PSX closes lower amid range-bound trade as selling pressure weighs on market

By Syed Raza Hassan

KARACHI: The Pakistan Stock Exchange (PSX) experienced a range-bound session on Tuesday, falling 409.03 points, or 0.43 per cent, to close at 112,253.76. The benchmark index fluctuated between a high of 583 points and a low of 598 points.

The benchmark KSE-100 index ended on a negative note, gradually losing points throughout the session as selling pressure persisted, keeping market sentiment subdued, according to a note from Ismail Iqbal Securities.

“The market opened on a positive note, but shortly after we saw selling and profit-taking, leading to a 0.43 per cent decline, closing at 112,253.76,” Shaheryar Butt, CEO of Darson Securities, told HUM News English.

Investor sentiment remained mixed due to the ongoing Ramadan period, according to a note from Topline Securities.

Intraday trade: PKR remains largely stable against USD

The upward movement was mainly driven by ENGROH, TGL, PIBTL, and NESTLE, which together contributed 155 points to the index. On the other hand, EFERT, FFC, and PSO collectively pulled the index down by 181 points.

“The decline in oil prices, which hit a six-month low, along with higher diesel imports, impacted energy sector companies. Profit-taking led to a drop, with the index reaching an intraday low of 597.70 points,” said a note from Al Habib Capital.

Trading volumes increased to 152 million shares on Tuesday, compared to 101 million shares in the previous session.

Market activity saw a total of 262 million shares traded, generating a turnover of Rs13 billion. PIBTL led the volume charts with 53 million shares traded.

Commercial banks, fertilizer, and oil and gas exploration companies were the major laggards in Tuesday’s session, collectively shedding 364 points from the index.

In the previous session, bulls staged a strong comeback as investor sentiment improved significantly, driven by positive economic data.

On the news front, annual inflation continued its downward trajectory, reaching a nearly decade-low of 1.5 per cent year-on-year in February.