The negative trend continued at the Karachi share market on Tuesday due reportedly to the poor law and order situation in the country and dismal performance of major economic sectors. The federal government has paid some Rs 70 billion to oil marketing companies, which made no impact on the transaction and the market remained in the bearish position throughout the session.
KSE-100 index hit 12,189.55 points intra-day low level, down by 99.48 points. However, in the evening it recovered some points and at the time of closing KSE-100 index lost 67.50 points to close at 12,221.53 points from 12,289.03 points level. The KSE-30 index declined by 95.85 points to close at 14,230.42 points, which earlier was stood at 14,326.27 points.
However, the trading activity in market was somewhat better than a day earlier and ready market volume stood at 46.952 million shares, while on Monday a 10-year low level of 11.485 million shares were witnessed. The futures market turnover increased to 13.782 million shares against 2.807 million shares in the previous day.
The overall market capitalisation declined by Rs 18.465 billion to Rs 3.759 trillion from 3.777 trillion. Trading took place in 225 scrips, out of which 163 scrips closed in the negative and 51 scrips closed in the positive while the value of 11 scrips remained unchanged.
The Oil and Gas Development was the star performer of the day with 7.614 million shares and gained Rs 0.04 to close at Rs 124.40 followed by Arif Habib Securities, which decreased by Rs 1.08 to close at Rs 160.40 with 6.429 million shares. PSO gained Rs 11.55 to close at Rs 428.79 with 3.068 million shares. Pak oil field lost Rs 2.74 to close at Rs 362.10 with 2.808 million shares.
DG Khan cement lost Rs 0.67 to close at Rs 66.47 with a trading volume of 2.66 million shares. Attock Refinery declined by Rs 1.88 to close at Rs 248. MCB bank share decreased by Rs 3.26 to close at Rs 323.12, and Pak Petroleum closed at Rs 243.55, down by Rs 2.44 with 1.919 million shares. Sui North Gas increased by Rs 0.58 to close at Rs 44.15 and KESC increased by Rs 0.03 to close at Rs 5.50.
Among key gainers, Sapphire Fiber and National Foods gained Rs 24.05 and Rs 15 to close at Rs 284 and Rs 378, respectively, while among key losers, Jahangir Siddiqui Co and Attock Petroleum lost Rs 5.30 and Rs 4.32 to close at Rs 524.85 and Rs 427.96, respectively.
Ahsan Mehanti of Shehzad Chamdia Securities said that the local and foreign investors are continuously selling their holdings due to the poor law and order situation in the country.
He said, at present, the interest rates in the country are higher, while the other economic indicators, like the current account deficit, are also in the negative position, which is hurting investors' confidence. "Despite the fact on Tuesday, Prime Minister Syed Yousuf Raza Gilani was in Karachi and he held a meeting of Economic Co-ordination Committee, the stock market remain sluggish in downward trend," he added.