RECORDER REPORT

KARACHI: Pakistan Stock Exchange (PSX) suffered a steep and broad-based sell-off on Thursday, as intense selling pressure across heavyweight stocks pushed benchmark indices sharply lower and erased recent gains. Investor sentiment deteriorated rapidly amid disappointment over key corporate earnings, unwinding of speculative positions and widespread profit-taking.

The benchmark KSE-100 Index plunged by 6,042.27 points, or 3.21 percent, to close at 182,338.12 points, compared to the previous close of 188,380.39 points. The index witnessed extreme intraday volatility, initially hovering near opening levels before coming under sustained selling pressure. It touched an intraday high of 188,923.40 points, but relentless liquidation in index-heavy stocks dragged it down to an intraday low of 181,961.15 points, highlighting the intensity of bearish sentiment and the absence of meaningful buying support.

On Thursday, the BRIndex100 closed at 19,612.15, down 846.80 points or 4.14 percent from the previous close. Total volume stood at 731.69 million. The BRIndex30 closed at 62,186.73, declining 1,886.39 points or 2.94 percent from the previous close, with a total volume of 447.10 million.

According to Topline Market Review, Pakistan equities witnessed a sharp and severe sell-off, with the market plunging amid intense selling pressure and rising investor anxiety. The brokerage attributed the steep decline primarily to Fauji Fertilizer Company’s (FFC) earnings announcement, which fell short of market expectations due to weaker-than-anticipated gross margins, disappointing investors who had priced in stronger financial performance.

Topline further noted that sentiment worsened significantly as market speculation regarding a potential stock split or bonus issue at FFC failed to materialize, creating a sharp divergence between investor expectations and actual corporate outcomes. This disappointment triggered panic selling, as participants rushed to lock in recent gains, accelerating downward momentum across the market.

On the index contribution front, Topline highlighted that heavyweight stocks — Fauji Fertilizer Company (FFC), United Bank Limited (UBL), Engro Holdings (ENGROH), Oil and Gas Development Company Limited (OGDC), and Hub Power Company (HUBC) — emerged as the primary laggards, collectively shaving 3,155 points off the benchmark index during the session. Sustained selling in these names reinforced the bearish tone and amplified losses.

Market breadth remained decisively negative, underscoring the depth of the sell-off. In the Ready Market, only 83 stocks advanced, while 364 declined and 40 remained unchanged, out of 487 traded companies.

Ready Market turnover stood at 933.10 million shares, compared with 953.92 million shares in the previous session, while the value of shares traded surged to Rs66.41 billion, up sharply from Rs48.88 billion. The sharp fall in equity prices resulted in a substantial erosion of investor wealth. Total market capitalization declined by Rs568.11 billion, falling to Rs20.62 trillion, compared with Rs21.19 trillion in the previous session, reflecting significant value destruction across index-heavy stocks.

Trading activity in the Ready Market remained concentrated in power, telecom, and banking shares. K-Electric Limited led volumes with 104.16 million shares, closing at Rs7.12. WorldCall Telecom followed with 48.36 million shares, closing at Rs1.67, while Bank of Punjab traded 31.35 million shares, ending sharply lower at Rs 39.53. Dost Steels Limited provided limited relief, trading 31.03 million shares and closing higher at Rs7.98.

On the gainers’ board, Gillette Pakistan Limited advanced by Rs49.52 to close at Rs544.76, while Blessed Textiles Limited gained Rs46.09 to settle at Rs506.96. PIA Holding Company Limited (B) recorded the steepest decline, plunging Rs539.87 to close at Rs20,039.25, followed by Unilever Pakistan Foods Limited, which fell Rs435.17 to Rs27,345.83.

The BR Automobile Assembler Index closed at 26,836.19, recording a net decline of 416.56 points or 1.53%, with a total turnover of 3.18 million. The BR Cement Index closed at 13,304.17, down 346.54 points or 2.54%, with a total turnover of 43.96 million.

The BR Commercial Banks Index closed at 56,892.16, falling 1,149.04 points or 1.98%, with a total turnover of 66.78 million. The BR Power Generation and Distribution Index closed at 28,862.65, posting a net loss of 898.06 points or 3.02%, with a total turnover of 148.58 million.

The BR Oil and Gas Index closed at 16,021.51, declining 461.02 points or 2.80%, with a total turnover of 73.60 million. The BR Tech. & Comm. Index closed at 4,088.29, down 128.74 points or 3.05%, with a total turnover of 114.62 million.

Overall, Thursday’s session marked a decisive bearish reversal at the Pakistan Stock Exchange, driven by earnings-related disappointment, speculative unwinding, and aggressive selling in index-heavy stocks.