Banking and Oil Stocks Pressure KSE-100 Despite Strong Fiscal Gains

Karachi: The KSE-100 Index closed lower on February 17, 2026, at the Pakistan Stock Exchange, as heavy losses in banking and oil marketing stocks overshadowed gains in exploration shares. The benchmark settled at 173,150.42 points, down 1,303.52 points or 0.75 percent.
Opening at 174,783.15 points, the index climbed to 176,131.35 points in early trade, supported by selective buying. However, persistent selling pressure soon reversed gains, pushing the market to an intraday low of 171,693.40 points.
Pakistan State Oil led the draggers, removing nearly 210 points from the index. Habib Bank Limited, Engro Holdings, United Bank Limited, and National Bank of Pakistan further weighed on performance, indicating broad-based weakness within financial and energy sectors.
On the positive side, Oil and Gas Development Company contributed 179.09 points, while Pakistan Petroleum Limited and Millat Tractors added support. Bank of Punjab and Mari Petroleum also posted modest gains, partially offsetting the losses.
With trading volume reaching 424.96 million shares, the session reflected strong investor engagement. Analysts noted that the market is currently undergoing sector rotation as investors rebalance portfolios in response to changing economic signals.
Although the calendar year-to-date performance remains slightly negative at 0.52 percent, the impressive fiscal year-to-date gain of 37.83 percent demonstrates underlying market strength. Experts believe that short-term volatility is part of a broader consolidation phase.
Looking ahead, traders are expected to closely watch economic indicators, corporate announcements, and global commodity movements. The Pakistan Stock Exchange continues to present opportunities for disciplined investors focusing on long-term fundamentals.