KARACHI:
The Pakistan Inventory Change’s (PSX) KSE-100 index skilled a pointy decline within the outgoing week, closing at 157,496 factors, down 6.3% week-on-week, or 10,566 factors.
This follows final week’s fall and brings the cumulative decline from its January 2026 peak of round 189,167 factors to almost 17%. The sell-off was pushed by heightened geopolitical tensions stemming from the US-Iran battle, which has rattled regional markets and prompted buyers to scale back publicity amid fears of broader instability, rising vitality costs and home safety issues.
On a day-on-day foundation, the PSX commenced the week with its historic single-day decline because the benchmark KSE-100 index plunged 16,089 factors, or 9.57%, to shut at 151,973. Subsequent day, it staged a partial restoration, with the index advancing 5,159 factors, or 3.39%, at 157,132.
On Wednesday, nonetheless, the PSX witnessed a directionless session, when the KSE-100 closed at 155,777, down 1,355 factors (-0.86%). The PSX recorded a pointy rebound on Thursday, with the benchmark index gaining 5,433 factors (+3.49%) to shut at 161,211. The market closed the week on a cautious observe because the KSE-100 dropped by 3,715 factors (-2.30%) to settle at 157,496.
In its weekly report, Arif Habib Restricted (AHL) talked about that the KSE-100 index witnessed a lacklustre efficiency throughout the outgoing week, closing at 157,496 factors, down 6.3% WoW (10,566 factors) amid geopolitical tensions as a result of US-Iran battle. The Client Worth Index (CPI) for February 2026 hit 7% year-on-year, the best stage since October 2024, in comparison with 5.8% in January 2026.
Amongst different financial knowledge, a commerce deficit of $3 billion was recorded in February. Exports amounted to $2.3 billion (-8% YoY) whereas imports reached $5.3 billion, down 1.6% YoY. Complete cement dispatches for the month rose 12.53% YoY to 4.19 million tons in comparison with 3.73 million tons in February 2025. Provisional urea offtake remained subdued, falling 28% YoY to 251k tons, marking the bottom month-to-month offtake.
AHL talked about that fuel manufacturing edged down 0.1% WoW to 2,687 million cubic ft per day (mmcfd) within the fourth week of Feb’26, whereas oil output fell 2.9% WoW to 59,103 barrels per day. A complete of Rs581.7 billion was raised within the T-bill public sale on Wednesday, with yields rising throughout all tenors by 21.5 to 39.3 foundation factors. The federal government’s debt elevated by 1% month-on-month to Rs79.3 trillion (+10% YoY) as of Jan’26 towards Rs72.1 trillion in Jan’25.
Pakistan’s liquid overseas trade reserves have been recorded at $21.4 billion, up by $26.2 million, comprising $16.3 billion with the State Financial institution and $5.1 billion with industrial banks, AHL added.
Muhammad Waqas Ghani, Head of Analysis at JS World, famous that the KSE-100 prolonged its decline throughout the week as heightened geopolitical tensions weighed available on the market. The index dropped 10,566 factors (-6.3%) WoW, following final week’s 5,108-point decline, pushing the cumulative fall from its January 2026 peak of 189,167 factors to almost 17%.
Market exercise remained risky all through the week as buyers continued to scale back publicity amid regional tensions and home safety issues. Sentiment additionally remained cautious forward of key macro developments, with the IMF mission presently participating with Pakistani authorities for the third overview of the mortgage programme.
Based on the Pakistan Bureau of Statistics, the inflation clocked in at 7% YoY for Feb’26, the best since Oct’24. “We count on the SBP to maintain its coverage price unchanged at 10.5% within the upcoming assembly as rising international oil costs could add to inflationary pressures,” he stated.
Pakistan was exploring choices to handle a possible fuel shortfall after Qatar Vitality halted LNG manufacturing following Iran’s assaults. Then again, Saudi Arabia assured Pakistan of safe oil provides by means of the Port of Yanbu on the Pink Sea to assist meet vitality wants. The federal government was additionally reviewing a proposal to shift to weekly revision of petroleum costs from fortnightly evaluations, the JS head of analysis stated.
