KARACHI: Depressed investors continued selling their shares for the second consecutive session of the current week amid growing political uncertainties about upcoming general elections as a result the benchmark KSE-100 index settled below the 64,000-point level on Tuesday.

Topline Securities Ltd said investors indulged in profit-taking from the start of the session as a result the index plunged 871.43 points to hit an intraday low at 63,397.97. However, late buying at dips helped the index to recover some losses.

Negativity loomed after the PSX’s Voluntary Delisting Committee on Monday set Pak Suzuki Motor Company Ltd’s buy-back price at Rs609 per share, disappointing market expectations that had anticipated a significantly higher valuation. Right from the market’s opening, Pak Suzuki was constrained by the lower lock, witnessing only 11,989 shares traded throughout the day.

Profit booking manifested in the exploration and production sector, leading to Pakistan Petroleum Ltd (-4.14%) and OGDC (-2.97%) closing in the red trajectory, reversing gains made in the preceding week.

Ahsan Mehanti of Arif Habib Corporation said modest LSM growth of 1.59pc year-on-year in November 2023, weak rupee and political noise weighed down investor sentiments.

Furthermore, geo-political uncertainty and concerns for power and gas sector circular debt reaching over Rs5.73 trillion played a catalyst role in the bearish close.

The KSE-100 index closed at 63,737.46 points after losing 531.91 points or 0.83 per cent from the preceding session.

The overall trading volume, however, rose by 6.68pc to 407.54 million shares. The traded value dipped 10.16pc to Rs12.64bn on a day-on-day basis.

Stocks contributing significantly to the traded volume included K-Electric Ltd (50.78m shares), Pakistan Telecommuni­cation Company Ltd (48.56m shares), Worldcall Telecom Ltd (32.11m shares), Pakistan Internatio­nal Air­lines Corporation Ltd (31.34m shares) and Pakistan International Bulk Terminal Ltd (16.19m shares).

Companies registering the biggest decreases in their share prices in absolute terms were Rafhan Maize (Rs197.50), Pakistan Services Ltd (Rs68.00), Pak Suzuki Motor Company Ltd (Rs58.10), Ibrahim Fibres Ltd (Rs16.00) and Exide Pakistan Ltd (Rs11.46).

Shares registering the biggest increases in their share prices in absolute terms were Nestle Pakistan (Rs200.00), Philip Morris (Rs47.67), Mari Petroleum Ltd (Rs16.04), Shield Cor­poration (Rs9.46), Pak­istan Hotels Develo­pers Ltd (Rs9.24).

Foreign investors continued cherry-picking as their net buying stood at $0.20m.

Published in Dawn, January 17th, 2024