KARACHI: After scaling a historic peak the previous day, the stock market on Thursday came under selling pressure as investors indulged in profit-taking, dragging the index below the 72,000 level.
Ahsan Mehanti of Arif Habib Corporation said institutional profit-taking in selected overbought scrips and adjustments in the earning season stalled the overnight rally.
He added that the weak rupee and structural reforms for the new IMF programme are likely to withdraw subsidies in the energy, fertiliser, and gas sectors, and expectations over the status quo in the SBP policy announcement next week depressed market sentiments.
According to Topline Securities Ltd, sectors such as oil and gas exploration, auto, banking, cement, and fertiliser contributed to the index’s decline, with companies like Millat Tractors Ltd, Pakistan Oilfield Ltd, Lucky Cement, Faysal Bank Ltd, and Engro Corporation wiped out 206 points.
Conversely, United Bank Ltd, Oil and Gas Development Company, and Engro Fertilisers collectively contributed 167 points.
As a result, the index hit an intraday high of 72,593.25, with a 541.36-point gain and a low of 71,700.54, shedding 351.36 points. However, it closed at 71,971.40 points after losing 80.49 points, or 0.11pc, from the preceding session.
The overall trading volume surged 33.22pc to 798.52 million shares. The traded value also rose 12.60pc to Rs27.54bn on a day-on-day basis.
Stocks contributing significantly to the traded volume included K-Electric Ltd (119.64m shares), WorldCall Telecom (79.95m shares), Unity Foods Ltd (44.27m shares), Pak International Bulk Terminal (33.57m shares) and Fauji Foods Ltd (30.12m shares).
The companies registering the major increases in their share prices in absolute terms were Hallmark Company Ltd (Rs74.31), Mari Petroleum Company Ltd (Rs28.33), Honda Atlas Cars (Pakistan) Ltd (Rs20.92), Abbott Laboratories Ltd (Rs19.81) and Thal Ltd Rs18.20.
The shares registering the most significant decreases in their share prices in absolute terms were Unilever Pakistan Foods Ltd (Rs372.99), Sapphire Textile Mills Ltd (Rs79.34), Pakistan Services Ltd (Rs65.42), Bata Pakistan (Rs51.62) and Pakistan Tobacco Company Ltd (Rs51.47).
Foreign investors turned net buyers as they picked shares worth $0.40m.
Published in Dawn, April 26th, 2024
