PSX Calm as Investors Await SBP’s Monetary Policy Decision

Pakistan Stock Exchange (PSX) saw a subdued trading session on Monday as investors stayed cautious ahead of State Bank of Pakistan’s (SBP) monetary policy announcement.

The KSE-100 Index opened on a dull note and traded in a narrow range, reflecting a clear wait-and-see approach across the board. As of this report filing, the index was at 169,953.80, down by 718.24 points (-0.42%) at 1pm, indicating persistent selling pressure amid limited participation.

The muted performance underscored investor caution as participants refrained from building fresh positions ahead of clarity on interest rate outlook. Uncertainty surrounding monetary policy stance — particularly the direction of interest rates and its implications for inflation and economic growth — kept sentiment fragile throughout the session.

Intra-day movement remained range-bound, touching a high of 171,306.61 and a low of 169,268.33. Overall activity stayed moderate, with total volume recorded at 197.63 million shares and traded value at Rs13.51 billion.

“Investors remain on the sidelines, awaiting clarity on the upcoming Monetary Policy Statement and further developments in the ongoing US–Iran conflict,” Mohammed Awais Ashraf told The Express .

Market direction is likely to be dictated by policy decision and forward guidance from the central bank, which could either revive investor confidence or prolong the cautious trend.