Karachi, December 18, 2024 – The benchmark KSE-100 index of the Pakistan Stock Exchange (PSX) experienced a significant decline on Wednesday, closing at 111,070 points. This represented a drop of 3,790 points, or 3.3%, from the previous day’s closing of 114,860 points, marking a major setback for the index.
According to analysts at Topline Securities Limited, the KSE-100 index saw a substantial fall, ending the session at 111,070 points, which reflected a decrease of 3,790 points, or 3.30%. This decline was attributed to several factors, with the most notable being a shift in market behavior. Local mutual funds, which had been net buyers for the past fourteen consecutive trading sessions, reversed their trend and became net sellers during the session. This shift in investor sentiment continued into today’s trading as well, contributing to the downward pressure on the market.
The primary drivers behind the fall in the KSE-100 were key stocks such as MARI, FFC, HUBC, PPL, and MEBL. These companies collectively accounted for a significant portion of the index’s overall decline, contributing a total of 1,731 points to the negative movement. These stocks, which represent critical sectors of Pakistan’s economy, experienced notable sell-offs, exacerbating the market downturn.
Despite the overall negative trend, trading activity remained robust, with a total volume of 1,107 million shares traded and a turnover of Rs 60 billion. WTL led the volume charts, with 139 million shares changing hands during the session. This high level of trading activity indicates that while the market was experiencing a decline, investor participation remained significant.
The sharp drop in the KSE-100 index highlights the volatility in the market, as investors continue to react to both domestic and global economic factors. As the index closed at 111,070 points, market participants are keenly watching for any potential recovery or further downside in the coming sessions, with attention likely focused on the behavior of local mutual funds and key market drivers.