A day after the benchmark index recorded its highest day-on-day increase in terms of points, market frenzy seems to have tapered off at the bourse, as the KSE-100 Index closed with a gain of 0.57% on Tuesday.
On Monday, the benchmark KSE-100 Index recorded a jump of 1,700 points on the back of political clarity in the country after Imran Khan was ousted as prime minister, which boosted market confidence at the Pakistan Stock Exchange (PSX).
On political clarity, KSE-100 registers 1,700-point increase, its highest in history
During the trading session on Tuesday, the benchmark KSE 100 index swung between an intraday high of 46,459.26 (up by 314 pts) and a low of 45,895.26 (down by 249 pts).
At close, the KSE-100 Index settled at 46,407.26, a gain of 262.30 points or 0.57%.
“Recent political noise had put the KSE-100 performance in jeopardy and investors on the sidelines,” said BMA Capital in its latest report.
“However, now we expect a return in trading volumes and greater investor participation. At the same time, concerns about stalling of the IMF program and hence the financing of the funding gap now seem to have eased,” it added.
On the economic front, Fitch Ratings said that the recent government change in Pakistan has been peaceful, but raised near-term policy uncertainty as the country faces external and fiscal challenges from rising commodity prices and an increase in global risk aversion.
On the corporate front, JS Bank in a notice to the bourse said that Basir Shamsie has been reappointed as the President and CEO of JS Bank Limited for the remaining term of his employment contract.
Sectors driving the benchmark upward included technology and communication (92.50 points), cement (48.97 points) and banking (37.13 points).
Volume on the all-share index decreased to 493.6 million from 557.67 million on Monday. However, the value of shares traded improved, albeit marginally, to Rs13.86 billion from Rs13.36 billion recorded in the previous session.
WorldCall Telecom was the volume leader with 62.04 million shares, followed by Telecard Limited with 32.65 million shares, and Flying Cement with 30.86 million shares.
Shares of 359 companies were traded on Tuesday, of which 172 registered an increase, 172 recorded a fall, and 15 remained unchanged.