Weekly Market Roundup

March 29, 2026 (MLN): Pakistan’s equity market remained under pressure during the outgoing week, as the benchmark KSE-100 Index closed at 151,707.52, compared to 152,740.38 recorded on March 20, 2026.

The index shed 1,032.86 points over the week, translating into a decline of 0.68% week-on-week (WoW).

Investor sentiment remained weak amid rising geopolitical uncertainty, particularly escalating tensions between Iran and the United States, which fueled fears of prolonged conflict and disruption in global energy markets.

Market Capitalization

Market capitalization also declined in line with the benchmark index. The total listed market cap fell to Rs4.40 trillion on March 27, 2026, compared to Rs4.43tr recorded on March 20, 2026, marking a contraction of Rs27.94bn or 0.63% WoW.

In dollar terms, total market capitalization declined by $95.57m, reaching $15.77bn compared to $15.87bn in the previous week.

Meanwhile, dollar-adjusted returns stood at negative 0.65%, compared to negative 0.71% in the prior week, indicating a slight improvement in the pace of decline on a dollar-adjusted basis.

On the macroeconomic front, Pakistan’s money supply rose to Rs46.67tr in February 2026, reflecting a 1.04% MoM increase and a strong 15.03% YoY growth, according to the State Bank of Pakistan.

The expansion was driven by higher currency in circulation and deposits, highlighting increased cash usage amid persistent inflationary pressures.

The State Bank of Pakistan raised Rs466.23bn through its latest PIB auction, with strong demand led by the 15-year tenor at a cut-off yield of 12.40%.

The central bank rejected all bids for the 10-year tenor, while most funds were mobilized through competitive bids across medium- and long-term maturities.

Foreign exchange reserves held by the State Bank of Pakistan rose by $31.8m WoW to $21.74bn as of March 19, 2026, led by a $22.1m increase in SBP holdings.

Index Movers

Sector-wise performance presented a mixed trend, with gains in selective segments offset by heavy losses in key index-heavy sectors.

Technology & communication emerged as the top positive contributor, adding 391.11 points, followed by investment banks and securities companies (326.58 points) and fertilizer (93.83 points). Cement (58.89 points), chemical (32.13 points), paper and packaging (25.03 points), and transport (19.11 points) also lent support to the index.

On the downside, commercial banks remained the largest drag on the benchmark, wiping out 805.03 points, followed by oil and gas exploration companies (-495.51 points) and automobile assemblers (-172.12 points).

Oil and gas marketing companies (-134.83 points), pharmaceuticals (-77.32 points), food and personal care (-64.38 points), and miscellaneous (-45.32 points) also contributed to the decline, reflecting broad-based selling pressure across multiple sectors.

At the company level, select stocks provided notable support to the index.

Among the gainers, SYS led the chart, adding 422.35 points, followed by ENGROH (332.20 points) and MEBL (318.53 points). Other key contributors included FFC (131.92 points), LUCK (112.88 points), HUBC (59.03 points), and BAHL (40.73 points). Additional support came from FCCL, FATIMA, PKGS, and LCI.

Despite these gains, the benchmark remained under pressure due to heavy losses in several large-cap stocks.

UBL emerged as the largest drag on the index, wiping out 732.83 points, followed by OGDC (-244.27 points), NBP (-224.17 points), and PPL (-211.00 points).

Other major laggards included HBL (-106.32 points), PSO (-91.79 points), EFERT (-66.85 points), and KEL (-65.64 points). Further pressure came from MLCF, POL, KOHC, BAFL, and AKBL, highlighting continued selling in index-heavy sectors.

FIPI / LIPI

Foreign investment flows continued to weigh on the market during the week.

Under Foreign Portfolio Investment (FIPI), foreign investors remained net sellers with an outflow of $5.32m.

The majority of the selling came from foreign corporates, which offloaded $9.55m worth of equities. Meanwhile, overseas Pakistanis provided strong buying support of $4.20m, while foreign individuals remained largely neutral.

On the other hand, local investors absorbed the foreign outflow, resulting in a matching net inflow of $5.32m under Local Portfolio Investment (LIPI).

Among local participants, individuals emerged as the largest buyers with net purchases of $19.56m, followed by mutual funds ($3.53m) and broker proprietary trading desks ($2.33m).

On the flip side, insurance companies recorded the largest selling with an outflow of $12.54m, followed by banks and DFIs (-$6.78m) and companies (-$1.32m), while NBFCs also remained net sellers.

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