By Ali Imran
ISLAMABAD: Selling pressure was observed at the bourse on Wednesday, after Tuesday’s brief recovery, remaining in negative territory throughout the session as global market headwinds and cautious sentiment weighed down investor confidence.
The Pakistan Stock Exchange’s (PSX) benchmark KSE-100 Index closed at 114,153.15, down 1,379.28 points, or 1.19%, by the end of the session. Earlier in the day, the index had dropped to an intraday low of 112,891.48, while the high of 115,092.12 still remained below the previous close of 115,532.43.
AAH Soomro, an independent investment and economic analyst, attributed the sell-off to broader market forces.
“I believe it’s a trickle-down effect of the global equity market meltdown, which — if focused on current oil prices below $60 — is a net positive event for the economy,” he said.
“In the short term, though, people will take this as an excuse to book profits as the index has had a sharp, almost 200% return from 40,000 levels,” he said.
He added: “In a few weeks — if not days — this will subside as investors weigh the positive impact on future interest rate cuts, currency reserves, $2 billion in IMF inflows, and a sharp decrease in domestic oil prices leading to increased domestic consumption.”
Investor confidence was shaken as President Donald Trump’s sweeping new tariffs on dozens of countries — including a staggering 104% duty on Chinese goods — came into effect, intensifying global trade tensions. The move deepened concerns about a worldwide economic slowdown, sending equity markets tumbling and currencies sliding across Asia.
Japan’s Nikkei fell over 3%, South Korea’s won plunged to a 16-year low, and investors sought safety in cash, spurring a sell-off in government bonds. The ripple effects hit emerging markets like Pakistan, where sentiment was already on edge.
The downturn comes a day after the PSX staged a strong comeback, with the KSE-100 rising 622.95 points or 0.54% to close at 115,532.43, having touched an intraday high of 116,692.29.
Earlier, The Pakistan Stock Exchange (PSX) witnessed bullish momentum on Tuesday, with the benchmark KSE-100 Index rising 622.95 points to close at 115,532.43.
The index touched an intraday high of 116,692.29 and a low of 115,560.90, reflecting steady investor interest throughout the session. Trading volume remained robust, with 338.9 million shares exchanged, and the market’s total value reaching Rs27.29 billion.
Cnergyico Limited (CNERGY) led the volume chart with over 121 million shares traded, closing at Rs8.40 with a gain of Rs0.57. Bank Alfalah (BAFL) and K-Electric (KEL) followed, trading 32.6 million and 19 million shares, respectively.
