DAILY MARKET WRAP

Adversity continued to strike the Pakistan Stock Exchange (PSX) as it plunged further into the red zone ending the month of August in red. Indices slipped lower and lower after a negligible rise while volumes went up from last close. As per analysts, investors’ confidence was shattered as the Pakistani rupee continued to devaluate. An expected increase in interest rates also had a negative impact on the market.

Equity markets around the globe showed mixed trend. Crude oil prices moved north with WTI crude oil price rising by 0.78% to $82.27. While Brent crude oil price was up by 0.67% to $85.81. (As at 3:58 PM PST, Source: Investing.com).

The benchmark KSE 100 index initially gathered 113.46 pts reaching day’s high of 46,358.02. Aggressive bears then took over causing the index to nosedive to day’s low of 44,459.63 with a loss of 1,784.93 pts (-3.86%). It eventually settled at 45,002.42, losing its grip on the hard earned 46,000-mark by 1,242.14 pts. The KMI 30 index plunged by 1,961.18 pts ending at 74,969.26. While the KSE All share index dropped by 777.63 pts closing at 30,041.97.

Total traded volume swelled from 216.31 mn shares in the previous session to 287.16 mn shares. Highest contributors to the volume chart were Worldcall Telecom Limited (WTL -3.39%), Oil and Gas Development Company Limited (OGDC -1.38%) and Cynergyico PK Limited (CYNERGY -4.38%). The scrips had 31.87 mn shares, 17.49 mn shares and 13.08 mn shares exchanged, respectively.

Sectors painting the benchmark KSE 100 index in red consisted of, Banking sector (-436.39 pts), Oil and Gas Exploration sector (-162.21 pts) and Cement sector (-157.02 pts). Companies that drove the index south included MCB Bank Limited (MCB -120.35 pts), United Bank Limited (UBL -103.27 pts) and The Hub Power Company Limited (HUBC -72.38 pts).

Cumulative market capitalization of the Banking sector shrank by 4.03%. Meezan Bank Limited (MEBL -5.25%), United Bank Limited (UBL -5.09%), MCB Bank Limited (MCB -7.27%) and Habib Bank Limited (HBL -1.09%), all closed in red.

Values as at 04:15 PM PST