KARACHI: Bearish momentum continued at the Pakistan Stock Exchange (PSX) in a range-bound session on Tuesday. The benchmark KSE-100 index closed lower by 179 points, as investors were worried after the Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP) maintained the status quo on the policy rate at 12 per cent.
The KSE-100 decreased by 178.69 points, or 0.16 per cent, to 114,177.66 points, down from the 114,356.34 points recorded in the last session. The highest index of the day remained at 114,486.2 points, while the lowest level was recorded at 113,610.31 points.
Ahsan Mehanti, an analyst at Arif Habib Corp, said, “Stocks closed lower amid thin trade after the SBP kept the status quo over the key policy rate owing to persistent core inflation, price volatility and external account pressures.”
However, he said, late session support witnessed on upbeat data for $3.1 billion remittances surging by 40 per cent YoY in February 2025. “Global equity selloff on US recession worries, weak rupee and uncertainty over the outcome of Pakistan-IMF review talks played a catalyst role in the bearish close,” he said.
The KSE-30 index decreased by 37.49 points or 0.11 per cent to 35,309.7 points against 35,347.19 points. Traded shares dropped by six million shares to 318.518 million shares against 324.654 million shares. The trading value rose to Rs22.883 billion from Rs20.704 billion. Market capital lowered to Rs14.065 trillion against Rs14.085 trillion. Of the 438 companies active in the session, 132 closed in green, 233 in red and 73 remained unchanged.
Analyst Maaz Mulla at Topline Securities said the KSE-100 index witnessed a fierce tug-of-war between bulls and bears. The market opened on a negative note, reacting sharply to the State Bank of Pakistan’s (SBP) decision to maintain the policy rate at 12 per cent, despite a significant decline in inflation. This decision dampened investor sentiment, pushing the index to an intraday low of 746 points.
However, the second half of the session saw a resurgence of buying interest. Market participants responded positively to speculation regarding the possible clearance of the longstanding circular debt. This wave of optimism propelled the index to recover and register an intraday high of 129 points.
The positive movement was primarily fuelled by PSO, PPL, OGDC, MEBL and HUBC, which together contributed 425 points to the index. Conversely, UBL, SRVI, FFC and EFERT weighed on the market, pulling the index down by 210 points.
The highest increase was recorded in Macter International Limited, which rose by Rs32.34 to Rs355.73 per share, followed by Premium Textile Mills Limited, which increased by Rs29.9 to Rs439.9 per share. A significant decline was noted in Unilever Pakistan Foods Limited, which fell by Rs412.91 to Rs23,286 per share; PIA Holding Company Limited B followed it, which closed lower by Rs82.23 to Rs809.2 per share.
Analyst Muhammad Hasan Ather at JS Global said the decline followed the SBP’s decision to keep the policy rate unchanged, contrary to market expectations. “Investors should remain cautious and monitor economic indicators closely,” he suggested.
Sui South Gas remained the volume leader with 26.385 million shares, which closed higher by Rs1.58 to Rs37.03 per share. BO Punjab, with 22.122 million shares, followed it, which closed higher by 4 paisas to Rs13.16 per share.
Other significant turnover stocks included WorldCall Telecom, Silk Bank Ltd, PSO, National Bank XD, Fauji Cement, Maple Leaf, Pak Petroleum and At-Tahur Ltd. In the futures market, 339 companies recorded trading, 78 of which increased, 257 decreased and 4 remained unchanged.
