The Pakistan Stock Exchange (PSX) opened the week on a negative note, with the KSE-100 Index plunging by 1,991.52 points, or 1.66%, amid escalating geopolitical tensions. The market opened at 118,031.71, continuing its downward trajectory from the previous week. Early trading remained narrow, with fluctuations limited to a 307.15-point range, and the index touched an intraday low of 117,987.14—representing a total drop of 2,036.09 points from the last close.
Trading activity was subdued, as only 4.76 million shares of the KSE-100 Index changed hands during the morning session. The steep decline followed renewed instability in the region after the United States conducted airstrikes on Iranian nuclear sites, intensifying the already volatile Iran-Israel conflict. Investor sentiment turned risk-averse, with fears rising over the potential for a broader Middle Eastern war.
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In response to the U.S. strikes, Pakistan’s Foreign Office issued a strong condemnation, calling for all parties to de-escalate and return to diplomacy. The FO warned that the growing conflict could have severe global repercussions if left unchecked.
Key sectors weighed heavily on the index’s decline, with Commercial Banks (-396.30 points), Cement (-254.04 points), Fertilizer (-199.06 points), Oil & Gas Exploration (-195.10 points), and Power Generation & Distribution (-188.14 points) being the largest drags.
Notable companies contributing to the loss included Engro Corporation (-139.71 points), Fauji Fertilizer (-110.81 points), Lucky Cement (-105.94 points), Meezan Bank (-105.54 points), and Mari Petroleum (-83.83 points).
A few stocks offered limited relief, with EFU General Insurance (+3.60 points), Adamjee Insurance (+2.73 points), and Nestlé Pakistan (+0.74 points) showing minor gains, reflecting some investor interest in the insurance sector.
Among the top gainers in early trade were IBFL (+3.42%), HGFA (+1.85%), EFUG (+1.81%), JVDC (+0.63%), and AICL (+0.63%). On the other hand, the biggest losers were YOUW (-10.13%), PKGP (-10.00%), JDWS (-7.85%), HUMNL (-5.58%), and HMB (-5.15%).
The Insurance sector was the only one to post modest gains (+6.33 points), while other segments like Tobacco, Modarabas, Close-End Mutual Funds, and Glass & Ceramics saw little to no movement.
Interestingly, the broader All Share Index bucked the trend, opening higher at 76,851.45 with a gain of 690.68 points or 0.91%. However, overall market activity remained sluggish, with total trading volume plunging to 63.13 million shares—sharply lower than Friday’s 592.95 million. The total traded value also saw a steep fall to Rs3.21 billion from Rs21.83 billion in the previous session.
