KARACHI: The stock market came under pressure on Wednesday as investors expected the upcoming national budget will have an adverse impact on the investment outlook.
According to Arif Habib Ltd, the benchmark took a plunge also because of selling pressure emanating from across-the-board concerns over rising inflation.
Topline Securities said expectations of a higher consumer price index coupled with the withdrawal of fuel and energy subsidies in the next budget caused the lacklustre performance on the bourse.
As a result, the KSE-100 index settled at 42,756.04 points, down 322.1 points or 0.75 per cent from a day ago.
The trading volume decreased 31.9pc to 194.4 million shares while the traded value went down 27.6pc to $27m on a day-on-day basis.
Stocks contributing significantly to the traded volume included Silkbank Ltd (24.62m shares), Unity Foods Ltd (14.1m shares), Ghani Global Holdings Ltd (13.5m shares), Pakistan Refinery Ltd (10.2m shares) and Fauji Foods Ltd (10.2m shares).
Sectors that took away the highest number of points from the benchmark index included power generation and distribution (67.8 points), commercial banking (65.7 points), cement (55.21 points), technology and communication (41.14 points) and oil and gas exploration (32.42 points).
Shares contributing most negatively to the index included the Hub Power Company Ltd (60.68 points), United Bank Ltd (35.84 points), Fauji Fertiliser Company Ltd (26.4 points), Habib Bank Ltd (25.46 points) and Systems Ltd (24.05 points).
Stocks that contributed most positively to the index included Engro Fertilisers Ltd (40.66 points), Mari Petroleum Company Ltd (24.23 points), Millat Tractors Ltd (17.36 points), Abbott Laboratories Pakistan Ltd (16.46 points) and Colgate-Palmolive Pakistan Ltd (8.06 points).
Stocks that registered the largest declines in percentage terms were Pak-Gulf Leasing Company Ltd (11.33pc), the Hub Power Company Ltd (3.7pc), D.G. Khan Cement Company Ltd (3.38pc), Thal Ltd (3.34pc) and Pak Elektron Ltd (2.86pc).
Foreign sellers were net sellers as they offloaded shares worth $2.19m.
Published in Dawn, June 2nd, 2022
