Karachi, May 8, 2024 – The Pakistan Stock Exchange (PSX) witnessed a downturn on Wednesday as the benchmark KSE-100 index shed 159 points amidst prevalent selling pressure in the market.
Closing the day at 72,602 points, the KSE-100 index experienced a decline from its previous day’s closure of 72,761 points. Muhammad Rizwan, Director Brokerage at Chase Securities Pakistan (Pvt.) Limited, highlighted that the market grappled with selling pressure throughout the trading session, resulting in the notable dip in the index.
One of the prominent sectors affected by this downward trend was cement stocks, primarily influenced by weak April sales figures. Despite witnessing two consecutive upper caps, profit-taking activities were observed in DAWH, leading to a significant 67-point decline in the sector’s performance and consequently contributing to the overall market drop of 159 points.
Amidst the market fluctuations, notable trading activities were witnessed in stocks such as KEL, HUMNL, and WTL. Particularly, KEL and WTL experienced positive momentum, with WTL registering an impressive gain of 17.97% following a company notice issued at the PSX.
However the KSE-100 Index saw auto stocks faced a decline ranging from 1% to 7%, largely attributed to sluggish April sales figures. The overall traded value for the day stood at 29.5 billion, marking a 13% decrease from the previous day’s value of 34.1 billion.
On a positive note, CPHL continued its upward trajectory driven by news of potential collaborations with Chinese partners for API manufacturing. Similarly, Searle also experienced momentum following announcements of a board meeting, indicating developments beyond financial results that captured investors’ interest.
The market sentiment remains cautious amidst the ongoing selling pressure, with investors closely monitoring various sectors for any signs of recovery or further declines. Analysts anticipate that market dynamics may continue to be influenced by both domestic and international factors, urging investors to remain vigilant and adapt their strategies accordingly in response to evolving market conditions.
As the week progresses, market participants are anticipated to closely analyze economic indicators and corporate developments to navigate through the current market volatility and capitalize on potential opportunities emerging in various sectors.
