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KARACHI: Despite inflows from the International Monetary Fund (IMF), the Pakistan Stock Exchange (PSX) recorded losses for the fourth consecutive session on Wednesday amid persistent volatility triggering selling from nervous investors, pushing the benchmark KSE-100 index below the pre-war level.
While noting that the near-term outlook remained broadly stable, the State Bank of Pakistan, in its half-yearly report for 2025-26, has warned that slower activity in Gulf economies could affect remittance inflows, which have been instrumental in financing the trade deficit and supporting stability in the foreign exchange market.
It also cautioned that supply chain disruptions could affect industrial production and exports, while fertiliser shortages may impact crop yields. It warned that lingering impacts of war-related disruptions could pose significant challenges to macroeconomic stability over the medium term.
Topline Securities Ltd said the benchmark index remained under pressure throughout a volatile, range-bound trading session, as cautious investor sentiment prevailed amid a lack of tangible progress in ongoing negotiations and lingering uncertainty over developments between the US and Iran. Persistently elevated oil prices further dampened market confidence. During the session, the index fluctuated, touching an intraday low of 1,587 points.
