KARACHI: Renewed geopolitical hostilities surrounding the Strait of Hormuz and a sharp escalation in global oil prices triggered heavy selling across the Pakistan Stock Exchange (PSX) on Wednesday as investors reacted to heightened regional risks and concerns over the domestic economy.
The benchmark KSE-100 Index closed at 174,776.60, compared with 176,466.99 in the preceding session, marking a decline of 1,690.40 points or 0.96 percent. During the session, the index touched an intraday high of 175,841.83 before falling to a low of 174,562.88.
The BRIndex100 fell 207.69 points, or 1.07 percent, to 19,278.68, from its previous close, with a total volume of 456.49 million shares. The BRIndex30 declined 1,126.35 points, or 1.56 percent, to 70,953.55, with turnover of 298.04 million shares.
According to Ali Najib, Deputy Head of Trading at Arif Habib Ltd, market sentiment remained weak as US-Iran fighting resumed over the Strait of Hormuz, with both sides exchanging strikes across the region. The renewed hostilities triggered another surge in oil prices, adding to concerns for oil-importing economies and weighing on investor sentiment at the local bourse.
Najib said the geopolitical developments were the dominant factor behind Wednesday’s market weakness. On the macroeconomic front, he also noted that Pakistan plans to raise $2 billion through a Eurobond to repay bilateral loans to Saudi Arabia or China.
The selling pressure was broad-based, with Meezan Bank Limited (MEBL), United Bank Limited (UBL), Pakistan Petroleum Limited (PPL), Fauji Fertilizer Company (FFC), Lucky Cement (LUCK), Oil & Gas Development Company (OGDC), Hub Power Company (HUBC), Habib Bank Limited (HBL), Service Industries (SRVI), and Bank Alfalah Limited (BAFL) collectively erasing 912 points from the KSE-100 Index.
The ready market also showed a pronounced deterioration in breadth. Out of 501 active companies, only 113 advanced, while 356 declined and 32 remained unchanged. Thus, decliners outnumbered gainers by more than three to one, reflecting the extent of the selling pressure.
Ready market turnover, however, contracted significantly to 610.18 million shares, valued at Rs31.86 billion, compared with 784.47 million shares worth Rs37.41 billion in the previous session. In volume terms, activity declined by approximately 174.28 million shares, while traded value fell by about Rs5.55 billion.
Aggregate market capitalisation also fell sharply by Rs200.72 billion, declining from Rs19.78 trillion in the previous session to Rs19.58 trillion on Wednesday.
Cnergyico PK remained the most actively traded stock in the ready market, with 124.89 million shares changing hands. The stock closed at Rs14.66, down from its previous close of Rs15.00.
WorldCall Telecom followed with 38.70 million shares. It closed at Rs1.13 against Rs1.16 previously.
Pak Refinery recorded 37.68 million shares. The stock closed at Rs105.39, compared with Rs104.88 in the previous session.
Despite the broad market decline, some individual stocks posted substantial gains. PIA Holding Company Limited B recorded the largest absolute gain in the ready market, rising Rs100.00 to close at Rs17,400.00. Buxly Paints Limited followed, gaining Rs92.68 to settle at Rs1,019.45.
On the losing side, The Thal Industries Corporation Limited suffered the largest absolute decline, falling Rs54.11 to Rs1,151.35, while National Refinery Limited dropped Rs36.12 to close at Rs524.55.
Among sector indices, the BR Cement Index recorded one of the steepest declines, falling 196.52 points, or 1.60 percent, to 12,099.81, with 27.23 million shares traded. The BR Tech. & Comm. Index declined 48.68 points, or 1.37 percent, to 3,492.13, on turnover of 66.39 million shares.
The BR Power Generation and Distribution Index decreased 310.33 points, or 1.15 percent, to 26,564.51, with 22.07 million shares changing hands, while the BR Oil and Gas Index dropped 166.23 points, or 1.08 percent, to 15,216.89, on turnover of 45.19 million shares.
The BR Commercial Banks Index fell 614.81 points, or 1.00 percent, to 60,836.34, with 43.17 million shares traded. The BR Automobile Assembler Index declined 221.77 points, or 0.92 percent, to 23,812.18, with turnover of 1.74 million shares.
Going forward, Ali Najib expects selective profit-taking and stock-specific volatility to persist amid the ongoing result season, with geopolitical developments and international oil prices likely to remain the key drivers of market direction.
Copyright Business Recorder, 2026
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