KARACHI: The stock market extended decline on Friday with a sharp fall of 280.41 points or 1pc in the KSE-100 index which closed at 29,069.93.

The market started out on a strong note as the index climbed by 228 points on the news of ECC slapping 5pc duty on cotton yarn import to support the the domestic textile industry. It generated investor interest in NML and NCL.

Yet, the trading at the bourse remained sluggish with volumes down 46pc to 270m shares. Later in the day, the index turned south. Most analysts observed a slowdown in foreign portfolio inflows due to Easter holidays in global markets. Foreign buying on Friday stood at $0.68m.

The trouble was exacerbated by all-round institutional selling, which, however, was countered by heavy buying by individuals in the sum of $7.74m.

Banking sector saw brisk activity contributing highest volume of 61m shares, though the banking stocks witnessed profit-taking with major hit to NBP which closed at the ‘lower circuit’.

Oil sector also witnessed selling pressure. Fall in sto­ck prices of heavyweight MCB Bank and OGDC accounted for 85 points in the index decline. Engro and SSGC came in limelight after the government’s approval of LNG import policy and terminal.

Over the week, the KSE-100 index stood down by 179 points or 0.61pc. The average traded volumes increased by 18pc WoW to clock in at 368m shares.

In the last four days of the week, foreign investors bought stocks worth $6.82m. Samar Iqbal, stock strategist at Topline Securities commented that the market consolidated during the week after strong gains of 3pc the earlier week.

Engro Fertiliser rallied 6pc WoW after government’s commitment for uninterrupted gas supply for next two months.