KSE-100 closes 1,370 points lower at 168,022 before the Fed; rupee at 277.27

Updated 16 September, 10:55pm: closing figures replace the midday numbers. The loss more than doubled in the afternoon session.

The KSE-100 closed Wednesday at 168,021.80, down 1,370.52 points (0.81%) from Tuesday's 169,392.32, according to the Pakistan Stock Exchange. At 12:35pm it had been down 652 points. The index traded between 167,849.70 and 169,382.01.

Selling was broad. ARY News' market report counted 320 decliners against 121 gainers (55 unchanged), with 356.1 million shares worth Rs 19.49 billion changing hands.

It was a third straight big swing: a loss of more than 2,500 points on Monday, a 1,421.67-point rebound on Tuesday, and now this. Oil, the Gulf conflict and tonight's US Federal Reserve decision are driving the moves.

The closing numbers

Oil and gas stocks, which were up at midday, ended lower too as crude eased from this week's highs. The Shariah-compliant KMI-30 fell further than the KSE-100 in percentage terms. Our KSE-100 page now records the close.

The Fed decides at 11pm Pakistan time

The US Federal Reserve announces its rate decision at 2pm New York time on Wednesday, which is 11pm in Pakistan. CME FedWatch data put the chance of a 0.25 percentage point hike at 92.7%, which would lift the US target range to 3.75% to 4.00%. It would be the Fed's first increase since July 2023.

Why it matters here:

• A stronger dollar usually follows a US hike. That pressures currencies like the rupee and swells an import bill already inflated by oil near $105.
• Foreign money tends to move towards US yields when they rise, which weighs on emerging markets including the PSX.
• Pakistani rates: the State Bank held its policy rate at 11.5% on 11 September. A Fed hike does not change that directly, but it narrows the room for SBP to cut. See what the hold means for car loans, home loans and savings and the current 12-month KIBOR.

The rupee: 3 paisa firmer

The rupee closed at Rs 277.27 to the dollar in the interbank market, a gain of Re 0.03 on Tuesday's 277.30 (Business Recorder). It has barely moved for weeks despite the oil shock.

Sending or receiving money from abroad? Check the rate before you transfer with our currency converter and the dollar rate page. Gold also rose today: 24-karat is on our gold price page.

Worldcall moved to the non-compliant segment

PSX placed Worldcall Telecom (WTL), one of the most heavily traded low-priced shares, in the non-compliant segment from 16 September. The exchange says the company did not pay an additional listing fee that fell due after it raised its paid-up capital; the deadline was 20 November 2025. A court dismissed Worldcall's application for interim relief on 11 September.

What it means for shareholders:

1. The share still trades, but in a segment flagged for non-compliance, which typically means thinner trading.
2. The company has 90 days, until 14 December 2026, to fix the default.
3. If it does not, PSX says further action can follow, including a risk warning alert.

What to do now

• Investors: a Fed hike is largely priced in, but the statement and projections can still move markets. Expect another swing on Thursday morning, and avoid buying on margin into it.
• Borrowers: nothing changes on your loan today. Floating-rate car and home loans reset on KIBOR, which follows SBP, not the Fed. Run the numbers with the car loan calculator or home loan calculator.
• Families receiving remittances: the interbank rate is steady; compare what your provider offers against it.