Lack of triggers pulls index down by 193 points
KARACHI: Bears continued to prowl the stock market for the second day, pummelling shares and sending worried investors scurrying to seek the safety of risk-free fixed income securities. The KSE-100 index fell 193.36 points (0.50 per cent) and closed at 38,115.81.
The market was shrouded in a thick blanket of gloom that drove away even value hunters who saw no glimmer of hope. Lack of triggers; the perception of possible delays in negotiations with the IMF, which many thought could continue beyond Christmas holidays just at the staff level; and no projection of plan to overcome the balance of payment problems and dwindling reserves, investors saw investor sentiments sink to new lows.
Some big brokerage house reports offered dire prognosis of a dull market extending to the end of 2019. To add to it all, State Bank data showed 35pc decline in foreign direct investment.
After opening on a deceptive positive note, the index could just make to intraday high by 14 points before it succumbed to selling pressure. Traders tracked the international markets that were mostly on the slippery slope, as global oil prices dipped to one-year low.