Karachi, March 6, 2024 – Pakistan equities took a brief downturn on Wednesday, shedding 69 points in a session marked by profit-taking activities.
The benchmark KSE-100 index of the Pakistan Stock Exchange (PSX) concluded the day at 65,657 points, slightly lower than the previous day’s closing at 65,726 points. Analysts at Topline Securities Limited noted that the day began positively, with the KSE-100 index reaching an intraday high at 66,151 points, representing a gain of 425 points or 0.65 percent during earlier trading hours.
The initial surge in the market was attributed to positive sentiments stemming from the government’s focus on the economy. Reports indicated that Prime Minister Imran Khan directed the finance ministry to engage in talks with the International Monetary Fund (IMF) concerning the current Stand-By Arrangement (SBA) program. This move is expected to unlock the last tranche of USD 1.2 billion and pave the way for a new program worth approximately USD 6-8 billion.
However, as the market approached the 66,000 level, investors opted to capitalize on profits, leading to a reversal in the benchmark index’s earlier gains. The day concluded with the KSE-100 index at 65,657 points, marking a decline of 69 points or 0.11 percent.
Several sectors played a role in influencing the index during the trading session. FMCG (Fast-Moving Consumer Goods), Banks, OMC (Oil Marketing Companies), Fertilizer, and Power sectors contributed positively to the index. Notable contributors included NESTLE, MCB, PSO, DAWH, and HUBC, collectively adding 120 points. On the other side of the spectrum, ENGRO, MARI, and TRG experienced some selling pressure, resulting in a combined loss of 114 points.
Trading activity remained robust, with almost 420 million shares changing hands during the session. The total traded value landed at Rs18.2 billion. CNERGY led the volumes chart with the trading of over 30.6 million shares.
Despite the minor dip in the index, market observers remain vigilant about the dynamic nature of the stock market. The ongoing talks with the IMF and the potential infusion of funds are expected to influence market sentiments in the coming days. Investors are advised to stay informed and responsive to market developments as Pakistan’s equities continue to navigate fluctuations in the financial landscape.
