ISLAMABAD: Pakistan’s benchmark KSE-100 index on Friday closed the week 1.5 percent lower, according to a market review, as investor activity remained subdued due to uncertainty surrounding the US-Iran relations and pressure from elevated oil prices.

Investor participation declined during the week as average daily traded volume and value stood at 525 million shares and Rs18.7 billion ($67.5 million), respectively. The market closed at 168,155.49 points

“The weekly decline was primarily driven by subdued investor interest amid the absence of positive developments in US-Iran relations, coupled with elevated oil prices,” Karachi-based Topline Securities said in its weekly review.

Key economic indicators released during the week also shaped market sentiment.

Pakistan’s consumer price inflation eased to 10.26 percent in September 2026 from 11.15 percent in August but remained significantly above the 5.76 percent recorded in the same month last year.

Meanwhile, the country’s trade deficit widened to $3.6 billion in September 2026, increasing 6 percent year-on-year and 8 percent month-on-month, reflecting continued pressure on the external account.

The review added that yields in the Treasury bill auction held during the week rose by 49–75 basis points across different tenors, indicating changing expectations around interest rates and liquidity conditions.