KARACHI: The Pakistan Stock Exchange (PSX) on Thursday snapped its five-session record-setting rally as bears returned to the trading floor, prompting a bout of profit-taking that kept the benchmark KSE-100 index from scaling a fresh milestone.
After five consecutive sessions of strong gains, the market witnessed a measured pullback as investors opted to lock in profits at elevated levels. According to Topline Securities, despite the selling pressure, overall sentiment remained constructive, with the benchmark opening firmly and surging to an intraday high of 1,386 points.
However, momentum waned in the latter half of the session as profit-taking intensified, dragging the index to an intraday low of 1,319 points. The KSE-100 eventually closed at 185,543, down 975 points, or 0.52 per cent. Analysts described the retreat as largely technical, signalling consolidation rather than a reversal of the broader bullish trend that has underpinned the recent rally.
On the positive side, Adamjee Insurance, National Bank, Pak Elektron, Fauji Fertiliser Company and Mari Energies collectively added 384 points to the index. These gains were outweighed by declines in heavyweight stocks, including Engro Holdings, United Bank, Meezan Bank, Systems Ltd and Pakistan Petroleum Ltd, which together shaved 986 points off the benchmark.
Index retreats after surging for five sessions
Market participation remained robust. Total traded volume rose to 1.421 billion shares, while traded value increased to Rs90.99 billion compared with the previous session. Agha Steel topped the volume chart, with around 131 million shares changing hands.
Ali Najib, deputy head of trading at Arif Habib Ltd, noted that following a sharp rally of 12,464 points, or 7.2pc, over the first five sessions of calendar year 2026, the PSX recorded its first profit-taking session. He said the index had initially touched an intraday high of 187,905 points before selling pressure at higher levels erased earlier gains and pushed the market into negative territory by the close.
On the policy front, reports of discussions between Pakistan and Saudi Arabia on converting around $2 billion of Saudi loans into a fighter jet deal, centred on JF-17 Thunder aircraft, also featured in market chatter. Separately, the government’s plan to deregulate the sugar sector as part of IMF-backed structural reforms remained in focus.
Looking ahead, analysts cautioned that further downside could not be ruled out in the near term, with the 184,000-185,000 range expected to serve as the first support zone.
Published in Dawn, January 9th, 2026