LAHORE - The KSE 100-index of Pakistan Stock Exchange stayed in the red zone for the third consecutive day, closing at 40,855 points, 412 points below the previous trading session.

Experts believe negativity in the market was due to noise on the political front and declining foreign reserves. Volumes were dull, with only 121m shares traded throughout the day, as compared to 160m shares traded on the previous trading day. FCCL (+1.11 percent) from the cement sector led the volume chart with more than 13m shares exchanging hands. On the economic front, liquid foreign exchange reserves held by the State Bank of Pakistan (SBP) decreased by $342 million to $9.885 billion due to external debt servicing and other official payments.

Cement sector showed declining trend where big players such as LUCK (-2.4 percent), DGKC (-4.5 percent), PIOC (-5.0 percent) and CHCC (-4.4 percent) showed downward trajectory. OGDC (-1.0 percent) from the E&P sector declared its FY18 result, where the company posted an EPS of Rs. 18.31 per share and a final cash payout of Rs. 2.50 per share. Moving forward, investors have been recommended to trade cautiously and reduce short-term positions on strength due to lack of positive triggers that can potentially drive the market.