PSX downs upto 500 points on Ist working day

KARACHI: The Pakistan Stock Exchange (PSX) failed to sustain its positive run from the previous session on Monday.

The KSE-100 Index opened on a positive note and remained on a steady ascent. However, after first hour, the trend changed and the benchmark index hit an intra-day low of 1,062 points. It staged a brief recovery before close.

At the end of trading, the benchmark KSE 100-share Index registered a decrease of 598.30 points or 1.53% to settle at 38,481.70.

Elixir Securities analyst Ali Raza said Pakistan equities erased all of Friday’s gains and touched a 17-month low.

The market opened positive and early trading saw the KSE-100 Index shoot up by over 350 points, helped primarily by gains in exploration and production stocks.

“However, as the day progressed, institutional selling dragged the index down where notable names across cement, fertiliser and banking sectors bore the brunt and pulled the KSE-100 Index in the negative zone below 38,500,” Raza added.

Interestingly, Hub Power (-1.1%) and Nishat Mills (no price change), which should have benefited from rupee depreciation, failed to trade higher, though the currency sank further by another 1% against the greenback in the interbank market on Monday. The rupee closed at 108.4 to a dollar.

In a press statement, the central bank expressed its willingness to let the rupee find its direction through demand and supply, which alleviated volatility in the market and was likely to remain the key focus in the days to come. Tribune