Market Watch: Bourse falls as investors opt to sell

KSE’s benchmark 100-share index drops 113 points.

KARACHI:

Investors opted to sell on Wednesday as negative triggers prevailed in the market.

The Karachi Stock Exchange’s (KSE) benchmark 100-share index fell 1.13 per cent or 113.03 points to end at 11,633.97 point level.

Resignation of Pakistan’s Ambassador to USA, ISI and CIA blame game, fluctuation and global market debt pressure weakened investor’s sentiments, said JS Global Capital analyst Mujtaba Barakzai.

Trade volumes gained but still at a dismal level of 34 million shares compared with Tuesday’s tally of 28 million shares.

Limited foreign interest and institutional consolidation in blue chip stocks played a catalyst role in bearish close at KSE, said Arif Habib Investments Director Ahsan Mehanti  Foreign institutional investors were net sellers of Rs20 million worth of shares, according to data maintained by the National Clearing Company of Pakistan Limited.

The exploration and production stocks and the fertiliser sector were amongst the worst hit on the basis of correction.

Investor interest is expected to increase following appointment of MNA Sherry Rehman as Pakistan’s Ambassador to the United States after Husain Haqqani was asked to resign in the wake of the Memogate scandal.  Shares of 311 companies were traded on Wednesday. At the end of the day 69 stocks closed higher, 159 declined while 83 remained unchanged. The value of shares traded during the day was Rs1.25 billion.

Bank Alfalah was the volume leader with 3.3 million shares gaining Rs0.05 to finish at Rs11.95. It was followed by Azgard Nine with 2.27 million shares declining Rs0.21 to close at Rs3.34 and Lotte Pakistan PTA with 2.06 million shares falling Rs0.22 to close at Rs10.1.

Published in The Express Tribune, November 24^th, 2011.