Karachi, February 27, 2026 – The benchmark KSE-100 Index of the Pakistan Stock Exchange (PSX) closed in negative territory on Friday but managed to recover a substantial portion of its steep intraday losses, as market sentiment improved later in the session despite escalating geopolitical tensions between Pakistan and Afghanistan.
The market opened under heavy selling pressure and plunged sharply during early trading, driven by concerns over regional security after Pakistan reportedly targeted key military installations of the Afghan Taliban regime in Kabul. This pushed the index down by as much as 3,081 points, or 1.82%, marking the day’s intraday low. However, improved sentiment in the latter half of the session, amid the absence of any immediate retaliatory action from Afghanistan, helped the market stage a partial recovery.
By the close, the KSE-100 index settled at 168,062.16 points, down 830.92 points or 0.49%, compared to the previous close of 168,893.08 points.
KSE-100 Index Snapshot – February 27, 2026
| Indicator | Value |
| Current Index | 168,062.16 |
| Change | -830.92 |
| Percent Change | -0.49% |
| High | 169,379.97 |
| Low | 165,811.87 |
| Volume | 222,442,620 |
| Previous Close | 168,893.08 |
| Traded Value | Rs 18,971,818,996 |
According to analysts at Topline Securities Limited, investor caution prevailed during early hours due to geopolitical uncertainty, but selective buying emerged later, particularly in blue-chip stocks, allowing the market to trim its losses significantly by the close.
Stocks Dragging the Market
Major negative contributions to the index came from United Bank Limited (UBL), Fauji Fertilizer Company (FFC), Oil and Gas Development Company Limited (OGDC), Pakistan Petroleum Limited (PPL), and MCB Bank Limited (MCB). These stocks collectively pulled the index down by 658 points.
Market Activity and Turnover
On the trading floor, activity remained robust. In terms of traded value, National Bank of Pakistan (NBP) led the charts with Rs1.36 billion, followed by MCB Bank (Rs1.12 billion), PPL (Rs1.0 billion), Bank of Punjab (BOP) (Rs969 million), and Bank Alfalah (BAFL) (Rs905 million).
Overall market participation stayed strong, with 533 million shares changing hands and total traded value reaching Rs25.5 billion, reflecting sustained investor engagement despite market volatility.
Market Outlook
Analysts expect continued volatility in the near term as investors closely monitor geopolitical developments and macroeconomic indicators. However, fundamentally strong stocks may continue to attract interest on dips, supporting partial recoveries during volatile sessions.
Disclaimer:
This news article is for informational purposes only and does not constitute investment advice. Stock market investments involve risk, and readers should conduct their own research or consult financial advisors before making investment decisions.