Pakistan Stock Exchange Sees Sharp Decline Amid Volatile Trading
The Pakistan Stock Exchange (PSX) concluded Thursday's trading session with significant losses, as the benchmark KSE-100 Index fell by 1,437 points, representing a decline of 0.92%, to settle at 154,421. The market exhibited highly volatile movements throughout the day, reflecting a cautious and uncertain investor sentiment coupled with intermittent profit-taking activities.
Market Fluctuations and Trading Range
Ali Najib, deputy head of trading at Arif Habib Limited, provided insight into the session's dynamics. "During the session, the market experienced notable fluctuations, with the index moving within a 3,577-point range," he stated. The index recorded an intra-day high of 157,080, which was an increase of 1,222 points or 0.78%, and an intra-day low of 153,504, marking a drop of 2,355 points or 1.51%.
Sectoral Performance: Energy Shows Encouraging Momentum
On the sectoral front, the energy production sector demonstrated encouraging momentum. Gas output increased by 11.8% week-on-week to reach 3,005 million cubic feet per day (mmcfd) in the first week of March 2026. Simultaneously, oil production rose by 6.1% week-on-week to 62,714 barrels per day. This improvement was primarily driven by reduced curtailment in northern fields alongside stronger demand from the power sector.
Geopolitical Developments and Prime Minister's Visit
From a geopolitical perspective, Prime Minister Shehbaz Sharif is scheduled to visit Saudi Arabia for high-level discussions with Crown Prince Mohammed bin Salman. The talks are expected to focus on regional tensions, the evolving security landscape, and strengthening bilateral relations between the two countries, which could influence market sentiment in the coming days.
Index Movers and Draggers
Among the index movers, Engro Holdings, Systems Limited, Service Industries, Engro Fertilizers, and Hinoon Laboratories collectively added 745 points to the benchmark index. Conversely, United Bank Limited, Lucky Cement, Oil and Gas Development Company, Hub Power Company, and MCB Bank acted as major drags, erasing 972 points amid profit-taking in heavyweight stocks.
Market Participation and Volume Leaders
Market participation remained relatively subdued during the session. The total traded volume was recorded at 401.8 million shares, while turnover stood at Rs24.6 billion. Hascol Petroleum emerged as the volume leader, with 38.3 million shares traded during the session.
Outlook for the Final Trading Session
As the market heads into the final trading session of the week, momentum will largely depend on the stability of geopolitical developments. If external conditions remain calm, the recent positive undertone could support a modest recovery. However, investors are likely to maintain a cautious stance, closely monitoring global cues and political developments before taking fresh positions.
