PSX benchmark slides below 169,000 as panic‑selling intensifies
The KSE‑100 index fell 1.79% to 168,865, driven by heightened geopolitical tension and soaring oil prices, wiping out about Rs378 billion in market capitalisation.
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Desk Analysis
How This Affects the Exchange
Sector Effect
Negative · Do not buy
Broad market decline hits Oil & Gas, Power, Cement, Banks and Fertiliser sectors – avoid buying; watch for any reversal.
Sectors & Direction
Desk read
Desk call: Do not buy · Negatively affected
- BanksNegatively affected
- Oil & GasNegatively affected
- PowerNegatively affected
- CementNegatively affected
- FertilizerNegatively affected
Companies
Mentions in This Briefing
Sectors: Banks, Oil & Gas, Power, Cement, Fertilizer — Negative · Do not buy. PSX tickers: PPL, OGDC, HUBC, LUCK, FFCL. Broad market decline hits Oil & Gas, Power, Cement, Banks and Fertiliser sectors – avoid buying; watch for any reversal.
Full Story
Open on Dawn## Market overview
The Pakistan Stock Exchange opened on a bearish note on Thursday, with the KSE‑100 index slipping 3,078.56 points (‑1.79%) to close at 168,865.04, breaking the 169,000 barrier for the first time in four consecutive sessions of decline. The sell‑off erased roughly Rs378 billion of market capitalisation in a single day.
## Drivers of the sell‑off
Analysts linked the sharp drop to a confluence of external risks. Escalating US‑Iran hostilities and recent attacks on shipping in the Strait of Hormuz have revived fears of prolonged disruptions in global oil supplies. Crude prices have stayed above $100 per barrel, prompting concerns over higher fuel costs, inflationary pressure, a widening import bill and possible tightening of monetary policy.
Local institutional investors amplified the downward pressure, trimming positions amid the heightened uncertainty. Trading volume fell 31.6% to 628.6 million shares, while turnover value rose 19.3% to Rs27.1 billion, reflecting a risk‑off mood.
## Sectoral impact
The broad‑based decline was led by heavyweights in several sectors. Meezan Bank, Fauji Fertiliser, Pakistan Petroleum (PPL), Oil & Gas Development Company (OGDC), Hub Power (HUBC), Lucky Cement (LUCK), United Bank, Engro Holdings, Pakistan State Oil and Mari Energies together accounted for an estimated loss of 1,484 index points.
## Corporate news
Interloop Ltd announced FY26 earnings per share of Rs9.06, a 129% year‑on‑year increase, and declared a final dividend of Rs2 per share, raising the FY26 payout to Rs4 per share. The news was largely eclipsed by the market‑wide sell‑off.
## Outlook
Analysts expect geopolitical developments and sustained high oil prices to remain the primary catalysts for market direction in the near term. Caution is likely to dominate investor sentiment until clarity emerges on the US‑Iran conflict and oil market stability.