KARACHI, June 27: The share market on Tuesday again fell on a broad front as leading investors are still in the process of digesting negative fallout of the Supreme Court verdict on the Pakistan Steel sell-off and settlement worries associated with the liquidation of matured forward June settlements. The absence of institutional support at the dips seems to have further aggravated the situation.

Opinions are divided over the future direction of shares but some leading analysts predict that the barrier of 9,000 points may not be breached, as it could well prove a resistance level against further slide in an oversold market.

The KSE 100-share index suffered another massive decline of 363.08 points or 3.86 per cent on renewed selling in leading base shares, as negative news continued to inspire fresh selling from all and sundry but no matching support from any quarter owing perhaps to year-end considerations, wiping out Rs96.063bn from the market capital at Rs2,544.951bn.

During the last two sessions, it has lost 765.91 points or about eight per cent, which is a massive loss both in terms of market capital and erosion of share values, and small investors are said to be at the receiving end, having lost billion of rupees since the current sell-off dominated the trading.

Overvalued shares, notably OGDC, National Bank, MCB, Pakistan Petroleum, Pakistan Oilfields and PTCL, the index heavy weights which hold about 60 per cent weightage in the index, were again targeted and ended with lower locks.

“If the six big are down the market is down, and if they are up the market is up,” stock analyst Faisal Abbas said. “That limits the role of the broader market to play a role of market stabiliser.”

That is perhaps why the entire market is easily exploited by leading bulls and bears whenever they choose, making some negative news an excuse, he added. However, the current sell-off seems to have extended itself beyond its mandate and the absence of financial appears to be a bit confusing at the closing stage of old fiscal account.

The annulment of the Pakistan Steel sell-off by the Supreme Court seems to have opened the floodgate of rumours and vested interests are exploiting the market to their maximum advantage, says a leading analyst while commenting on the current volatility of the market and flight of the capital from the share market to other profitable avenues.

But some others said the current week was a rollover week for the matured June settlements and fears of some clearing problems or rumours about them could keep the market unstable until the phenomenon was over.

The broader market stayed terribly weak, as general investors who have stake on other counters also tried to get out of the market after having unloaded in part their stock holding fearing further decline in share values.

Some of the leading shares which are known for shortage of their floating stock again rose under the lead of Unilever Pakistan and Rafhan Maize, up Rs10 and Rs11, respectively, followed by Arif Hbaib Securities, Shaheen Insurance, Pakistan Engineering, Gatron Industries and Dawood Hercules, which finished with gains ranging from Rs3.40 to Rs7.

IGI Insurance and Nestle Pakistan were leading among the losers, off by Rs18 and Rs50. Other prominent losers included MCB, National Bank, National Refinery, Pakistan Petroleum, Millat Tractors, Pak-Suzuki Motors, Treet Corporation and Packages, off by Rs9.55 to Rs12.

Trading volume was maintained at the overnight level of 151m shares, as losers maintained a strong lead over gainers at 252 to 49, with 24 shares holding on to the last levels.

OGDC again topped the list of most actives, sharply lower by Rs6.70 at Rs119.70 on 23m shares, followed by TRG Pakistan, steady by five paisa at Rs10.10 on 14m shares, National Bank, off Rs9.90 at Rs188.25 on 11m shares, MCB, lower by Rs9.55 at Rs181.75 also on 11m shares, Pakistan Petroleum, off Rs9.60 at Rs183.05 on 9m shares, and Pakistan Oilfields, easy by Rs15.65 on at Rs298.00 on 6m shares.

Other actives were led by PTCL, off Rs1.90 on 7m shares followed by Fauji Cement, lower 65 paisa on 6m shares, DG Khan Cement, off Rs4.25 also on 6m shares, and Pak PTA, easy 15 paisa on 5m shares.

FORWARD COUNTER: OGDC also remained under pressure on the forward counter and fell further lower by Rs6.31 at Rs120.04 on 5m shares, followed by National Bank, lower Rs9.92 at Rs188.63 on 4m shares, and OGDC July contract, off Rs6.36 at Rs120.99 on 3m shares.