DAILY MARKET WRAP

Trade screens turned red at the Pakistan Stock Exchange (PSX) on Tuesday. Indices slipped lower for most part of the day while volumes fell from previous close. Analyst attributed the decline to lack of clarity over the resumption of the International Monetary Fund (IMF) programme, and the deteriorating macroeconomic indicators.

Equity markets around the globe showed mixed trend. Crude oil prices moved south with WTI crude oil price falling by 1.50% to $78.94. While Brent crude oil price was down by 1.09% to $85.67. (As at 4:00 PM PST, Source: Investing.com).

On the economic front, as per data released by the Pakistan Automotive Manufacturers Association (PAMA), a total of 6,021 units were sold by PAMA members in the month of January 2023 as compared to 16,985 units in SPLY (decline of 64.55% YoY). Whereas 13,780 units were sold in December 2022.

Moreover, as per data released by the State Bank of Pakistan (SBP), the Pakistani Rupee gained PKR 2.0993/US$ (0.78%) against the US Dollar on DoD basis ending the session at PKR 267.3411/US$.

During the day, the benchmark KSE 100 index recorded day’s high of 41,848.76 (gaining 131.81 pts). Failing to sustain the gains, it then recorded day’s low of 41,047.03 (losing 669.92 pts). The index settled lower by 566.79 pts at 41,150.16. The KMI 30 index slid by 843.53 pts closing at 70,945.40. While the KSE All share index plunged by 322.82 pts settling at 27,529.27.

Overall market volumes contracted from 192.09 mn shares in the previous session to 186.43 mn shares. Companies showing highest participation were Sui Northern Gas Pipelines Limited (SNGP -7.15%), Worldcall Telecom Limited (WTL -3.15%) and Oil and Gas Development Company Limited (OGDC -4.92%). The scrips had 16.09 mn shares, 14.90 mn shares and 12.74 mn shares traded, respectively.

Sectors driving the benchmark KSE 100 towards negative zone included, Technology and Communication sector (148.60 pts), Oil and Gas Exploration sector (132.39 pts) and Banking sector (106.15 pts). Companies that dragged the index lower included, TRG Pakistan Limited (TRG 90.07 pts), Oil and Gas Development Company limited (OGDC 83.12 pts) and Pakistan Petroleum Limited (PPL 56.29 pts).

The Technology and Communication sector lost 3.78% in its cumulative market capitalization. Systems limited (SYS 2.29%), TRG Pakistan Limited (TRG 7.50%), Air Link Communication Limited (AIRLINK 1.02%) and Avanceon Limited (AVN 2.27%), all closed negative.

Values as at 04:10 PM PST