KARACHI: Amid looming energy turmoil and a deteriorating situation in the Middle East, investors grew jittery, leaving the market to bears. As a result, nervous selling on the Pakistan Stock Exchange (PSX) dragged the benchmark KSE-100 index below 175,000 on Wednesday.
Topline Securities Ltd said the market turned bearish, closing 1,703.64 points lower, or 0.97 per cent, at 174,429.93, as broad-based selling pressure gripped the market amid heightened geopolitical tensions and persistent concerns about rising global oil prices. Investor sentiment remained fragile throughout the session, prompting risk-off positioning across key sectors.
Index loses 1,704 points to close at 174,430
Market participants remained cautious as escalating Middle East tensions continued to fuel uncertainty over global energy prices and inflation, overshadowing positive signals from international equity markets. The sustained rise in crude oil prices also raised concerns about Pakistan’s external account and inflation outlook, prompting investors to reduce exposure to cyclical sectors.
Analysts expect the market direction to remain closely tied to developments in the Middle East, movements in international oil prices, and any domestic macroeconomic or policy-related announcements. Until greater clarity emerges, volatility is likely to persist, with investors favouring a cautious, selective approach.
United Bank, Fauji Fertiliser, Engro Holdings, Hub Power, and Lucky Cement emerged as the top drags, wiping out 776 points from the benchmark.
Ali Najib, Deputy Head of Trading at Arif Habib Ltd, said the PSX recorded a negative session, with investor sentiment subdued throughout amid escalating geopolitical tensions.
On the corporate front, United Bank reported a 2QCY26 profit after tax of Rs37.4bn (earnings per share of Rs14.97), up 31pc year-on-year but down 23pc quarter-on-quarter, taking 1HCY26 earnings to Rs85.9bn (EPS: Rs34.3), up 33pc year-on-year. Investor participation activity remained relatively subdued, with trading volume plunging 30.67pc to 690.9 million shares and turnover value dipping 28.84pc to Rs25.3 billion.
Published in Dawn, July 23rd, 2026
