KARACHI: After a three-session recovery rally, the Pakistan Stock Exchange (PSX) fell on Thursday as some investors took profits, while a rebound in oil prices renewed fears of a spike in inflationary pressures.
The economic outlook grew more uncertain amid talks with the visiting IMF mission, and PTI’s march call on the Capital fuelled political uncertainty, forcing the benchmark KSE-100 index to record a bearish performance.
Topline Securities Ltd said the index closed at 170,498.95 points, declining by 1,733.57 points, or 1.01 per cent, after trading between an intraday high of 172,491.17 and a low of 170,418.38. The market reversed sharply from its early gains as profit-taking intensified in the latter half of the session, putting considerable pressure on the benchmark index.
Following three consecutive sessions of gains, investors moved to lock in profits, resulting in a broad-based retreat that erased a substantial portion of the market’s recent advances.
Profit-taking and higher oil prices drag index down 1,733 points
Market sentiment remained fragile and risk-averse, amid heightened geopolitical tensions in the Middle East and renewed concerns over elevated global crude prices, with Brent crude trading above the $100 per barrel threshold.
Ali Najib, Deputy Head of Trading at Arif Habib Ltd (AHL), said market sentiment remained subdued after a spike in international oil prices, as diplomatic talks between the US and Iran showed limited progress.
Meanwhile, investors remained cautious amid uncertainty surrounding a potential US ban on diesel exports, raising concerns over global energy markets and adding to the prevailing risk-off sentiment.
On the sectoral front, Attock Refinery, National Refinery and Cnergyico Pk have separately signed agreements with state-owned Inter State Gas Systems (ISGS) to upgrade their respective refineries under Pakistan’s Oil Refining Policy for Upgradation.
The development marks progress towards the long-awaited refinery upgrade programme and remained a key sector-specific development during the session.
In addition, Geely, the world’s eighth-largest automaker by total sales in 2025, is reportedly preparing to enter the Pakistani market with three SUV models through Bestway Automotive, bringing together one of China’s largest automobile manufacturers and one of Pakistan’s most diversified business groups.
United Bank, Lucky Cement, Mari Energies, Hub Power, National Bank, Oil and Gas Development Company, Systems Ltd, Fauji Fertiliser, Attock Refinery and Meezan Bank collectively eroded 1,001 points from the benchmark.
Investor participation weakened over the previous session as the trading volume dipped 1.76pc to 759.9m shares. However, turnover value rose 4.10pc to Rs27.5bn.
Analysts expect market sentiment to remain volatile, with elevated energy prices, external sector risks, and ongoing IMF review talks would continue to influence market direction.
Published in Dawn, September 25th, 2026
