The equity market in Pakistan witnessed a modest gain of 50 points on Tuesday, characterized by mixed trading activities throughout the day. The benchmark KSE-100 index of the Pakistan Stock Exchange closed at 37,700 points, exhibiting an increase from the previous closing level of 37,651 points.
Analysts at Arif Habib Limited noted that the equity market experienced a range-bound trend, fluctuating between -282 points and +288 points before settling with a net gain of 50 points by the end of the session.
Despite concerns regarding a potential correction, the index navigated current levels, largely driven by the performance of index heavyweights such as HUBC, which helped offset declines in other sectors and maintain investor sentiment.
The market commenced the session on a positive note, opening with a gain of +98 points and reaching a high of +183 points, fueled by buying activity in the Cement and Exploration & Production (E&P) sectors. However, selling pressure in Banking, Cement, Fertilizer, and Steel sectors exerted downward pressure on the index later in the day.
A resurgence in buying interest, particularly in HUBC, propelled the index upwards once again, with the stock price hitting the upper circuit. Additionally, the uptick in international crude oil prices benefitted stocks such as PSO, PPL, and POL, contributing to overall gains. Notably, ENGRO performed well within the Fertilizer sector, posting significant gains.
Trading volumes were led by the Technology sector, with 71.7 million shares exchanged, followed by Cement (58.2 million) and Power (43.3 million). Among individual stocks, TRG dominated with 28.6 million shares traded, trailed by HASCOL (25.9 million) and HUMNL (17.5 million).
The performance of various sectors contributed to the overall market performance, with notable contributions from Power (+114 points), Fertilizer (+36 points), and Oil & Gas Marketing Companies (O&GMCs) (+20 points). Conversely, declines were observed in sectors such as Investment Banks (-27 points) and Automobiles (-27 points).
Although trading volumes declined marginally from 553.8 million shares to 457.2 million shares (a 17 percent decrease day-on-day), the average traded value remained consistent at US$ 116 million.
Significant contributors to trading volumes included TRG, HASCOL, HUMNL, FCCL, and HUBC, collectively accounting for 23 percent of total volumes.
Positive contributions to the index were made by stocks such as HUBC (+102 points), ENGRO (+37 points), and HBL (+24 points), while negative contributions came from stocks including DAWH (-24 points), INDU (-20 points), and DGKC (-15 points).
As the market continues to navigate through dynamic trading conditions, investors remain attentive to sectoral performances and external factors influencing market sentiment, positioning themselves strategically to capitalize on emerging opportunities.
