Following a month of record-breaking rallies, the Pakistan Stock Exchange (PSX) entered a corrective phase in the final week of April. The KSE-100 index declined by 4.5%, or 7,677 points, to settle at 162,994, according to data provided by Arif Habib Ltd.
Volatility and Valuation
The market remained highly volatile throughout the week, fluctuating between an intraday high of 171,306 and a low of 160,391. Market participation weakened significantly, with average daily volumes dropping as investors adopted a “wait-and-watch” approach ahead of the IMF executive board meeting scheduled for May.
Sectoral Impact
The downturn was largely driven by heavyweights in the banking, cement, and fertilizer sectors.
- Laggards: UBL, OGDC, and Lucky Cement were among the top contributors to the index’s decline.
- Drivers: Renewed geopolitical tensions and a surge in global oil prices, with Brent crude nearing $108, fueled the risk-off sentiment.
Despite the weekly slump, the index finished April with a month-on-month gain of 9.6%. Analysts suggest that while short-term pressure persists, the market’s current price-to-earnings ratio remains attractive for long-term strategic buying on dips.
Comparison of Key Figures
| Metric | Value |
| Weekly Closing | 162,994 |
| Weekly Change | -7,677 Points |
| Weekly High | 171,306 |
| Weekly Low | 160,391 |
| Current Policy Rate | 11.5% |
