OUR STAFF REPORTER KARACHI - The Karachi stock market closed lower on Friday after US President Obama issued a stern warning not to tolerate terrorists 'safe heavens inside Pakistan. Remarks of US Secretary of State about cut in Pak military aid also affected the investor sentiment at the Karachi Stock Exchange. The Karachi Stock Exchanges 100-share index fell by 44.16 points or 0.35 per cent to close at 12,464.26 points, while the Karachi Stock Exchange 30-share index dropped by 107.23 points or 0.90 per cent to close at 11,771.72 points. The market turnover declined to 51.73 million shares compared to 76.95 million shares traded previously. Shares of 328 companies were traded on Friday. At the end of the day, 80 stocks closed higher, 163 declined and 85 remained unchanged. The value of the shares traded during the day was Rs2.77 billion or $32.24 million. The Karachi Stock Exchange market capitalization stood at Rs3, 287.65 billion or $38.30 billion. Engro Corporation Limited, Lotte Pakistan PTA, Fatima Fertilizer Corporation, Bank Al-Falah Limited and DG K Cement were the top five volume leaders. Engro Corporation Limited reported remarkable performance during the day as the companys shares gained Rs173.20 and closed at Rs169.31, showing a hefty turnover of 5.81 million. Lotte Pakistan PTA recorded 5.70 million shares, gaining Rs14.77 to close at Rs14.52 followed by Fatima fertilizer Co, with 4.18 million shares, gaining Rs15.09 to close at Rs14.89 and Bank Al-Falah Limited with 2.36 million shares, gaining Rs10.05 to close at Rs9.75. Strong valuations in blue chip scrips and recovery in global commodity and capital markets after Greece deal with EU and International Monetary Fund failed to change the bearish sentiment at KSE, said Ahsan Mehanti, Director at Arif Habib Investments Limited. Tumbling regional and international oil and equity markets took the local equities along, thereby disallowing the syndicated efforts poised towards a healthy closing for the running fiscal, through low volume influx and change of hands in the frontline stock, despite maximum support by Nestle, stock contributed 40 points on a trade of less then 200 shares, the index was disallowed to sustain green numbers, however the support did restrict, otherwise a triple digit decline, said Hasnain Asghar Ali, a senior analyst at Aziz Fida Husein & Co.