The Karachi Stock Exchange’s (KSE) benchmark 100-share index dropped 1.32 per cent or 153.99 points to end at 11,494.15 points.
Investor sentiment went down with the missiles as stocks dipped more than 2% intra-day, although they recovered slightly in the second half of the session, according to equity dealers.
An early Saturday morning attack by North Atlantic Treaty Organisation (Nato) helicopters killed at least 24 security personnel and injured 12 soldiers on a Pakistani checkpost in Salala, which is located in Tehsil Bayzai area of Mohmand Agency on the Pak-Afghan border.
To further reduce participation, the rupee hit a record low against the US dollar in line with the similar recent regional currency depreciation, said Elixir Securities equity dealer Sibtain Mustafa.
Overall, volumes stood in line with past averages as fear of new lows in Pak-US relationship starts to haunt already beleaguered investors, said Mustafa. Trade volumes gained but still stood at a paltry 46 million shares compared with Friday’s more dismal tally of 28 million shares.
The market witnessed a late recovery as international markets opened on a positive note and crude oil crossed $100 a barrel.
MCB Bank fell around three per cent on reports of foreign fund selling and local banks’ buying, added Mustafa.
Foreign institutional investors were net sellers of Rs150 million worth of shares, according to data compiled by the National Clearing Company of Pakistan Limited.
Moreover, investors continue to wait for the outcome of the monetary policy tomorrow (Wednesday).
Shares of 315 companies were traded on the first trading session of the week. At the end of the day, 69 stocks closed higher, 158 declined and 88 remained unchanged. The value of shares traded during the day was Rs2.04 billion.
Fauji Fertilizer Bin Qasim was the volume leader with 4.75 million shares, declining Rs1.48 to finish at Rs55.07. It was followed by Lotte Pakistan PTA with 2.77 million shares, losing Rs0.25 to close at Rs9.81 and Fatima Fertilizer Company with 2.69 million shares, falling Rs0.37 to close at Rs22.19.
Published in The Express Tribune, November 29th, 2011.
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