Karachi, March 29, 2024 – The Pakistan stock market witnessed a slight downturn on Friday, with the benchmark KSE-100 index shedding 137 points in a range-bound trading session.
Despite the dip, the market maintained its resilience, exhibiting signs of stability after reaching its highest-ever closing in the previous session.
Closing at 67,005 points, the KSE-100 index retreated from its previous day’s record-high close of 67,142 points. Analysts at Topline Securities Limited observed a range-bound trading pattern throughout the day, with the index oscillating between an intraday high of 166 points and an intraday low of -320 points before settling at its final level, marking a marginal decline of -0.2 percent.
The market dynamics were characterized by both positive and negative contributions from key stocks. Major positive contributions to the index were made by MEBL, ENGRO, MCB, PAKT, and COLG, collectively adding 515 points. Conversely, stocks such as FFC, BAFL, OGDC, TRG, and HUBC experienced losses, exerting downward pressure on the index by -451 points.
Trade volume for the day amounted to 313 million shares, with a total traded value of Rs 9.9 billion. PIAA emerged as the volume leader of the day, with 39 million shares traded.
Reflecting on the performance of the Pakistan Stock Exchange (PSX) during the outgoing week, the KSE 100 Index registered a gain of 3.76 percent on a Month-on-Month (MoM) basis. This positive trend was attributed to foreign corporate buying, with a net purchase of $19.37 million recorded as of the previous day’s close, as well as increased investment in the insurance sector, which saw a net purchase of $30.83 million.
Key developments during the week included the State Bank of Pakistan (SBP) maintaining the policy rate unchanged at 22% in its monetary policy announcement. Additionally, the current account for February posted a surplus of $128 million, a notable improvement from the deficit of $303 million recorded in January. Remittances for February amounted to US$2.25 billion, representing a 6% decrease from the previous month but an 18% increase year-on-year.
Average daily traded volume and value for the week stood at 347 million shares and Rs. 12.7 billion, respectively, underscoring the market’s resilience and investor confidence amidst evolving economic dynamics.
Despite the slight downturn witnessed on Friday, the Pakistan stock market remains buoyed by positive macroeconomic indicators and investor sentiment. Continued policy stability, favorable monetary conditions, and robust performance in key sectors are expected to sustain the upward trajectory of the market in the coming sessions.
