KSE-100 falls amid rollover week volatility, corporate earnings uncertainty

The Pakistan Stock Exchange began the week on a bearish note, with the benchmark KSE-100 index slipping 1,140 points to close at 162,163.81, marking a 0.70% decline from the previous session’s close of 163,304.13.

The market traded within a narrow range on Monday, touching an intra-day high of 163,570.83 and a low of 161,766.61. Investor sentiment remained fragile due to Monetary Policy Committee (MPC) meeting, leading to cautious trading and broad-based profit-taking, particularly in the energy and manufacturing sectors.

KTrade Securities, in its market wrap, noted that the PSX opened the rollover week under selling pressure due to the absence of positive triggers. “The benchmark KSE-100 index declined 1,140 points, or 0.70%, closing at 162,163, as investor sentiment weakened,” it said.

Major laggards during the session included heavyweights such as Pakistan State Oil, Lucky Cement, United Bank Limited, Mari Energies, Pakistan Petroleum, Habib Bank Limited, Oil and Gas Development Company, and Systems Limited. These stocks collectively dragged the index lower.

On the other hand, some support came from Air Link Communication, Askari Bank, Searl Company, and Interloop Limited, which managed to limit further losses. Despite the overall negative trend, trading activity remained relatively healthy.

Market participants also reacted to the mixed financial results of several key players, including Gharibwal Cement, Millat Tractors, and Fauji Cement, which showed mild volatility. The cautious mood reflected broader investor hesitation amid macroeconomic uncertainties and expectations around interest rate movements.

Looking ahead, analysts expect sentiment to remain subdued as investors continue to navigate the rollover week and await further policy clarity. However, the ongoing corporate earnings season may provide some direction and potential recovery opportunities in the coming sessions.

KTrade Securities added that the State Bank of Pakistan’s (SBP) decision to maintain the policy rate at 11% could help restore some market confidence and bring short-term stability to investor expectations.