PSX: Selling continues, KSE-100 sheds nearly 2,600 points
The KSE-100 index fell 1.53% in early trade as geopolitical tensions and rising oil prices triggered broad‑based selling across key sectors.
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Desk Analysis
How This Affects the Exchange
Sector Effect
Negative · Do not buy
Broad‑based selling across banks, oil & gas, cement, power and automobile sectors – negative outlook, avoid buying.
Sectors & Direction
Desk read
Desk call: Do not buy · Negatively affected
- BanksNegatively affected
- Oil & GasNegatively affected
- CementNegatively affected
- PowerNegatively affected
- AutomobileNegatively affected
Companies
Companies Mentioned
- ARL· Negatively affected · Do not buy
- HUBCO· Negatively affected · Do not buy
- OGDC· Negatively affected · Do not buy
- PPL· Negatively affected · Do not buy
- POL· Negatively affected · Do not buy
- MARI· Negatively affected · Do not buy
- MCB· Negatively affected · Do not buy
- MEBL· Negatively affected · Do not buy
- NBP· Negatively affected · Do not buy
- UBL· Negatively affected · Do not buy
Mentions in This Briefing
Sectors: Banks, Oil & Gas, Cement, Power, Automobile — Negative · Do not buy. PSX tickers: ARL, HUBCO, OGDC, PPL, POL, MARI, MCB, MEBL, NBP, UBL. Broad‑based selling across banks, oil & gas, cement, power and automobile sectors – negative outlook, avoid buying.
Full Story
Open on Business Recorder## Market Overview
The Pakistan Stock Exchange opened on Friday under heavy selling pressure. By 9:50 am the benchmark KSE‑100 index was at 166,273.27, down 2,591.77 points (‑1.53%). The decline followed a sharp pull‑back the previous day when the index fell 3,078.56 points amid renewed US‑Iran hostilities and a surge in international crude prices.
## Sectoral Impact
Selling was evident in several heavyweight sectors: - Automobile assemblers - Cement - Commercial banks - Oil & Gas exploration - Oil marketing companies (OMCs) - Power generation
Index‑heavy stocks such as ARL, HUBCO, OGDC, PPL, POL, MARI, MCB, MEBL, NBP and UBL all traded in the red.
## Global Drivers
Internationally, bond yields spiked to fresh highs and equity markets slipped as oil prices surged. Brent crude rose to a four‑month high of $109.97 per barrel, driven by restricted flows through the Strait of Hormuz after US‑Iran attacks and the Houthi seizure of Yemen’s Mocha port, raising concerns of a protracted conflict.
Higher global yields increase discount rates used for corporate valuations, pressuring Asian equities. MSCI’s broad Asia‑Pacific index fell 1.8%, Japan’s Nikkei dropped 2.8%, Chinese blue‑chips slipped 1.2% and Hong Kong’s Hang Seng fell 1.5%. US Nasdaq futures were down 0.2% while S&P 500 futures were largely unchanged.
## Outlook
The combination of geopolitical risk, rising oil prices and global inflation fears is likely to keep volatility high on the PSX. Investors are advised to monitor developments closely.