Declining trends in the international and regional markets, absence of follow-up support and persistent squeeze in turnover with increasing values on the benchmark (which stayed prominent in previous week’s trading) pushed it into the red zone. The bear run was led by post results sell-off in stocks of Attock group. The benchmark managed to close at around 11200, thus avoiding a larger decline.
The KSE 100 index closed at 11180.64 levels with the loss of 105.57 points, while KSE 30 index lost 160.51 points to close at 10711.55 levels. All Share index closed at 7774.13 levels after losing 70.14 points. In total, 84 scrips advanced, 145 declined and 88 remain unchanged, out of a total of 317 scrips traded.
The trend was duly followed by almost all front line stocks, including banks, cements and fertiliser, as repercussions of heavy downpour will impact almost all sectors of the economy, thus resulting in discouraging economic numbers. Since major sectors are already under threat due to gas curtailment, a high interest rate environment, high and expensive debt portfolio, increasing input costs, declining local and export sales and ballooning, thereby leaving handful stocks, available for placements on steep decline.
Hasnain Asghar Ali at Aziz Fidahusein said carefulness was quite evident throughout the session with cautious placements of equity specific funds in the stocks offering consistent dividend yields along with growth in earnings. Duty protection to local industry in trade policy (that stays approved) and change in implementation mode of CGT will continue to stay the selling point, while further delay in change of stance by authorities will continue to prove harmful for revenue collection and the brokerage industry, he added.
Bearish trend takes over KSE
