KARACHI: The stock market fell flat in the last fifteen minutes of the day’s trading and wound up in the red by 6.63 points (-0.02 per cent) at 34,401.

It took off to a positive start extending the previous gains with the cherry-picking in several sectors that sent the index up by intraday high of 250 points.

Investors were encouraged also by the rise in global markets and the early rise in international oil prices, despite the pandemic sweeping through many countries. It was towards the end that the index succumbed to profit-taking and conceded all of the gains.

Traders thought that the market remained positive throughout the day on a virtual end to the lockdown that was thought to help resume industrial activities as the transport sector was also let off the hook. How­ever, federal budget 2020-21 due on June 12 forced investors to remain cautious.

Foreigners sold equities worth $1.46 million while local buying and selling was thinly spread among participants with mutual funds taking the lead in picking up stocks worth $2.07m. The volume declined 42pc over the earlier day to 130m shares while traded value also pulled back by 21pc to reach $41.5m

Fertiliser shares fell in the absence of a decision by the government for granting subsidy on fertiliser products. Pharmaceuticals remained red throughout the session.

Exploration and production shares benefited slightly from an increase in international crude prices ahead of the OPEC+ meeting. Oil and Gas Development Company and Pakistan Petroleum closed in the green, though they retreated considerably from early day rise. Banks remained mixed with investors switching to undervalued stocks.

Participants remained in profit-taking mode in cement for the third day with DG Khan, Lucky, Maple Leaf and Cherat pressed by heavy selling.

Scrips that dragged the index down in the final hour included Engro Corporation, lower by 1pc, Fauji Fertiliser 0.2pc, Habib Bank 1.1pc, Lucky Cement 0.6pc, Dawood Hercules 1.5pc and Engro Fertiliser 0.7pc.

Published in Dawn, June 4th, 2020