KSE-100 in red zone amid profit-taking as June 30 draws nears

KARACHI: After two consecutive sessions of strong gains, the KSE-100 Index closed in red zone and witnessed a round of profit-taking on Thursday, driven by fiscal year-end considerations and short-term portfolio rebalancing, analysts said. 

During the day, the benchmark KSE-100 index saw a volatile ride — climbing as high as 656 points before slipping to a low of 715 points. It ultimately settled at 122,046, reflecting a cautious investor mood as the quarter draws to a close.

Earlier, the market had recovered nearly 6 per cent over the past three days following, the massive decline during the 12-day war between Israel and Iran, Al Habib Capital stated.

“The benchmark index closed on a negative note, gradually shedding points throughout the session as profit-taking set in. Added pressure from rollover week volatility kept investor sentiment cautious, leading to a subdued close,” Ismail Iqbal Securities said.  

On the contribution front, ENGROH, NATF, PPL, and TGL provided the biggest support, collectively adding 228 points to the index. Meanwhile, pressure from BAHL, LUCK, HBL, PSEL, and SYS dragged the index down by a combined 407 points.

Despite the decline, overall market activity remained vibrant. Total trading volume clocked in at 750 million shares, with an overall value of Rs29.8 billion. PIBTL led the volume charts, with 37.5 million shares changing hands.

On Wednesday, the Pakistan Stock Exchange gained over 500 points amid easing geopolitical tensions and positive triggers in the local market. 

The benchmark KSE-100 Index was up by 515.01 points, or (0.42 per cent), closing at 122,761.64 levels.

According to analysts, stocks showed recovery in the last session, as investors weigh Israel- Iran ceasefire talks easing inflation, surge exports.

On the other hand, the approval of $194 million loan from the World Bank and another $350 million from the ADB impacted the sentiments positively.