Stocks down 778 points amid profit-taking

KARACHI: The Pakistan Stock Exchange (PSX) closed negatively, as cautious investors opted for profit-taking amid uncertainty over the tax measures ahead of Budget FY26.

The benchmark KSE-100 index dropped by 778.41 points, or 0.65 per cent, to 119,153.04 points, down from 119,931.46 points recorded in the last session. The highest index of the day remained at 120,699.18 points, while the lowest level was recorded at 119,062.03 points.

Analyst Ahsan Mehanti at Arif Habib Ltd said, “Stocks closed under pressure in the pre-budget session at the PSX amid uncertainty over the outcome of the IMF-driven new tax measures proposed for oil, fertiliser and auto sectors in the federal budget FY26.”

He said that security unrest, escalating tensions with India and rupee instability played a catalytic role in the bearish close.The KSE-30 index decreased by 270.39 points or 0.74 per cent to 36,326.46 points from 36,596.85 points.

Traded shares dropped by 78 million shares to 589.772 million shares from 667.685 million shares. The trading value increased to Rs30.813 billion from Rs26.624 billion. Market capital narrowed to Rs14.383 trillion against Rs14.454 trillion. Of the 466 companies active in the session, 195 closed in green, 229 in red and 42 remained unchanged.

Naveed Nadeem, an analyst at Topline Securities, said the stock market remained in consolidation mode during the session, with the index fluctuating within a limited range. It posted an intraday high of 768 points and a low of 869 points, facing resistance near the 120,000 marks before closing at 119,153 down 778 points or 0.65 per cent. “The decline was largely attributed to falling global oil prices, which weighed heavily on oil-related stocks,” he said.

On the downside, major index contributors including ENGROH, LUCK, PPL, PSO, and HUBC together accounted for a 537-point drag on the benchmark.

The highest increase was recorded in PIA Holding Company Limited B, which rose by Rs1,658.12 to Rs18,239.28 per share, followed by Rafhan Maize Products Company Limited, which increased by Rs475.61 to Rs10,938.05 per share. A significant decline was noted in Colgate-Palmolive (Pakistan) Limited, which fell by Rs34.87 to Rs1,306.95 per share, Otsuka Pakistan Limited followed it, which closed lower by Rs33.42 to Rs300.77 per share.

Analyst Mohammed Waqar Iqbal at JS Global said the market opened on a positive note. However, the momentum faded as investors opted for profit-taking at higher levels, dragging the index down. “Going forward, range-bound activity is likely to persist ahead of the Federal Budget announcement, and investors are advised to remain cautious,” he advised.

K-Electric Ltd remained the volume leader with 42.77 million shares, which closed lower by 4 paisas to Rs4.71 per share. Bank Makramah, with 28.172 million shares, followed it, which closed higher by 34 paisas to Rs3.77 per share.

Other significant turnover stocks included Ghani Glo Hol, Ghani Global Glass, Kohinoor Spining, Big Bird Foods Ltd, Fauji Cement, WorldCall Telecom, Hub Power Co, and PTCL. In the futures market, 318 companies recorded trading, 100 of which increased, 211 decreased and 7 remained unchanged.