Pakistan Stock Exchange ended the week on a negative note as the benchmark KSE-100 Index dropped sharply by 3,715 points and settled at 157,496. Investors remained cautious during the shortened trading session and largely adopted a defensive approach ahead of the weekend. As a result, overall market activity stayed limited while traders closely monitored global developments and avoided taking major risks. The continued uncertainty in international markets further weakened investor confidence.
Investor sentiment remained under pressure mainly because of rising concerns about a possible escalation in the ongoing US–Iran conflict. Market participants reduced exposure to risky assets due to fears that geopolitical tensions could intensify and affect global financial markets. Consequently, traders preferred to remain on the sidelines instead of making aggressive investments. This cautious mood significantly contributed to the sharp decline in the benchmark index during the session.
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Meanwhile, economic expectations also shaped investor behaviour ahead of the upcoming monetary policy announcement. According to market surveys, analysts widely expect the State Bank of Pakistan to keep the policy rate unchanged at 10.5% in the next policy meeting. The expected decision reflects the central bank’s careful approach while considering external risks and inflation concerns linked to rising global oil prices.
On the corporate side, Sazgar Engineering Works Limited reported encouraging sales figures for February 2026. Haval four-wheeler sales reached 1,682 units, marking an impressive 91% year-on-year increase. At the same time, three-wheeler sales recorded moderate growth of 2% year-on-year, reaching 2,704 units. These figures highlight steady demand in the local automobile market despite broader economic uncertainties.
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Several heavyweight companies dragged the market downward and collectively erased more than 2,000 points from the benchmark index. Major contributors to the decline included UBL, Engro Holdings, Lucky Cement, Hub Power, Fauji Fertilizer Company, Meezan Bank, Systems Limited, OGDC, Engro Fertilizers, and Pakistan Petroleum Limited. Their weak performance significantly influenced overall market direction and deepened the losses recorded during the session.
Market participation remained relatively subdued because of reduced trading hours and cautious investor behaviour. Total traded volume stood at 354.4 million shares, while the total market turnover reached approximately Rs22.8 billion. K-Electric emerged as the most actively traded stock with 35.2 million shares changing hands. Overall, the KSE-100 Index recorded its sixth consecutive weekly decline, losing about 10,280 points, or nearly six percent, reflecting persistent market pressure.