Weekly Market Roundup

June 20, 2026 (MLN): The benchmark KSE-100 Index closed the week ended June 19, 2026 at 178,922.76 points, up 6,522.86 points or 3.78% on a week-on-week basis from 172,399.90 points recorded on June 12, 2026.

Investor sentiment remained positive amid expectations that the Pakistan Stock Exchange will continue to benefit from adherence to the US-Iran peace agreement, ongoing technical-level engagements between the two countries, and anticipation of favorable corporate earnings for June 2026.

Additionally, declining international oil prices following the signing of the Islamabad Memorandum of Understanding (MoU) between the United States and Iran boosted risk appetite and supported broad-based buying across key sectors.

Market Capitalization

The Pakistan Stock Exchange's market capitalization increased by Rs185.61bn during the week, rising from Rs4.932 trillion on June 12 to Rs5.117tr on June 19.

In dollar terms, market capitalization climbed from $17.72 n to $18.39bn, registering an increase of approximately $671.4m over the week.

The market's USD-adjusted return improved from 1.1591% on June 12 to 3.8093% on June 19, indicated stronger gains for foreign investors after accounting for currency movements.

On the macroeconomic front, Pakistan recorded a net FDI inflow of $214.3m in May 2026, down 7.8% YoY, with China and the UAE emerging as the largest contributors.

During 11MFY26, cumulative FDI fell 28.3% to $1.62bn, while foreign portfolio investment posted a net outflow of $1.15bn.

Pakistan’s large-scale manufacturing sector grew 6.06% YoY in April 2026 and 6.44% during July–April FY26, supported by strong gains in automobiles, garments, food, and petroleum products.

However, fertilizers and iron & steel remained under pressure, partially offsetting the sector’s overall growth momentum.

Pakistan posted a current account surplus of $459m in May 2026, reversing a $276m deficit in the previous month, supported by a 15.3% YoY increase in workers’ remittances to $4.25bn.

Cumulatively, the current account remained in surplus at $255m during 11MFY26, despite a wider trade deficit of $32.21bn.

Pakistan’s Real Effective Exchange Rate (REER) increased to 106.15 in May 2026, up 0.30% MoM and 8.54% YoY, indicated a relative strengthening of the rupee and a potential decline in trade competitiveness.

Meanwhile, the rupee appreciated 0.50% MoM and 1.24% YoY, closing at Rs278.50 per US dollar.

The Monetary Policy Committee kept the policy rate unchanged at 11.5%, citing a broadly unchanged macroeconomic outlook despite rising inflation and the impact of the Middle East conflict.

The MPC noted that headline inflation accelerated to 11.7% in May 2026, while FY26 GDP growth was provisionally estimated at 3.7%, with foreign exchange reserves rising to $17.2bn.

Index Movers

Sector-wise performance remained broadly positive, with Commercial Banks contributing the highest 2,045 points to the KSE-100 Index.

Other major contributors included Cement (760 points), Investment Banks/Investment Companies/Securities Companies (663 points), Oil & Gas Exploration Companies (632 points),

Power Generation & Distribution (443 points), Fertilizer (412 points), Oil & Gas Marketing Companies (254 points), Automobile Assemblers (204 points), Pharmaceuticals (191 points), Textile Composite (184 points), and Technology & Communication (119 points).

On the downside, Property shaved 53 points from the index, followed by Automobile Parts & Accessories (7 points), Sugar & Allied Industries (1 point), and Woollen (0.4 points).

Among individual stocks, UBL emerged as the largest contributor to the index, adding 1,017.74 points, followed by ENGROH (528.17 points), HUBC (398.32 points), PPL (376.86 points), OGDC (299.78 points),

NBP (237.88 points), FATIMA (221.60 points), LUCK (213.14 points), HBL (206.17 points), and MLCF (164.82 points).

Other notable positive contributors included SNGP, AKBL, PSX, SRVI, MTL, FFC, CHCC, BAHL, BAFL, and SYS.

Major laggards during the week were JVDC, which eroded 53.13 points from the index, followed by TRG (38.42 points), MARI (28.13 points),

POL (16.04 points), HCAR (13.46 points), HMB (10.88 points), ATLH (8.74 points), THALL (7.35 points), LOTCHEM (4.10 points), and PIOC (1.35 points).

FIPI/LIPI

Foreign investors remained net buyers during the week, recording net equity purchases worth Rs1.13 billion ($4.06 million).

The buying was primarily driven by Overseas Pakistanis, who accumulated equities worth Rs605.88m ($2.18m), followed by Foreign Corporates with net purchases of Rs524.45m ($1.89m).

Foreign Individuals remained marginal net sellers with an outflow of Rs0.91m.

On the local side, Mutual Funds emerged as the largest buyers, with net purchases of Rs17.61bn ($63.36m).

Companies also remained net buyers, investing Rs1.43bn, while Individuals bought equities worth Rs880.74m.

The largest sellers were Insurance Companies, which offloaded shares worth Rs16.59bn ($59.66m).

Broker Proprietary Trading recorded net selling of Rs1.41bn, while Other Organizations and Banks/DFIs sold equities worth Rs2.64bn and Rs366.78m, respectively.

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