Pakistan Stocks Slide 291 Points in Jittery Session

Pakistan Stocks Slide 291 Points in Jittery Session

Karachi, June 25, 2024 – The Pakistan stocks on Tuesday ended down by 291 points in a volatile trading session during the day. The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 77,941 points, down from the previous day’s closing of 78,232 points.

Market experts attributed the jittery trading at Pakistan stocks to investor anxiety as the fiscal year 2023-24 draws to a close on June 30, 2024. Uncertainty surrounding potential taxation measures also added to the market’s unease.

Analysts at Topline Securities observed that Pakistan stocks had a mixed performance throughout the day. The KSE-100 index reached an intraday high of 78,541 points, gaining 309 points, and an intraday low of 77,909 points, dropping 323 points, before finally settling at 77,941 points, marking a loss of 292 points or 0.37%.

Despite the overall decline, certain sectors showed resilience and contributed positively to the Pakistan stocks. The Fertilizer, Foods, Cement, and Exploration & Production (E&P) sectors provided some support, with notable contributions from companies such as ENGRO, UNITY, FATIMA, LUCK, and POL, collectively adding 129 points to the index. However, these gains were offset by losses in other sectors, with MCB, OGDC, and HUBC collectively dragging the index down by 164 points.

The trading volume was robust at Pakistan stocks, with over 291 million shares exchanged at the bourse, amounting to a total value of Rs 11.4 billion. Among the active stocks, PASL led the volumes chart, with more than 26 million shares traded.

The decline in the KSE-100 index reflects a broader sentiment of caution among investors. As the end of the fiscal year approaches, market participants are closely monitoring economic indicators and government policies that could impact the financial landscape. The ambiguity regarding new taxation measures is a particular point of concern, as it could affect corporate earnings and investor confidence.

Despite the day’s downturn, analysts suggest that the market could stabilize once there is greater clarity on fiscal policies. Investors are advised to stay vigilant and consider the potential impacts of upcoming regulatory changes on their portfolios.

As the Pakistan stocks navigates through this period of uncertainty, the focus remains on how the fiscal year will close and what measures the government will implement to address economic challenges. The performance of key sectors and the reaction of investors to new policies will be crucial in shaping the market’s direction in the coming weeks.