KARACHI: Despite limited excitement surrounding the Monetary Policy Committee meeting later in the day, the stock market on Monday experienced buying at attractive levels during early trading, following significant declines last Friday. However, investors became cautious due to escalating geopolitical tensions in the Middle East stemming from the ongoing conflict between Israel and Iran.
Ahsan Mehanti of Arif Habib Corporation said stocks advanced despite geopolitical risks amid speculation over the SBP policy announcement later in the day.
He noted that trade remained strong during the consolidation phase. A recovery in global equities, along with optimistic projections from the IMF for privatisation, GDP growth, and the PSDP outlined in the federal budget for 2025-26, all contributed to a favourable closing at the PSX.
According to brokerage Topline Securities, the Pakistan stock market experienced a pullback session following a recovery in global markets.
The benchmark index traded within range, hitting an intraday high of 759 points and a low of 253 points, before settling at 122,225 — a modest gain of 81 points or 0.07 per cent.
Positive contributions came from Bank Al-Habib, Oil and Gas Development Company, National Bank, Mari Energies, and Meezan Bank, collectively adding 371 points to the index. On the other hand, selling in Engro Holdings, Packages Ltd, and Lucky Cement weighed on performance, subtracting a combined 255 points.
Ali Najib, Deputy Head of Trading Arif Habib Ltd, said the PSX had a range-bound session ahead of the Monetary Policy Statment and ended the day on a relatively flat note.
Later in the day, the State Bank of Pakistan kept its policy rate unchanged at 11pc.
During the trading session, the benchmark index fluctuated between 121,890 and 122,903 levels, marking the intra-day low and high. Investors opted for a cautious approach amidst burgeoning geopolitical tensions in the backdrop of the Iran-Israel conflict.
Market participation remained robust, with trading volume surging 26.41pc to 1.22 billion shares, while the traded value fell 12.88pc to Rs 25.75 billion day-on-day.
Published in Dawn, June 17th, 2025