KARACHI: A bearish trend continued on Pakistan Stock Exchange on Wednesday and the market recorded heavy losses due to selling pressure as the investors adopted cautious stance amidst the anticipation surrounding the upcoming IMF talks and the forthcoming monetary policy announcement scheduled for Monday (Mar 18).
The benchmark KSE-100 Index plunged by 753.26 points or 1.16 percent and closed at 64,048.44 points. The index crossed 65,000 psychological level to hit 65,043.38 points intraday high however dropped in red zone due to selling pressure to hit 63,856.51 points intraday low.
Trading activity remained thin as daily volumes on ready counter decreased to 252.751 million shares as compared to 321.709 million shares traded on Tuesday. The daily traded value on the ready counter declined to Rs 9.247 billion against previous session’s Rs 10.857 billion.
BRIndex100 decreased by 88.81 points or 1.33 percent to close at 6,595.22 points with total daily turnover of 225.181 million shares.
BRIndex30 declined by 428.11 points or 1.9 percent to close at 22,113.59 points with total daily trading volumes of 171.875 million shares.
Foreign investors however remained net buyers of shares worth $2.531 million. The market capitalization declined by Rs 121 billion to stand at Rs 9.107 trillion. Out of total 329 active scrips, 257 closed in negative and only 52 in positive while the value of 20 stocks remained unchanged.
Cnergyico PK was the volume leader with 19.852 million shares however lost Rs 0.14 to close at Rs 4.63 followed by Bank of Punjab that inched down by Rs 0.15 to close at Rs 6.02 with 18.744 million shares. K-Electric closed at Rs 4.40, down Rs 0.14 with 14.394 million shares.
Unilever Pakistan Foods and Bata Pakistan were the top gainers increasing by Rs 200.00 and Rs 20.00, respectively to close at Rs 21,400.00 and Rs 1,670.00. Allawasaya Textile & Finishing Mills and Mari Petroleum Company were the top losers declining by Rs 108.00 and Rs 74.57, respectively to close at Rs 1,352.00 and Rs 2,357.60.
An analyst at Topline Securities said the day commenced on a promising note for the Pakistan equity market, witnessing the KSE-100 Index surging to an intraday high of 65,043 points, marking a notable increase of 241.67 points or 0.37 percent in the morning session. However, as the day unfolded, a shift towards profit-taking ensued, swiftly evolving into widespread selling activity across the board. Consequently, the benchmark KSE-100 Index struggled to maintain its momentum above the 65,000 level and ultimately closed the day at 64,048.44 points, reflecting a loss of 753.26 points or 1.16 percent.
The sudden surge in selling pressure can be attributed to the absence of significant positive triggers, with investors adopting a cautious stance amidst the anticipation surrounding the upcoming IMF talks and the forthcoming monetary policy announcement scheduled for Monday, March 18, 2024.
Several sectors, including Exploration & Production (E&P), Automotive, Banking, and Technology, contributed negatively to the index performance, with companies such as MARI, PPL, MTL, PSO, TRG, and HBL collectively shedding 266 points.
BR Automobile Assembler Index plunged by 433.15 points or 2.77 percent to close at 15,193.68 points with total turnover of 6.582 million shares.
BR Cement Index lost 46.01 points or 0.7 percent to close at 6,498.66 points with 8.541 million shares.
BR Commercial Banks Index fell by 101.98 points or 0.62 percent to close at 16,363.16 points with 36.572 million shares.
BR Power Generation and Distribution Index decreased by 171.66 points or 1.19 percent to close at 14,194.27 points with 17.913 million shares.
BR Oil and Gas Index declined by 131.15 points or 2.14 percent to close at 5,983.42 points with 23.657 million shares.
BR Tech. & Comm. Index eroded 82.68 points or 2.22 percent to close at 3,648.22 points with 46.255 million shares.
Mubashir Anis Naviwala at JS Global Capital said the bourse experienced a significant sell-off following Tuesday’s crash. The KSE-100 Index fluctuated between a high and a low of 65,043 and 63,856.
Investor participation remained notably low, with a traded volume of 253 million shares. Volume leaders were CNERGY (down 2.9 percent), BOP (down 2.4 percent), KEL (down 3.1 percent), PIAA (down 1.2 percent) and KOSM (down 9.8 percent).
Copyright Business Recorder, 2024
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