PSX edges up amid volatility and profit-taking

KSE-100 closes 210.36 points higher as investors weigh IMF deal, earnings signals

The Pakistan Stock Exchange (PSX) witnessed a volatile trading session on Wednesday with KSE-100 index closing slightly higher by 210.36 points, or 0.13% at 165,686.38. The index traded within a wide range, hitting an intra-day high of 167,561.69 and a low of 165,357.21.

Trading started with a strong sentiment on Wednesday morning after news broke out on Pakistan's staff level agreement with the International Monetary Fund (IMF) for Extended Fund Facility (EFF) and the first review under the Resilience and Sustainability Facility (RSF).

The enthusiasm was short-lived, however, as investors engaged in cautious buying followed by profit-taking in the latter half of the day, signalling a wait-and-see approach as they monitor the implementation of reforms and upcoming disbursements.

Arif Habib Limited (AHL) observed that PSX underwent consolidation following the surge on Tuesday with the KSE-100 moving either side of 166k.

Some 52 shares rose while 48 fell with Fauji Fertiliser (+1.09%), Meezan Bank (+2.02%) and Mari Energies (+1.94%) contributing the most to index gains.

Pakistan has reached a preliminary agreement with the IMF, to unlock $1.2billion of loans under two separate programmes.

Read: Pakistan, IMF reach staff-level agreement for $1.2bn disbursement

Systems Limited (-2.59%), Lucky Cement (-1.84%) and Engro Fertiliser (-2.69%) were the biggest index drags.

In corporate news, United Bank announced its earnings for the nine months of calendar year 2025 (9MCY25), reporting 101% year-on-year (YoY) increase in earnings per share (EPS) of Rs40.19 and dividend per share (DPS) of Rs21.5, which exceeded market expectations.

SAZGAR Engineering reported an EPS of Rs73.07 for fiscal year 2026 (1QFY26), reflecting a 5% YoY growth and DPS of Rs15.0, which was in line with market expectations.

Engro Fertiliser disclosed its financial results for 9MCY25, with an EPS of Rs10.69, showing a 21% YoY decline and DPS of Rs11.0, which came in below market expectations.

AHL anticipated declines into Tuesday’s range should find demand to move towards 168k.

KTrade Securities wrote in its market wrap that PSX opened on a bullish note, with the benchmark KSE100 index reaching an intra-day high of 167,562 points (+2,086 points), driven by strong investor optimism following the IMF’s Staff-Level Agreement (SLA) with the Government of Pakistan under the Extended Fund Facility (EFF). 

Read More: IMF urges anti-graft action in govt entities

However, profit-taking in the latter half of the session trimmed gains, and the index eventually settled at 165,686 points, up modestly by 210points from the previous close. The rally was led by the commercial banks, buoyed by United Bank’s stronger-than-expected 3QCY25 results, while power, OMCs, and fertiliser sectors also contributed to the uptrend, the report stated. 

Notable gainers included Fauji Fertiliser, Meezan Bank, Mari Energies, Bank Al Falah, and Pakistan Services. Market participation remained robust, with total traded volume on the All-Share Index reaching 1.53billion.

Investor confidence improved significantly on expectations of renewed IMF support and associated disbursement of $1.2billion, reinforcing optimism regarding macroeconomic stability and external financing outlook, KTrade added.

Over all trading volume decreased to 1.52 billion shares versus Tuesday’s tally of 1.17billion. The value of trade stood at Rs68.6billion. K-Electric was the volume leader with trading in 383.2 million shares, rising Rs0.52 to close at Rs7.65.