Pakistan stocks end flat as investors await budget clarity

The benchmark stock index closed relatively flat Wednesday amid cautious trading ahead of the FY26 budget, analysts said.

"A wait-and-see approach dominated sentiment, with participants largely staying on the sidelines in the absence of clear market-moving triggers," said an analyst at Ismail Iqbal Securities.

Cement, oil and gas marketing companies, and technology and communication sectors were the top performers, collectively adding 203 points to the index.

The market saw a range-bound session due to rollover pressures and budget uncertainty, according to Topline Securities.

"Stocks showed recovery amid speculation in the pre-budget session," said Ahsan Mehanti of Arif Habib Corp., noting that hopes for a real estate package in the federal budget boosted cement stocks.

Investor concerns over a potential IMF disagreement on key budgetary targets, subsidies and rupee volatility led to mid-session pressure. However, government measures to increase tax collection and ease the fiscal deficit helped the market close slightly higher.

KSE-100 index gained 0.09% or 111.79 points to close at 118,332.91 points.

Currency

US dollar gained against PKR in the inter-bank market. Pakistani currency shed 11 paisas to close at 282.17. In the open market USD was trading at PKR 284.15.

Indian Stocks

On Tuesday, the Indian stock market fell because investors were selling stocks to lock in profits. This happened due to concerns about high stock prices and overall weakness in Asian markets.

In the last two days, the stock index had gone up because of foreign investment, improved trade relations between the U.S. and the European Union, and a large payment from the Reserve Bank of India to the government.

Experts believe the market is experiencing some profit-taking, with money shifting to new stock offerings and a few big investors selling their shares.

BSE-100 index shed 0.58% or 152.15 points to close at 26,020.23 points.

DFM General Index gained 0.37% or 20.14 points to close at 5,504.60 points.

Crude Oil

Oil prices dropped again today after a rough start to the week. Reports say that OPEC+ is considering increasing oil production more than expected in July.

Meanwhile, President Trump agreed to delay a 50% tariff on EU goods until early July, giving both sides more time to reach a trade deal.

Brent crude prices decreased by 0.05% to $64.71 per barrel.

Gold Prices

Gold prices dropped slightly on Monday because investors reacted to a temporary customs agreement and some chose to take profits. This happened after President Donald Trump announced that the planned 50% tariffs on the European Union would be delayed until July 9.

The delay allows the U.S. and Europe to restart trade talks, which makes gold less attractive as a safe investment—especially after it recently had its biggest weekly gain in over six weeks.

International gold prices decreased 1.54% to close at $ 3,289.56 per ounce. In the local market, gold prices decreased PKR 3,600 to 347,900 per tola.