Karachi: The KSE-100 index experienced fluctuating trends throughout the week, ultimately concluding with a slight increase, closing at 154,439—a minor rise of 0.1% week-on-week. This was despite reaching an all-time intraday peak of 157,817, as selling pressure later in the week tempered the market's momentum. Average daily turnover saw a modest 2% rise, reaching 1,092 million shares.

The week commenced positively, bolstered by Pakistan's signing of significant Memorandums of Understanding (MoUs) with international partners. Agreements with U.S. firms in the mineral sector were valued at $500 million, while collaborations with Chinese firms in agriculture amounted to $4 billion.

Additionally, Pakistan secured $285 million in guarantees from the Asian Development Bank (ADB) and the Asian Infrastructure Investment Bank (AIIB), paving the way for the country's inaugural Panda bonds issuance, expected to raise $250 million.

Remittances in August 2025 reached $3.1 billion, marking a 7% year-on-year increase. Meanwhile, an International Monetary Fund (IMF) delegation is set to visit on September 25, 2025, for the second review of the ongoing $7 billion Extended Fund Facility (EFF).

In parallel, the government is advancing its industrial policy, considering the elimination of cross-subsidies and peak power tariffs for industrial consumers to enhance export competitiveness.

Auto sales surged 62% year-on-year in August 2025, reflecting robust economic activity, while the State Bank of Pakistan's reserves climbed by $34 million week-on-week, totaling $14.3 billion.

The interplay of these economic developments has contributed to the mixed performance of the KSE-100 index, as the market grapples with external pressures and domestic policy shifts.