KARACHI - Karachi Stock Exchange witnessed panic selling on Wednesday and the KSE-100 Index lost another 260 points, 3.32 percent on Wednesday. Lessen than expected announcement by Pakistan State Oil led to heavy selling in the oil sector. Earlier, a case lodged against a leading bank triggered the selling pressure in the banking sector. Investors at the Karachi stock market remained concerned over continuing foreign selling in the market. Moreover, international equity markets turmoil and less than expected results in blue-chip stocks remained a major concern. The KSE-100 Index opened with a gain of 2.18 points and at the end of the day closed at 7,574.17 points, losing 259.97 points. Market touched days high level of 7,865.18 points on Wednesday. Trading activity was worst as the ready market volume squeezed to 226.886m shares as compared to last trading sessions 320.331m shares. Total shares-trading value of the market decreased to 10.587 billion rupees as compared to 13.039 billion rupees of last session. Market capitalisation remained Rs2.264 trillion, showing a decline of Rs74 billion from last sessions Rs2.338 trillion. 77 companies at the Karachi stock market advanced, as many as 257 declined and 14 remained unchanged. Unexpectedly, Maple Leaf was witnessed as the volume leader of the day with the trading of 14.452 million shares on Wednesday. Other noted shares include Bank Al-Falah with 13.952m shares, United Bank 13.126m shares, Lucky Cement 12.973m shares, Jahangir Siddiqui 9.527m shares, OGDC 9.442m shares, Fauji Cement 8.784m shares, DGKC 8.741m shares, Pak Oilfields 8.652m shares, National Bank 8.450m shares, NIB Bank 7.762m shares, PTCL 6.983m shares namely. Prominent gainers at the KSE include Unilever Pakistan and it gained Rs53.75/share, closing at Rs1980, Siemens Pakistan added Rs10/share and its total value was improved to Rs760, Hinopak Motors gained Rs8.84/share and closed at Rs185.68, Service Industries added Rs6.56/share and closed at Rs153.23, Attock Refinery gained Rs6.53/share, closing at Rs137.20, Al-Ghazi Tractors closed at Rs161.95, gaining Rs6.07/share. Conversely, Attock Petroleum lost Rs16.02/share and closed at Rs304.42, PSO lost Rs10.97/share and its value was decreased to Rs210.94, MCB Bank also lost Rs9.82/share, closing at Rs186.59, Pak Petroleum closed at Rs186.69, losing Rs9.82/share, Lakson Tobacco lost Rs9.50/share and closed at Rs210.50 with the trading of only 500 shares on Wednesday, Packages Limited lost Rs9.08/share and closed at Rs 172.70, National Refinery closed at Rs210.51, losing Rs8.59/share. Clipped potential (due to absence of ready board leverage) proved fatal as the local liquidity failed to absorb the foreign selling. The extended decline and absence of triggering news have left even the investors with no choice but to sell for cost lowering, with the buying side already weak, rate erosion can lead to and extended decline, expressed analyst Hasnain Asghar Ali. Absence of corporate buyers was certainly felt as with the exception of some. Majority local participants continued to practice the strategy of neither to sell at upper locks, nor to buy at lower locks, until signalled. It has been observed in post-CFS elimination scenario that reliance on the strength of buyer/seller have increased, although fundamentals do come into play mainly in large cap stocks but very few dare to resist. In event of rising temperatures on other sensitive issues the fragile local bourses will react accordingly, a calm political and geo political scene will, however, continue to invite local liquidity on intervals.