Market watch: After days of ending high, stocks plummet

Benchmark KSE-100 index drops 143.09 points.

KARACHI: Stock market experienced a volatile day as its upward trend was disrupted for the first time during the week.

The Karachi Stock Exchange’s (KSE) benchmark 100-share index fell 0.58% or 143.09 points to end at 24,445.38.

“Foreign buyers were reported in the index names with particular interest in Engro, Pakistan Petroleum Limited, Pakistan Tobacco, Oil and Gas Development Companies (OGDC) and Pakistan Telecommunication Company (PTCL),” said Faisal Bilwani of Elixir Securities.



“PTCL (PA +2.4%) led volumes as earnings and payout excitement kept the telecom giant in the limelight. Banks closed red despite seeing some recovery near the closing. OGDC will trade T+1 spot from tomorrow on Rs2 per share cash payout,” said Bilwani.

Fahad Ali of JS Global Securities said that the investors experienced a volatile trading session where bears and bulls played a tug of war throughout the day, with bears claiming the trophy for the day in the end.

“Engro and PTCL witnessed healthy volumes with rumours of foreign buying in the stocks. However, Engro could not sustain the high of Rs160.75 and plunged to an intra-day low of Rs153.25 within a span of few minutes. Exploration and production and banking sectors saw profit-taking by investors which brought negativity into the index,” added Ali.

Trade volumes rose to 200 billion shares compared with Tuesday’s tally of 105 million shares.

Shares of 363 companies were traded on Wednesday. At the end of the day, 147 stocks closed higher, 188 declined while 28 remained unchanged. The value of shares traded during the day was Rs12 billion.



Pakistan Telecommunication Company Limited was the volume leader with 27 million shares, gaining Rs0.71 to finish at Rs30.57. It was followed by Engro Corporation with 15 million shares, losing Rs1.67 to close at Rs154.56 and Lotte Chemical with 8 million shares, gaining Rs0.14 to close at Rs7.00.

Foreign institutional investors were net sellers of Rs666 million through the trade session, according to data maintained by the National Clearing Company of Pakistan Limited.

Published in The Express Tribune, December 5^th, 2013.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.