KARACHI: Share prices dropped sharply on Monday as investors worried about unending political turmoil in the country.

Arif Habib Ltd said the benchmark index traded higher than the preceding close in the initial phase of trading. But a lack of participation from investors and requests for selling shares for cash caused the index to drop 632.29 points on an intraday basis before closing in the red.

The impasse continued on the political front as the government and the opposition failed to reach any agreement on the date of next general elections.

Volumes in main stocks remained dry as a result of political noise while third-tier companies continued to lead volumes.

As a result, the KSE-100 index settled at 41,612.67 points, down 537.43 points or 1.28 per cent from the preceding session.

The trading volume decreased 11.8pc to 126.3 million shares while the traded value went down 36.4pc to $14.5m on a day-on-day basis.

Stocks contributing significantly to the traded volume included WorldCall Telecom Ltd (9.8m shares), Fauji Cement Ltd (9.4m shares), Hascol Petroleum Ltd (8m shares), K-Electric Ltd (6.8m shares) and D.S. Industries Ltd (6.3m shares).

Sectors that contributed negatively to the index performance were cement (127.1 points), technology and communication (89 points), commercial banking (76.2 points), fertiliser (50.6 points), exploration and production (42.4 points).

Companies registering the biggest increase in their share prices in absolute terms were Pakistan Services Ltd (Rs64.57), Reliance Cotton Spinning Mills Ltd (Rs40), Gatron Industries Ltd (Rs23.77), Siemens Pakistan Engineering Ltd (Rs16.99) and Pakistan Tobacco Company Ltd (Rs15).

Companies that recorded the biggest declines in their share prices in absolute terms were Premium Textile Mills Ltd (Rs35.11), JDW Sugar Mills Ltd (Rs27.72), Shield Corporation Ltd (Rs23.88), Millat Tractors Ltd (Rs18.87) and Colgate-Palmolive Pakistan Ltd (Rs17.56).

Foreign investors were net buyers as they purchased shares worth $0.04m.

Published in Dawn, December 6th, 2022