KARACHI: Volatility persisted in the stock market on Thursday as the Pakistan Stock Exchange (PSX) extended its southward move for the third straight session. Political uncertainty and mounting tensions in the Middle East triggered late nervous selling, forcing the benchmark KSE-100 index to close in the red after a bullish start.
Topline Securities Ltd said the index closed at 176,591.77, down 254.59 points, or 0.14 percent, after a highly volatile trading session.
The index initially surged more than 1,400 points to 178,291.37 but failed to sustain its gains, then retreated to a low of 176,156.57.
Selling pressure remained concentrated in key heavyweight stocks, while selective buying in the oil and gas exploration sector offered some support. The sharp intraday reversal reflected ongoing investor caution after the recent market correction. Sentiment remained subdued amid renewed geopolitical uncertainty and elevated international oil prices, prompting investors to reduce exposure across major sectors.
United Bank, Hub Power, Bank Al-Habib, Habib Bank, and Fatima Fertiliser were the major drags, collectively shaving about 458 points from the benchmark. Conversely, Oil and Gas Development Company, Engro Holdings, and Sazgar Engineering Works were among the key contributors, collectively adding about 321 points.
Investor participation remained subdued, with total trading volume down 15.57pc to 665 million shares and traded value plunging 22.17pc to R30.8 billion.
According to Arif Habib Ltd (AHL), PSX remained largely flat as the benchmark index failed to break through the 178,000-180,000 zone, now viewed as a key resistance level.
In corporate news, Nishat Mills said it had decided to exit its investment in Nishat Sutas Dairy Ltd (NSDL), an associated company established as a joint venture with Süta Süt Ürünleri A.. of Türkiye.
The company cited prevailing market and regulatory conditions in the dairy sector and the resulting strain on NSDL’s financial position.
Separately, Bloomberg projected Pakistan’s potential growth to rise to 3.9pc in FY30, up from 3.4pc in the outgoing FY26, and to peak at 4.6pc in FY38.
Published in Dawn, August 21st, 2026
