DAILY MARKET WRAP

Profit Taking at PSX – KSE 100 Drops by 3,500 Points!

The Pakistan Stock Exchange (PSX) witnessed a bloodbath on Wednesday. The market witnessed significant selling pressure, leading to broad-based declines, Earlier attempts to recover were short-lived, as bearish momentum pushed the index further into negative territory. KSE-100 index ultimately closed deep in the red

Equity markets around the world showed mixed trends. Crude oil prices moved south with WTI crude oil price falling by 1.51% to $69.64. While Brent crude oil price was down by 0.80% to $73.32. (As at 3:49 PM PST, Source: Investing.com).

The KSE-100 index briefly touched the day’s high of 116,236.71 after gaining 1,376.02 pts. Despite gaining initially, the index failed to maintain its position eventually dropping to a low of 110,896.27 down by 3,964.42 pts during the session. Ultimately, the index closed at 111,070.29 down 3,790.40 pts. Similarly, the KMI-30 index shed 7,419.65 pts closing at 172,467.21, while the KSE All-Share index fell by 2,171.58 pts to close at 70,168.45.

Trading volumes contracted to 1.10 bn shares compared to 1.25 bn shares in the previous session. Worldcall Telecom Limited (WTL) led the volume chart with 139.29 mn shares traded, despite a 9.04% decline. Cnergyico PK Limited (CNERGY) dropped by 0.54%, while The Bank of Punjab (BOP) followed recording an 0.11% gain. The scrips had 139.29 mn shares and 67.46 mn and 60.16 shares traded, respectively.

Several sectors exerted downward pressure on the KSE-100 index, with notable declines seen in the Fertilizer sector (-869.92 pts), Oil & Gas Exploration Companies sector (-850.51 pts) and Commercial Banks sector (-711.43 pts). Key contributors to the index’s negative performance included Mari Petroleum Company Limited (MARI) which dragged it down by 633.52 pts, Fauji Fertilizer Company Limited (FFC) contributing a 523.88 pts decline and The Hub Power Company Limited (HUBC) shaving off 249.13 pts.

The Fertilizer sector lost 4.60% in its cumulative market capitalization. Fuji Fertilizer Company Limited (FFC -5.77%), Fauji Fertilizer Bin Qasim Limited (FFBL -5.63%), Fatima Fertilizer Company Limited (FATIMA -3.48%) and Engro Fertilizer Limited (EFERT -3.22%), all closed negative.

Values as at 04:15