Karachi, August 27, 2025: The Pakistan Stock Exchange (PSX) extended its losing streak on Wednesday as heavy selling in the latter half of trading erased early gains. The benchmark KSE-100 index shed 941.03 points, or 0.63%, closing at 147,494.03 — its fifth consecutive day of decline.
The index opened on a positive note, climbing to an intra-day high of 149,238 points. However, sentiment quickly shifted as reports of severe flooding in northern Pakistan began circulating, sparking aggressive offloading across key sectors. The index hit a low of 147,337 before settling just above the 147,500 mark.
Topline Securities said the bourse remained under pressure as contract rollover week jitters and fresh flood warnings weighed on investors. The NDMA had issued an alert of a “very high to exceptionally high” flood risk in Lahore and Punjab, with military assistance sought in six districts.
Despite gains in Meezan Bank (+0.95%), Engro Holdings (+0.61%) and MCB Bank (+0.79%), which collectively added 137 points, losses in Habib Bank (-1.38%), Fatima Fertiliser (-5.21%), Service Industries (-6.42%), National Bank, and Mari Petroleum dragged the index down by 331 points.
Arif Habib Limited (AHL) noted that panic set in during the second half of trading following reports of major flooding in the north. Out of 477 companies traded, 129 closed higher, 312 declined, and 36 remained unchanged.
Pace Pakistan led the volumes chart with 87.8 million shares, rising Rs1 to close at Rs7.06. Overall trading volumes surged to 856.7 million shares from 665.4 million a day earlier, while traded value increased to Rs29.3 billion.
In financial developments, AHL highlighted that Pakistan is planning to return to international capital markets, potentially this year or next, with the issuance of Panda bonds, according to Finance Minister Muhammad Aurangzeb. The minister is expected to accompany Prime Minister Shehbaz Sharif to the upcoming SCO summit in China. Separately, the government is set to impose a 40% tax on the import of used cars.
Meanwhile, heavy monsoon rains continue to batter Punjab, with Sialkot recording 363.5 mm in the past 24 hours — the heaviest downpour in 49 years. The PMD has warned of further intense rainfall over the next 12 to 24 hours, prompting Prime Minister Shehbaz Sharif to convene an emergency meeting on flood response.
Analysts expect the market to remain volatile in the coming sessions as rollover activity combines with flood concerns to keep investors cautious.
