Overview
- The Pakistan Stock Exchange suffered a sharp drop on Tuesday when the KSE‑100 plunged 2,546.94 points to 177,955.51 as broad selling cut across sectors.
- The market stayed under pressure on Wednesday, with the KSE‑100 settling about 1,109 points lower after late selling triggered by higher oil prices, concerns over shipping through the Strait of Hormuz, and media reports of government talks with refineries on fuel relief.
- Finance Minister Muhammad Aurangzeb confirmed the formal request for a $10 billion Exchange Stabilisation Support Facility from the United States, which the government says is intended to strengthen FX stability rather than act as a conventional loan.
- Market internals show persistent stress: foreign investors were net sellers (about Rs827.5 million reported), market breadth remained negative with more decliners than advancers, heavyweight banks, fertiliser and refinery names together erased roughly 859 points, and trading volumes stayed elevated.
- Higher oil prices raise Pakistan’s import and fiscal costs and could push domestic inflation and corporate margins higher, so investors will watch the US support request, refinery negotiations on diesel pricing, and short‑term FX flows for signs of market stabilisation.