KARACHI - Bloodshed continued at the Pakistan Stock Exchange (PSX) on first trading day of the week, Monday, as aggressive selling was observed throughout the day. The 100-share index lost 781 points and closed at 40,324 points likely on continued investors’ skepticism regarding the political scenario in the country, brokers said.
The market succumbed to pressure with relentless selling done by market participants throughout the day due to rising political noise, uncertainty on external account front, absence of major triggers and negative rumors (cement cartel/margin calls), said analyst at Topline Securities.
Top 5 index point contributors were POL (up 2.1%), COLG (5%), THALL (1.2%), JLICL (2%) & MARI (0.3%), adding 48 points, while top 5 index laggards were LUCK (down 5%), UBL (3.3%), HBL (2.1%), HUBC (3.3%) & MCB (2%), withholding 273 points.
Sector wise, commercial banks took away 197 points, cements eroded 142 points and fertilizer detracted 81 points. While chemical and automobile parts cumulatively added 12 points to the index.
Stocks fell across the board on concerns for political uncertainty and foreign outflows, said analyst at Ahsan Mehanti.
Investors booked profit at the near earnings season close amid concerns for glut in cement sector and Hubco dismal earnings announcement. Concerns for economic uncertainty, rising trade deficit and falling FX reserves played catalyst role in bearish close, he added.
Average market volumes were down by 26% DoD, to 98.7m shares. On the other hand, average traded value was down by 76% DoD, at Rs6.3b/USD 59.9m.
Volume leaders remained NCL, SNGP, PAEL, TRG and POWER, contributing 29% to the total volume. NCL from the textile sector led the volume charts with 7m shares changing hands.
Market participants expect volatility to persist unless there some clarity over political scenario or positive triggers on the economic front are seen.
