KARACHI: Having scaled a new peak above the 188,000-point barrier overnight, the bears snapped the record-setting spell at the Pakistan Stock Exchange (PSX) on Wednesday as investors indulged in profit-taking, forcing the benchmark KSE-100 index to close in the red amid extreme volatility in the absence of any positive triggers.
According to Topline Securities Ltd, the local bourse witnessed a bout of profit booking as investors sought to maximise recent gains, leading to a volatile trading session. The benchmark index swung sharply, posting an intraday high of 901 points, a low of 1,994 points, and eventually settling at 187,033.27, down 1,588.51 points or 0.84 per cent, as cautious sentiment dominated.
Heavyweights such as Pakistan Petroleum, Sazgar Engineering Works, and National Bank of Pakistan provided some respite, collectively contributing 135 points to the index. However, selling pressure in Meezan Bank, Engro Holdings, MCB Bank, Habib Bank, and Systems Ltd outweighed these gains, cumulatively shaving 792 points off the benchmark.
Despite a bearish trend, market participation remained robust, with total volume rising 8.14pc to 1.32 billion shares, and the traded value increasing 8.89pc to Rs69.5bn. K-Electric topped the volume chart with 263 million shares.
Arif Habib Ltd (AHL) noted that, despite opening on a strong footing, the PSX came under selling pressure, with profit-takers capitalising on elevated levels, dragging the index into negative territory by the close.
On the corporate side, Lotte Chemical Pakistan Ltd announced an interim cash dividend of Rs5 per share for the year ending Dec 31, 2025.
On the macro front, Fitch Ratings affirmed Pakistan’s long-term sovereign rating at ‘B-’ and assigned a Recovery Rating of ‘RR4’, following the removal of the ratings from ‘Under Criteria Observation’. The action reflects the application of Fitch’s new Sovereign Rating Criteria, effective September 2025.
Analysts expect the market to consolidate within the 185,000-190,000 range before resuming any further upside, with 185,000 acting as the first key support level.
Published in Dawn, January 22nd, 2026
