Profit-taking drags KSE-100 Index below 82,000 mark to close at 81,850 points

During the day index reached an intraday peak of 82,463.05, fueled by initial buying

Following a record high in the previous trading session, the Pakistan Stock Exchange (PSX) experienced a pullback on Monday, with the benchmark KSE-100 Index closing down 224 points at 81,850.50.

The day began positively, as the index reached an intraday peak of 82,463.05, fueled by initial buying. However, as the session progressed, profit-taking set in, leading the index to a low of 81,548.65. Ultimately, some late-hour buying provided a slight lift, but the index still finished down 223.95 points, or 0.27%.

On Friday, the market had surged, gaining 615 points thanks to strong buying in major index stocks. Analysts from Topline Securities noted that significant profit-taking occurred in stocks like HUBC, MARI, PPL, OGDC, and BAFL, collectively accounting for a decline of 634 points on Monday.

In corporate news, Sazgar Engineering Works Limited (SAZEW) announced plans to introduce New Energy Vehicles (NEVs) in Pakistan, with plans to launch Completely Knocked Down (CKD) models by the end of 2025.

Meanwhile, Oil and Gas Development Company Limited (OGDCL) reported a profit-after-tax of Rs208.98 billion for the fiscal year ending June 30, 2024, reflecting a nearly 7% decline from Rs224.62 billion in the previous year. 

In contrast, Amreli Steels Limited faced significant losses of Rs6.1 billion due to reduced sales and increased expenses during the same period, compared to a loss of Rs697.2 million the prior year.

On a broader scale, Asian markets showed resilience on Monday ahead of anticipated central bank meetings that are expected to deliver additional rate cuts, alongside key US inflation figures that could signal further easing. 

China’s central bank surprised markets by lowering its 14-day repo rate by 10 basis points, resulting in a 0.5% rise in Chinese blue chips.

Moreover, in Pakistan, the rupee remained stable against the US dollar, closing at 277.87, a slight depreciation of 0.01%. Trading volume on the all-share index fell to 400.31 million shares, down from 482.37 million on Friday, with the total value of shares traded decreasing to Rs18.69 billion from Rs30.19 billion.