Stocks lose 152 points in directionless trade
KARACHI: The stock market remained directionless on the last day of the year 2019 with the KSE-100 index closing down by 152.55 points (0.37 per cent) at 40,735.08 after trading in a narrow band between the intraday high and low of 110 and 119 points.
The market mimicked the performance of a day earlier, moving at a slow pace and major sectors, banks, cement and exploration and production taking much of the selling pressure.
Investor activity was low as the volume and value of shares traded stood down from the previous day. Among participants, banks sold stocks worth $2.96 million to book profit that would have a positive impact on their bottom lines for the quarter ended Dec 31. Foreigners also sold shares of $2.51m as they rebalanced portfolio for the upcoming year.
While both politics and economy displayed no fireworks, stocks in some of the sectors remained bearish on concerns of dented earnings outlook. Analyst Ahsan Mehanti said that shares closed bearish in view of year-end and institutional profit-taking amid dismal earnings outlook.
Possibility of higher inflation for Dec’19 and foreign outflows played a catalyst role.