Pakistan Stocks Shed 466 Points Amid Profit-Taking

Pakistan Stocks Shed 466 Points Amid Profit-Taking

( – The Pakistan Stocks experienced a notable decline on Monday as the benchmark KSE-100 index dropped by 466 points, driven primarily by profit-taking activities.

The KSE-100 index of Pakistan Stock Exchange (PSX) closed at 75,517 points, down from last Friday’s closing of 75,983 points, marking a 0.61% decrease.

Analysts at Topline Securities Limited reported that the Pakistan stocks began the week with the KSE-100 index hovering around the psychological threshold of 76,000 points. Despite an intraday high of 76,188 points—a gain of 204 points—the market could not sustain its momentum and eventually settled below the 76,000 mark due to profit-taking.

The day’s trading saw investors trimming their positions as they approached the 76,000 level, a strategic move that led to the market’s retreat. The sentiment was influenced by budgetary concerns and mixed signals from the International Monetary Fund (IMF), which contributed to a lackluster trading environment.

Key sectors such as Fertilizers, Banks, and Exploration & Production (E&P) had a negative impact on the index. Notably, stocks of Fauji Fertilizer Company (FFC), MCB Bank (MCB), Pakistan Petroleum Limited (PPL), Oil and Gas Development Company (OGDC), and Bank Alfalah (BAFL) collectively contributed to a 251-point drop. Conversely, some buying interest was observed in Faysal Bank (FABL), Habib Bank Limited (HBL), and Systems Limited (SYS), which together added 93 points to the index.

Despite the downturn, the trading volume remained robust, with over 445 million shares changing hands, amounting to a total value of Rs 16.4 billion. HASCOL Petroleum led the volume chart, with more than 14.7 million shares traded.

Market analysts suggest that the current trend of profit-taking might continue in the short term as investors remain cautious amid economic uncertainties. However, the resilience in specific stocks indicates selective buying, which could stabilize the market in the coming days. The overall outlook remains dependent on forthcoming economic policies and international financial developments, which will be crucial in shaping the market’s future direction.