Karachi, May 2, 2024 – In a notably bearish session on Thursday, the KSE-100 Index at the Pakistan Stock Exchange (PSX) closed with a significant drop of 445 points, finishing the trading day at 70,658 points, down from the previous session’s close of 71,103 points.
Analysts from Topline Securities Limited reported that the index faced a downward trajectory, closing lower by 0.63 percent. The day’s trading saw the KSE-100 index oscillating between an intraday high of 71,293 points and a low of 70,562 points, reflecting a volatile trading environment.
Several key sectors played pivotal roles in the index’s decline, with Technology and Fertilizer sectors witnessing substantial downturns. Major companies within these sectors such as TRG Pakistan, Fauji Fertilizer Company (FFC), Engro Fertilizers (EFERT), Engro Corporation (ENGRO), and Systems Limited (SYS) were among the biggest losers, collectively contributing to a 248-point drop in the index.
Conversely, there were some sectors that bucked the overall negative trend. Contributions from Banking, Oil, and Power sectors provided some relief against the bearish pressure. Notably, Bank Alfalah (BAFL), Pakistan Petroleum Limited (PPL), and Ittehad Chemicals (ILP) together added back 103 points to the index, partially offsetting the broader market losses.
The trading volume for the day was notably high, with more than 436 million shares changing hands, reflecting an active session with a total trading value of Rs 19 billion. Karachi Electric (KEL) emerged as the volume leader, with over 30 million shares traded, suggesting significant investor focus on the power sector amidst the market downturn.
The bearish sentiment in the market can be attributed to various macroeconomic pressures and sector-specific dynamics. Analysts are closely monitoring the economic indicators and corporate earnings reports, which are influencing investor behavior.
Market participants remain cautious amid ongoing economic uncertainty, and the fluctuations in key sectors are expected to play a critical role in defining market trends in the coming days. Investors are advised to stay informed and consider broader market trends as they navigate through these volatile trading conditions.
