KARACHI: The rally witnessed a day earlier at the stock market proved short-lived as the benchmark KSE-100 index closed slightly down by 76.26 points (0.18 per cent) at 42.546.48 on Wednesday.

The Pakistan Stock Exchange moved in sync with most global markets which were under selling pressure. Trading at the local bourse kicked off positive which carried the index to intraday high by 151 points. But the market could not maintain the upward momentum in the face of profit-taking in heavyweights banking and cement sectors.

Worried over the resumption of foreign selling, local institutions and individuals decided to follow suit, dragging the index by noon to intraday low of 285 points. At the close of trading, figures provided by the National Clearing Company of Pakistan showed net sale worth $4.67 million by foreign investors, adding to the massive outflow of over $55m month-to-date.

It poured cold water over the investors’ sentiments which were buoyed by the foreigners’ net buying of $3.54m worth stocks a day earlier. Local institutions summoned courage and started to pick up value scrips at attractive levels in the last hour which reversed much of the day’s index decline.

Financial sector was the worst performer with Habib Bank and MCB Bank cumulatively denting the index by over 100 points. Cement also closed mostly lower with Lucky Cement taking away 25 points from the benchmark.

On the other hand, steel provided support to the market where Amreli Steels, Mughal Steels and Ittefaq Iron Industries closed near their upper limits as reports of possible increase in rebar prices did the rounds.

Scrip-wise gainers included Pakistan Oilfields, higher by 45 points, International Steels 17 points, Dawood Hercules 14 points, Thal Ltd 13 points and TRG Pakistan 13 points while laggards were Habib Bank, lower by 69 points, MCB 33 points, Lucky Cement 25 points, Engro Corporation 19 points and Pakistan International Bulk Terminal 17 points.

Published in Dawn, May 31st, 2018