PSX suffers deep losses, falls over 1,700 points

The Pakistan Stock Exchange (PSX) witnessed a sharp downturn on Thursday as the benchmark index extended its losing streak amid heightened volatility, subdued corporate earnings, and heavy rollover activity. The KSE-100 index lost over 1,730 points to settle a little above 156,730.

Investor sentiment remained fragile throughout the session, with the market swinging widely before closing deep in the negative territory. Heavyweight stocks such as Engro, The Bank of Punjab (BOP), Systems Limited, United Bank, and MCB Bank dragged the index lower, reflecting investor caution over uncertain macroeconomic conditions and mixed earnings announcements.

Despite the decline, overall participation stayed strong, indicating continued retail and institutional engagement even in a risk-averse environment. Brokerage houses noted that the latest slide mirrors the earlier correction phase seen at the start of the month, suggesting a technical pattern of price parity.

At the close of trading, the benchmark KSE-100 index plunged by 1,732.19 points, or 1.09%, to settle at 156,732.87.

Topline Securities noted that the KSE-100 registered a decline of 1,732 points amid intense volatility and mixed investor sentiment. The benchmark index fluctuated between the intra-day high of 159,507 and low of 156,328, pressured by rollover activity and inconsistent corporate earnings.

Blue-chip counters, including Engro, BOP, Systems Ltd, UBL and MCB Bank, were the key underperformers, collectively eroding 1,162 points from the index. Despite the negative close, market participation remained robust, with trading volumes climbing to 848 million shares.

Arif Habib Limited (AHL) reported that Pakistan's equity market experienced another 1% down day, marking price equality with the first leg down seen at the start of the month. A total of 29 shares advanced while 68 declined, with Hubco (+3.77%), NBP (+2.85%), and FFC (+0.59%) contributing the most to the index gains. On the other hand, Engro Holdings (-8.4%), BOP (-9.65%), and Systems Ltd (-3.12%) emerged as the biggest drags on the index.

Among corporate results, Pak Elektron (+1.31%) announced its 9MCY25 earnings per share (EPS) of Rs3.38, reflecting a 64% year-on-year (YoY) increase. Hubco reported 1QFY26 EPS of Rs8.90, down 39% YoY, while Engro Holdings posted 9MCY25 EPS of Rs34.89, showing a significant impact from a one-off impairment reversal of thermal assets.

This marked the seventh consecutive session of declines, representing the longest losing streak since June 2023 – just before the onset of the current bull market. The KSE-100 has now dropped 7% in the current bear spell, matching the earlier 7% decline recorded at the month's start. As the market heads into the final session of October, the index stands at -5.29% month-on-month and -4.02% week-on-week.

AHL anticipates a strong recovery to close out the week, now that new lows have been established for October.

Overall trading volume was recorded at 848.3 million shares, compared with 951.8 million in the previous session. Total traded value stood at Rs37.6 billion.

Shares of 475 companies were traded, out of which 148 closed higher, 293 declined, and 34 remained unchanged.

BOP led the volume chart with 84.2 million shares, losing Rs3.58 to close at Rs33.50. It was followed by WorldCall Telecom, with 50.2 million shares, shedding Rs0.04 to close at Rs1.76, and K-Electric, with 47.8 million shares, slipping Rs0.02 to close at Rs5.42. Foreign investors were sellers of shares worth Rs50.7 million, according to NCCPL.