Stocks trim losses after ECC defers gas tariff rise
KARACHI: Stocks remained under pressure for the fourth successive day with the KSE-100 index retreating another 170.72 points (0.42 per cent) to close at a 30-session low of 40,684.05 points.
The market got off to a firm start as investors were lured by attractive valuations to reach an intraday high by 73 points but all hell broke loose and index hit intraday low of 486 points.
Market participants were spooked by the possible outcome of Economic Coordination Committee (ECC) meeting which was set to decide regarding gas allocation to fertiliser companies, import of urea and the hefty increase in gas tariff.
A bounce back was witnessed later in energy-intensive stocks after the meeting could not finalise a hike in gas tariffs but some were baffled by the decision. Others also noted with concern the indecisiveness in preparing a road map to handle critical issues such as the drawdown on foreign exchange reserves and the burgeoning circular debt.