Pakistan’s benchmark stock index extended its losses on Friday, closing at 168,155 points, down 0.29 per cent, as investors remained cautious amid weak trading activity and a lack of fresh market triggers.
According to Topline Securities Ltd, the index remained largely in negative territory throughout the session. Investor participation stayed subdued due to elevated crude oil prices and continued uncertainty surrounding US-Iran relations.
Trading activity remained muted, with 492 million shares changing hands at a total value of Rs17.45 billion.
Systems Ltd, Meezan Bank, Lucky Cement, National Bank and Habib Bank were the major negative contributors, collectively dragging the benchmark index down by 269 points.
Ali Najib, Deputy Head of Trading at Arif Habib Ltd, said the benchmark carried forward the previous session’s weak momentum as investors remained cautious in the face of geopolitical uncertainty.
Media reports that France had proposed releasing 50 million barrels of diesel from Europe and 50 million barrels of crude oil from IEA member countries led international oil prices to fall by more than 2pc. However, the decline in oil prices failed to revive buying interest at the Pakistan Stock Exchange (PSX).
On the macroeconomic front, the Sensitive Price Indicator (SPI) for the week ended October 1 increased 11.53pc year-on-year and 0.21pc week-on-week.
Pakistan’s trade deficit also widened to $3.6 billion in September, according to the Pakistan Bureau of Statistics. Exports increased 17.6pc year-on-year to $2.9bn, while imports rose 11pc to $6.5bn.
Analysts expect market activity to remain volatile, with selective buying possible if geopolitical tensions ease further and international oil prices decline. However, elevated energy costs, external-sector pressures and the ongoing IMF review are expected to remain key factors influencing market sentiment.
