The Pakistan Stock Exchange (PSX) concluded Thursday’s trading session on a quiet note, as the benchmark KSE-100 index recorded a negligible gain of 21 points, ending the day at 120,023. The marginal increase reflected a market that opened with promise but saw that optimism fade quickly due to prevailing regional uncertainty, especially surrounding the Israel-Iran conflict.
During the earlier part of the session, investor sentiment was buoyed by international reports indicating that the United States, under the Trump administration, may adopt a restrained approach in response to the intensifying Israel-Iran standoff. This glimmer of diplomatic hesitation encouraged buyers in the initial hours, lifting the KSE-100 index into positive territory.
Topline Securities noted that the market maintained its upward bias for the better part of the day, but lacked conviction as the session progressed. As the trading window approached its final hour, profit-taking emerged, pulling the index back and erasing most of the early gains. This pullback reflected the underlying nervousness that continues to shape investor behavior amid global geopolitical instability.
Ali Najib, Deputy Head of Trading at Arif Habib Ltd, characterized the session as another episode of volatility, emphasizing the significance of the 120,000-point level as a psychological anchor. He remarked, “The market showed early resilience, but it couldn’t sustain upward momentum in the face of geopolitical pressures and the approaching weekend, which typically increases risk aversion.”
Despite the lackluster close, certain heavyweights offered temporary support. Positive contributions came from Hub Power Company, Systems Ltd, United Bank Limited, Oil and Gas Development Company, Maple Leaf Cement, and Pakistan Petroleum Limited. These six entities collectively added 168 points to the index, helping it stay marginally in the green.
On the downside, stocks such as Packages Ltd, TRG Pakistan, Fauji Fertiliser, Pakistan Services, Engro Fertiliser, and MCB Bank reversed much of the day’s progress, collectively knocking off 180 points. This counterbalance between gainers and losers further emphasized the market’s cautious tone.
Trading volumes also took a hit. The number of shares traded fell by 30.25 percent, settling at 415.2 million shares, while the total traded value declined 23.43 percent to Rs15.5 billion. Worldcall Telecom Ltd emerged as the session’s most active stock, with 42.8 million shares changing hands.
The day’s trading activity, although directionless by close, highlighted the sensitivity of local markets to evolving global narratives. The flat finish underlines the market’s current dependence on external geopolitical cues rather than domestic economic data or corporate performance.
As investors look ahead, the 120,000-point threshold remains a crucial psychological support. Analysts anticipate that market direction will likely be determined by geopolitical developments over the coming days. Until a clearer picture emerges on the regional conflict, participants are expected to tread cautiously, with low volumes and defensive strategies dominating near-term activity.