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The Pakistan Stock Exchange (PSX) slipped 579 points on Monday as investors awaited clarity on the State Bank of Pakistan’s (SBP) monetary policy. The benchmark KSE-100 index closed at 188,587.66, reflecting a 0.31% decline, despite starting the day on a bullish note above 191,000 points.
Investor caution dominated trading as markets anticipated the Monetary Policy Committee (MPC) meeting, with expectations of a 50–75 basis points interest rate cut.
“The market largely remained range-bound ahead of the MPC meeting,” said Ahmed Sheraz, equity trader at KTrade Securities.
Geopolitical concerns, particularly surrounding the Iran US situation, added to the cautious sentiment, prompting investors to adopt a defensive stance. Futures rollover activity also contributed to the subdued market movement.
Stock-specific movements were selective. Sazgar Engineering surged due to strong TANK 500 bookings, while Systems Limited, Millat Tractors, Javedan Corporation, Fauji Foods, and United Bank closed higher. On the downside, Meezan Bank, Engro Holdings, Pioneer Cement, Fatima Fertiliser, Lucky Cement, and Hub Power faced losses. Sector-wise, automobiles and technology showed resilience, whereas oil & gas, cement, and commercial banks underperformed.
Trading volume decreased slightly to 870.4 million shares, with a total traded value of Rs57.1 billion. K-Electric led volumes, trading 172.9 million shares, closing at Rs6.97, up Rs0.23.
Market experts expect sentiment to remain cautious until the MPC outcome and geopolitical developments become clearer, suggesting a sensitive near term outlook.
