KSE-100 down 0.21pc amid profit-taking, rising Iran tensions

KARACHI: The Pakistan stock market ended the Thursday session on a negative note, despite gaining the KSE-100 Index 2,365 points at one point, weighed down by cautious investor sentiment and profit-taking activity, analysts said. 

The benchmark KSE-100 Index moved within range had touched 126,718.28 by 11:45am, but later lost the momentum and recorded a low of 123,846.55. However, the market settled at 124,093 — down 260 points or 0.21 per cent.

During the session, initial momentum was fuelled by investor optimism over a favourable budget for the next fiscal year. But the benchmark index eventually shed points as investors opted for profit-taking and concerns over rising global geopolitical risks weighed on sentiment, Ismail Iqbal Securities says.

Read more: Iran defies US, says already built new nuclear enrichment site

The United States is evacuating non-essential staff from Iraq, after Iran issued a warning that it would attack US interests.

“After reaching a record high of 126,718 points, the benchmark index came under pressure due to profit-taking and rising geopolitical tensions between Iran and Israel.” Shaheryar Butt, CEO at Darson Securities said.

The index eventually closed in the red, as investors opted for caution amid uncertainty, he added.

Downward pressure was largely attributed to declines in ENGROH, FFC, PPL, OGDC, and BAFL, which collectively eroded 401 points from the index. In contrast, support came from PKGP, UBL, BAHL, LUCK, and DGKC, which together added 347 points.

Despite the modest decline, market activity remained robust. Total trading volume stood at 1.017 billion shares, with a total traded value of Rs50 billion. SSGC emerged as the volume leader, with 55 million shares changing hands.

In the previous session, the market had closed on a positive note, marking a new all-time high, breaking the psychological barrier in a post-budget session.

Stocks had gained 2,328.24 points or (1.91 per cent), closing at 124,352.68.