The Pakistan Stock Exchange’s benchmark index lost over 1,000 points on Tuesday amid concerns over ‘rising leverage positions, which heightened risk perceptions.’
According to the PSX website, the KSE-100 index shed 1,509.61 points, a negative change of 1.33 per cent, to close at 112,414.81 points as compared to 113,924.42 points on the last trading day.
A total of 880,598,305 shares were traded during the day as compared to 857,834,976 shares the previous trading day, whereas the price of shares stood at Rs 54.455 billion against Rs. 50.549 billion on the last trading day.
As many as 456 companies transacted their shares in the stock market, 129 of them recorded gains and 288 sustained losses, whereas the share price of 39 companies remained unchanged.
“The KSE-100 Index exhibited significant volatility today, oscillating between highs and lows as market sentiment remained uncertain,” the Topline Securities said in a statement.
The firm added that the index climbed to an intraday high of 1,112 points early in the session, but later tumbled to an intraday low of 1,629 points due to profit-taking and bearish sentiment. By the close of trading, the benchmark index had shed 1,509 points, or 1.33%, settling at 112,414 levels.
“The market’s downturn was primarily driven by concerns over rising leverage positions, which heightened risk perceptions. This, combined with increasing borrowing costs, compelled investors to trim their portfolios,” it said.
Furthermore, the statement added the approaching last few days of December contract added additional pressure on market participants, resulting in cautious and selective trading behavior.
The three top trading companies were WorldCall Telecom with 127,408,831 shares at Rs1.78 per share, Fauji Foods Limited with 67,135,769 shares at Rs14.95 per share and Sui Gui South Gas with 33,559,500 shares at Rs46.09 per share.
Hoechst Pakistan Limited saw a maximum increase of Rs100.00 per share price, closing at Rs2,850.00, whereas the runner-up was Shahmurad Sugar Mills Limited with Rs31.29 rise in its per share price to Rs474.96.
Unilever Pakistan Foods Limited saw a maximum decrease of Rs99.99 per share closing at Rs21,000.01 followed by Nestle Pakistan Limited with Rs97.35 decline to close at Rs7,232.00.
