Stock market plunges by 1299 points on increase in corona case

KARACHI: The stock market plunged by 1299 points on Thursday due to several reasons, including rise in coronavirus cases.

The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 39,888 points as against 41,187 points showing a decline of 1299 points.

Analysts at Arif Habib Limited said that increasing incidence of corona cases, partial lockdown in Pakistan, Lockdowns in European countries, end of roll-over week, Eend of result season, global sell-off in stocks as well as commodities markets were enough for the market to lose 1911 points during the session.

KSE-30 touched 5 percent prior to the maximum time limit of 2:30 and reversed in time to avoid market halt.

Selling pressure was evident across the board with heavy selling in E&P and Banking sector stocks, which saw respective price levels near and at lower circuits. Among scrips, UNITY topped the volumes with 60.5 million shares, followed by MLCF (39.1 million) and PIBTL (38.6 million).

Sectors contributing to the performance include Banks (-256 points), E&P (-195 points), Fertilizer (-126 points), Cement (-102 points) and O&GMCs (-100 points).

Volumes increased from 368.5 million shares to 541.8 million shares (+47 percent DoD).

Average traded value also increased by 34 percent to reach US$ 126.9 million as against US$ 94.5 million.

Stocks that contributed significantly to the volumes include UNITY, MLCF, PIBTL, HASCOL and FCCL, which formed 37 percent of total volumes.

Stocks that contributed positively to the index include PAKT (+12 points), ICI (0 points), SCBPL (+0 points), MUREB (+0 points) and ATLH (+0 points). Stocks that contributed negatively include PPL (-67 points), ENGRO (-66 points), POL (-65 points), HBL (-58 points) and HUBC (-57 points).

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