Stocks slip as profit-taking drags PSX lower

KSE-100 fell from its intra-day high to close 291 points lower, ending the session down 0.18%

The Pakistan Stock Exchange came under selling pressure on Tuesday as profit-taking in key sectors dragged the benchmark KSE-100 Index into negative territory, erasing early-session advances.

After hitting an intra-day peak of 162,819.85, the index failed to hold its upward trajectory. Midday selling pushed it down to 161,276.81 before it eventually settled at 161,692.49 — marking a loss of 291.59 points, or 0.18%, by the close.

Traders attributed the weak performance to a cautious mood prevailing in the market, with macroeconomic uncertainty and unclear policy direction prompting investors to secure profits from recent rallies. Activity slowed significantly through the session as investors avoided aggressive positions.

Pressure mounted particularly in index-heavy sectors including oil and gas exploration, banking, and power generation. The sustained bout of profit-taking from these segments steadily pulled the benchmark lower, despite brief phases of recovery in the afternoon.

Market participants noted that sentiment is likely to stay subdued until new triggers emerge. Analysts expect the benchmark to remain range-bound unless clarity surfaces on macroeconomic developments or policy cues that could restore investor confidence.

Read: Momentum fizzles at PSX as KSE-100 slips 118 points in range-bound session

In its post-market commentary, KTrade Securities said the PSX remained range-bound with “subdued participation,” as low volumes continued to restrict upward momentum. The brokerage highlighted that Engro Holdings, Pakistan Petroleum, National Bank of Pakistan, Bank Al Habib, and Hub Power were the biggest drag on the index.

However, the fertiliser sector provided some respite, led by gains in Fauji Fertilizer, alongside positive moves in Lucky Cement and Bank Alfalah, which helped offset some losses.

Looking ahead, KTrade anticipates that sentiment will likely remain cautious, with investors focusing on rollover-related flows and monitoring macroeconomic indicators. Progress on the next IMF tranche and regional geopolitical shifts are expected to play a critical role in shaping short-term market direction.

Overall trading volumes rose to 590.5 million shares compared to 490.3 million a day earlier, while the value of traded shares was recorded at Rs22.1 billion. WorldCall Telecom topped the volume chart with 59.2 million shares traded, slipping by Rs0.05 to close at Rs1.85.

A total of 477 companies came under the trading lens. Among them, 155 posted gains, 284 declined, and 38 closed unchanged.