The Pakistan Stock Exchange (PSX) closed lower on Friday as the benchmark KSE-100 index dropped over 300 points after a range-bound session. The index oscillated between the intra-day high of +544 points and intra-day low of -421 points, reflecting investor caution after recent record-breaking gains.
The muted sentiment was largely driven by a lack of fresh triggers and a wait-and-see approach ahead of the weekend. Positive contributions from Engro Holdings, Systems Limited, Bank AL Habib, UBL and Bank Alfalah added 271 points, but were outweighed by declines in Fauji Fertiliser Company (FFC), Lucky Cement, Mari Petroleum, OGDC, PSO and Engro Fertilisers, which dragged the index down by 476 points.
At the close of trading, the benchmark KSE-100 index posted a decline of 312.77 points, or -0.26%, and settled at 119,649.14.
"Stocks closed lower amid dismal data of RDA inflows that decreased 25% MoM to $177 million and a lower current account surplus of $12 million for April. Fears about the IMF-driven new tax measures in the federal budget for FY26 impacted sentiment," said Arif Habib Corp MD Ahsan Mehanti.
"Falling global crude oil prices, concerns over a lower industrial base tariff reduction and government's claims of savings from the IPPs' revised contracts and the Senate's approval of the IMF-driven higher grid levy under the CPP Levy Bill 2025 played the role of catalysts in the bearish close."
Arif Habib Limited (AHL) wrote in its daily commentary that despite a strong weekly performance, Friday's session saw mixed activity with 46 stocks advancing and 53 declining. Top contributors to the index included Engro Holdings (+0.96%), UBL (+0.65%) and Bank AL Habib (+1.01%) while FFC (-1.47%), Lucky Cement (-1.47%) and Mari Petroleum (-1.36%) weighed on the index.
On the trade front, Pakistan has proposed a zero-tariff bilateral trade agreement with the United States, aiming to boost economic cooperation across key sectors.
On the macroeconomic side, April's current account surplus came in at $12 million, sharply lower than $315 million in April 2024 and $1.2 billion in March 2025, reflecting pressure from rising imports and lower remittances, AHL added.
Topline Securities' market review said that a range-bound session was observed at the exchange as the index traded between the intra-day high of +544 points and intra-day low of -421 points to finally settle at 119,649 (down 0.26%). The lacklustre activity could be attributed to a lack of triggers and investors' preference to remain on sidelines before the weekend after the index touched its higher-ever level.
Top positive contribution to the index came from Engro Holdings, Systems Limited, Bank AL Habib, UBL and Bank Alfalah as they cumulatively contributed 271 points. On the other hand, top negative contributors were FFC, Lucky Cement, Mari Petroleum, OGDC, PSO and Engro Fertilisers as they pulled the index down by 476 points, it said.
Topline pointed out that investor interest was observed in the engineering sector in the second half, where the heavily import-dependent sector gained ground, largely on news that the prime minister had given directives for abolishing the additional customs duty and the regulatory duty over the next four to five years. Also, the PM has approved a proposal to cap customs duty at a maximum of 15%.
Overall trading volumes were recorded at 572.3 million shares compared with the previous tally of 699 million. The value of shares traded during the day was Rs29.03 billion.
Shares of 465 companies were traded. Of these, 206 stocks closed higher, 209 fell and 50 remained unchanged.
At-Tahur Ltd was the volume leader with trading in 44.6 million shares, gaining Rs0.51 to close at Rs49.83. It was followed by Cnergyico PK with 32.3 million shares, losing Rs0.17 to close at Rs7.68 and Lotte Chemical with 28.6 million shares, gaining Rs1.29 to close at Rs20.98. During the day, foreign investors sold shares worth Rs165 million, according to the NCCPL.
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