KARACHI: The Pakistan Stock Exchange (PSX) came under renewed selling pressure on Wednesday as investors took profits amid a deteriorating situation in the Middle East and a subsequent surge in oil prices. As a result, the benchmark KSE-100 index failed to sustain the overnight gains above the crucial barrier of 170,000 points.

Topline Securities Ltd said the PSX experienced volatile trading as investors navigated sharp swings in market sentiment. The benchmark index remained volatile throughout the session, recording an intraday high of 399 points and an intraday low of 984 points, reflecting heightened uncertainty and cautious investor behaviour.

Despite intermittent recovery attempts, sustained selling pressure across key sectors kept the market under strain, dragging the benchmark index to close at 169,427.44, down 903.12 points or 0.53 per cent.

The wide intraday range reflected a tug-of-war between cautious optimism and lingering concerns, with sentiment remaining fragile as participants assessed evolving macroeconomic cues and positioned ahead of key market triggers.

Geopolitical risk, oil surge drag index below 170,000-level

On the index contribution front, heavyweight sto­cks including Meezan Ba­­nk, International Steels Ltd, Pakistan Oilfield, Inte­r­­­national Industries Ltd, and Interloop Ltd collectively added 183 points to the index. Conversely, Ba­­nk Al-Habib, United Bank, MCB Bank, Engro Holdings, and Oil and Gas Development Company wei­­­g­­­­­­h­­ed on performance, collectively eroding 464 po­­­ints from the benchmark.

Ali Najib, Deputy Head of Trading at Arif Habib Ltd (AHL), stated that the PSX recorded mixed trading activity, as investor confidence remained subdued amid renewed overnight tensions between the US and Iran. The lack of clarity on geopolitical issues kept market momentum fragile, leading investors to adopt a cautious approach and largely stay on the sidelines.

On the macro front, workers’ remittances rose 15pc year-on-year and 20pc month-on-month to $4.3bn in May. For 11MFY26, cumulative remittances increased 9pc to $38.1bn, providing continued support to the country’s external account position.

Investor participation remained healthy as trading volume rose 3.15pc to 791.6m shares. However, turnover fell 6.22pc to Rs25.4bn. TPL Properties led the volume chart with 64m shares.

Analysts consider geopolitical developments to be the main factor influencing the market. Until clarity emerges on the US-Iran situation, investor sentiment is expected to remain cautious, with market movements driven mainly by regional news and risk assessments.

Published in Dawn, June 11th, 2026