KSE-100 closes 205 points lower in mixed session

Updated 02 Sep, 2024

The Pakistan Stock Exchange (PSX) endured a mixed session on Monday as the benchmark KSE-100 Index closed 205 points lower after oscillating in the green and red zones.

The KSE-100 started the session positive, hitting an intra-day high of 79,014.69.

However, profit-taking in the latter half pushed the index back to below 79,000.

At close, the benchmark index settled at 78,283.30, down by 204.92 points or 0.26%.

“Pakistan equities moved in both directions as bullish and bearish forces confronted throughout the session to take the helm at PSX. However, bears emerged as a winner,” brokerage house Topline Securities said in its post-market report.

Investors chose to conduct profit-taking in selective stocks of banking, fertiliser, auto and steel sectors. Resultantly, MEBL, HBL, ENGRO, MTL & INIL lost 410 points, cumulatively. On the flip side, HUBC, MARI, and BAHL collectively added 326 points as they witnessed rejuvenated buying interest in them, the report said.

On Friday, the KSE-100 closed 139 points higher as late-session profit-taking trimmed intra-day gains.

In a key development, Pakistan’s headline inflation clocked in at 9.6% on a year-on-year basis in August 2024, lower than the reading in July 2024 when it stood at 11.1%.

The inflation reading was back into single-digit after a span of three years, showing Pakistan Bureau of Statistics (PBS) data. Back in October 2021, CPI inflation stood at 9.2%.

Indus Motor Company (IMC) reported a profit of Rs15.07 billion for the fiscal year that ended June 30, 2024 (FY24), an increase of 56% when compared with earnings of Rs9.66 billion in the same period of the previous year.

The rise in profit comes despite lower revenue during the period.

National Refinery Limited (NRL) registered a massive loss of Rs15.79 billion during the fiscal year that ended June 30, 2024. The amount is also higher than the loss posted in the previous fiscal year when it stood at Rs4.46 billion.

Meanwhile, Nimir Industrial Chemicals Limited (NICL), a chemical manufacturer, successfully completed its acquisition of the soap manufacturing facility from Procter & Gamble Pakistan (Pvt.) Limited.

The listed company, engaged in manufacturing and sales of chemical products, shared the development in a notice to the PSX on Monday.

The Board of Directors of Nishat Mills Limited (NML), the flagship company of Nishat Group, gave its nod to establish a private limited company in the United Kingdom (UK).

The listed company informed stakeholders of the development in its notice to the bourse.

“The Board of Directors of Nishat Mills Limited has accorded its approval to the incorporation of a private limited company in the United Kingdom through the company’s wholly-owned subsidiary, Nishat International FZE, United Arab Emirates (UAE),” read the notice.

Globally, Asian share markets got off to a quiet start on Monday as investors braced for a data-packed week culminating in a US jobs report that could decide whether a rate cut expected this month will be regular or super-sized.

A holiday in the United States and Canada made for thin liquidity, while wins for far-right parties in German state elections added a fresh layer of political uncertainty.

The dollar was hanging on to gains made on Friday after upbeat spending figures led markets to trim the chance of a half-point easing from the Federal Reserve.

Futures are 100% priced for a cut of 25 basis points on Sept. 18, and imply a 33% probability of 50 basis points.

Meanwhile, the Pakistani rupee registered a marginal decline against the US dollar, depreciating 0.04% in the inter-bank market on Monday. At close, the currency settled at 278.64, a loss of Re0.10 against the US dollar.

Volume on the all-share index decreased to 457.28 million from 680.81 million on Friday.

The value of shares declined to Rs15.87 billion from Rs21.19 billion in the previous session.

Hascol Petrol was the volume leader with 46.43 million shares, followed by Agha Steel Industries with 28.79 million shares, and Secure Logistics Gro with 21.54 million shares.

Shares of 447 companies were traded on Monday, of which 107 registered an increase, 287 recorded a fall, while 53 remained unchanged.

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