KARACHI: Fears of lockdown return shook up investor confidence on Tuesday as the benchmark KSE 100-share index lost 389.90 points, or 0.85 per cent, to close at 45,292.87.

After opening in the green, the market witnessed a profit-taking spree in the midday following better than expected corporate earning announcements which took the index to hit intraday low at 45,170.

Topline Securities Ltd in its report said fears of Covid-related lockdown came to haunt the market again as the Sindh government decided to ban inter-city transport and close educational institutions while the ongoing futures roll-over week added extra pressure.

The major laggards were OGDC, PPL, Engro, POL and PSO that cumulatively dented the benchmark index by 261 points.

Sectors contributing to the performance include E&P (182 points), fertiliser (58 points), O&GMCs (50 points), cement (45 points) and power (34 points).

The earnings season continued in full swing with POL announcing 3QFY21 EPS of Rs10.3 while OGDC announced 3QFY21 EPS of Rs5.61 after which both stocks succumbed to selling pressure and closed the day down 3.83pc and 4.79pc respectively. Moreover, Unity Foods announced a better than expected 3QFY21 EPS of Rs1.24 and the stock closed with a gain of 1.94pc at Rs32.12. Adamjee Insurance also announced better than expected 1QCY21 earnings and the stock closed the day up 7.73pc.

Arif Habib Ltd noted in its daily market report that the excitement observed on Monday withered away when the benchmark index saw a decline of 513 points during the session and settled down losing 390 points.

Investor sentiment remained at a low ebb throughout the session with persistent selling in O&GMCs, E&P, cement and steel sectors. Among tech stocks, TRG closed below LDCP whereas Netsol hit upper circuit.

The trading volume declined 10pc to to 366.8m shares from 409m shares the previous day. The traded value also declined by 28pc to $112.1m as against $ 155.1m.

Telecard, Unity Foods,, Flying Cement, TRG and Azgard Nine contributed 41pc to the total turnover.

Stocks that contributed positively to the index include National Refinery (14 points), Dawood Hercules (14 points), Habib Bank (12 points), Adamjee Insurance (11 points) and ICI (11 points).

Published in Dawn, April 28th, 2021