs17.7 million in equity purchases, according to the National Clearing Company of Pakistan.
