The Pakistan Stock Exchange (PSX) witnessed selling pressure in early trade on Wednesday, snapping its recent positive momentum.
By 9:40am, the benchmark KSE-100 Index stood at 156,181.72, marking a decline of 381.80 points, or 0.24%. Investors offloaded shares in sectors including cement, banking, energy, and power, dragging several index-heavy companies into negative territory.
The correction followed Tuesday’s rally, when the index gained 476.22 points to close at 156,563.53. Market experts described the pullback as a natural pause after a series of gains, with traders choosing to lock in profits.
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Global markets painted a different picture. Asian stocks climbed in sync with Wall Street, where all major indices closed at record highs. Japan, South Korea, Taiwan, Hong Kong, and China all recorded gains, buoyed by expectations of imminent US rate cuts.
Investors worldwide are betting that recent weakness in US jobs data will push the Federal Reserve into action, with the CME FedWatch tool showing a near certainty of a rate reduction.
Despite upbeat global sentiment, local investors appear focused on immediate returns and risk management. Analysts suggest the market will remain range-bound in the short term but could regain momentum if supportive domestic triggers emerge.
