Pakistan Stock Exchange (PSX) witnessed a sharp reversal Thursday when the early gains were wiped out by intensive sales, triggered by renewed political uncertainty.
Benchmark KSE-100 index, which had climbed up to the intra-day high at 151,250 points, tumbled later and hit the low 148,273. It closed the day at 149,235, down 1,356 points or 0.90%.
The sale arose after the Supreme Court awarded bail to former Prime Minister Imran Khan in May 9, which triggered uncertainty about the political views. Greater pressure came from index -heavy sectors such as business banks, cement and fertilizers, which endured broad -based sales.
AKD Securities Director Research Mohammed Awais Ashraf told The Express Pakinomist that investor mood was cautious in the midst of political uncertainty following the Supreme Court’s acceptance of Imran Khan’s bail facility in May 9 -SAGER.
“Nevertheless, we expect falling interest rates in the midst of the improved macroeconomic background and stability in exchange rate to maintain the rally in shares,” he commented and mentioned that KSE-100 delivered a 29% return this year.
Read: SC assigns IMRAN’s bail in eight cases 9 May
Ktrade Securities wrote in his market wrapping that the Benchmark KSE-100 index began trading with a positive note, but selling pressure arose in the latter half after the approval of Imran Khan’s bail by the Supreme Court.
Consequently, the index for intra-day low at 148,273 (-2,318 points) fell from Intra-Day High at 151,250 (+659 points) and closed on the negative territory of 149,235 (-1,356 points).
Sales were observed in index -heavy sectors, including business banks, cement and fertilizers, which contributed 818 points, 187 points and 128 points to the losses, AKD said.
ARIF HABIB LIMITED Deputy for Trade Ali Najib commented that PSX, after three consecutive winning sessions, faced a wave of profits that drew KSE-100 into the red.
The day began on a strong foot, with the index affected intra-day high at 151,250, reflecting bullish momentum.
However, political noise changed the mood following media reports of the former prime minister who secured bail. It triggered volatility and wiped out early gains and sent the market into a sharp downturn, he said.
Still, the storm quickly settled as a clarification that the ex-prime minister would remain behind the pillars helped calm feelings. “It was a session where politics overshadowed basic elements that made optimism caution, but late improvement suggested underlying resilience in the investor’s confidence,” Najib noted.
Total trading volumes rose to 1.1 billion shares compared to Wednesday’s figures of 667.8 million. Traded value amounted to RS55.8 billion.
Shares of 480 companies were traded. Of these, 130 advanced, 323 and 27 remained unchanged. Fauji Foods was the volume leader with trading in 62.1 million shares and got RS0.52 to close on RS16.94.
