KARACHI: The Pakistan Stock Exchange (PSX) extended its losing streak for the third consecutive session on Friday, with the benchmark KSE-100 index slipping below the 164,000-point mark amid cautious trading ahead of the rollover week and the upcoming monetary policy announcement.

The index shed 1,286.28 points, or 0.78 per cent, to close at 163,304.13. Market sentiment remai­ned weak throughout the day, as investors took profits after recent gains. According to Ali Najib, Deputy Head of Trading at Arif Habib Ltd (AHL), participants adopted a defensive stance amid expected volatility ahead of the Monetary Policy Committee (MPC) meeting scheduled for Monday.

An AHL survey indicated that the State Bank of Pakistan is likely to maintain the policy rate at 11pc, citing a recent rise in inflation, a marginal widening of the current account deficit, and early signs of economic recovery.

Trading activity declined sharply, with volume down 30.79pc to 1.03bn shares and traded value dropping to Rs34.9bn. K-Electric Ltd led the volume chart with 194.8m shares.

Analysts said investors appeared more inclined to profit-taking than to initiate new positions, suggesting the index may consolidate in the 160,000–165,000 range next week. The 160,000 level is expected to serve as a key support, potentially attracting renewed buying interest if stability returns.

Topline Securities Ltd attributed the negative trend to mutual funds’ selling, profit-taking following the September-quarter results, and the upcoming futures rollover. The banking sector contributed most to the index decline, with United Bank, Bank Al Habib, Meezan Bank, Habib Bank, Bank of Punjab, Askari Bank, and Bank Alfalah collectively pulling it down by 877 points.

Meezan Bank reported unconsolidated earnings per share (EPS) of Rs11.7 for 3Q2025, down 7.4pc quarter-on-quarter and 13pc year-on-year, alongside an interim dividend of Rs7 per share. The Searle Company posted 1QFY26 EPS of Rs1.67, up 184pc.

Published in Dawn, October 25th, 2025