KARACHI: The Pakistan Stock Exchange (PSX) extended its losing streak on Monday in the first session of the rollover week, as investors continued to offload holdings and lock in profits at inflated levels.

According to Topline Securities Ltd, the KSE-100 index settled at 162,163.81 points, shedding 1,140.32 points after a highly volatile trading session. The benchmark oscillated between an intraday high of 163,570.83 and a low of 161,766.62, with fluctuations largely driven by rollover pressure ahead of futures contract expiry.

Major laggards included Pakistan State Oil, Lucky Cement, United Bank, Mari Petroleum and Pakistan Petroleum Ltd, which collectively pulled the index down by 505 points.

Ali Najib, Deputy Head of Trading at Arif Habib Ltd, said investor sentiment remained subdued throughout the session, as participants adopted a cautious approach ahead of the much-anticipated monetary policy annou–ncement.

Market activity weakened, with trading volume dipping 3.31 per cent to one billion shares, while the traded value fell to Rs34.8 billion from the previous session. WorldCall Telecom led the volume chart with 164.2 million shares traded.

Later in the day, the State Bank of Pakistan kept the benchmark policy rate unchanged at 11 per cent for the fourth consecutive monetary policy review since May, citing prudence amid persistent inflation and flood-related agricultural disruptions.

While the IMF-backed stabilisation programme remains on track, Pakistan’s growth forecast has been revised down to 3.25-3.5 per cent, as inflationary pressures are expected to temporarily exceed the 5-7pc target range. Market participants continued to favour profit-taking over fresh accumulation, signalling ongoing short-term consolidation. Following the monetary policy decision, investor reaction will be pivotal in determining the market’s near-term direction.

Published in Dawn, October 28th, 2025