PSX ends rally as KSE-100 drops nearly 2,500 points

The Pakistan Stock Exchange (PSX) ended its two-day winning streak on Friday as the benchmark KSE-100 Index fell by nearly 2,500 points.

At the close of trading, the KSE-100 Index settled at 178,922.75 points, down by 2,475.46 points or 1.36%.

The market came under pressure due to selling in key sectors, including oil and gas exploration companies, oil marketing firms, power generation companies, and refineries. Major stocks such as HUBCO, Mari Petroleum, OGDC, PPL, POL, and UBL all closed in the red.

The decline followed a strong performance on Thursday when the KSE-100 Index gained 887.20 points, or 0.49%, to close at 181,398.22 points.

Earlier, investor confidence had been supported by falling global oil prices and hopes for a peace agreement between Iran and the United States, which encouraged buying across several sectors.

However, global oil markets remained uncertain on Friday. Brent crude oil was trading at $79.78 per barrel and was still expected to record a weekly loss of more than 8%.

Market sentiment was affected by concerns over the future of a US-Iran peace deal after planned diplomatic talks were canceled and tensions increased due to ongoing military activity in Lebanon.

Meanwhile, US West Texas Intermediate (WTI) crude for July delivery rose nearly 1.3% to $77.59 per barrel.

Analysts said investors remained cautious as they monitored developments in global oil markets and regional geopolitical tensions, which continue to influence market performance.