Reporting snapshot · 20 Feb 2026. The figures below reflect the close of trading on Thursday 19 February 2026, reported the following day. Market conditions remained volatile.
What happened
Pakistan’s benchmark KSE-100 index posted its steepest single-day fall in history on Thursday, closing at 172,170.29, down 6,682.81 points or 3.74 per cent, as panic selling swept the Pakistan Stock Exchange (PSX).
The index touched an intraday low of 171,647, a drop of more than 7,200 points, before recovering some ground by the close. The decline wiped out about Rs713 billion in market capitalisation, according to Dawn, in the first trading session of Ramazan.
Market data showed the selling was broad-based. Trading volume fell 22.17 per cent to 543 million shares and traded value dropped 45.26 per cent to Rs27.39 billion, Dawn reported. Index-heavy stocks including Fauji Fertiliser, Engro Holdings, United Bank, Oil and Gas Development Company, Pakistan Petroleum and Meezan Bank collectively erased 2,113 points from the benchmark.
Why it matters
The sell-off followed a more than 6 per cent rise in international crude prices over two days, driven by fears of supply disruption amid escalating United States-Iran tensions. Pakistan is a net oil importer and is especially exposed to higher energy costs, which weigh on inflation and the external account.
Analysts cited a combination of external and domestic pressures. Farid Alam of AKD Securities pointed to perceived regional instability and reports of a possible US attack over the weekend. Mohammed Sohail of Topline Securities cited reported delays to the Reko Diq project, foreign selling and corporate results below expectations. Financial analyst Khalid Saifuddin described the earlier rally as a “bull trap” and the fall as a release of built-up pressure. Shortened Ramazan trading hours further thinned participation and amplified price swings.
Analysts see the 172,000–170,000 range as critical support, with 180,000 the immediate resistance for any recovery.
What is still uncertain
It is not yet clear whether the decline marks the start of a sustained correction or a one-off risk-off move. Investor attention was also on Prime Minister Shehbaz Sharif’s engagements in Washington, as ambiguity over Pakistan’s geopolitical positioning tends to unsettle markets. On the corporate front, Faysal Bank reported calendar-year 2025 earnings of Rs22.5 billion, down 6 per cent year-on-year, while its quarterly profit rose 83 per cent.
Sources & reporting notes
This is a synthesis of published material, not eyewitness reporting. Sources were reviewed on 20 February 2026.
- Dawn — "PSX plunges record 6,683 points on geopolitical fears"Published 20 Feb 2026 · Closing level, point and percentage fall, intraday low, market capitalisation, volume and value, heavyweight stocks, analyst comments and support levels.
- The Express Tribune — "Equities hammered on regional tensions"Published 20 Feb 2026 · KSE-100 close of 172,170.29, the 3.74 per cent decline and foreign and institutional selling pressure.
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