The Pakistan Stock Exchange (PSX) witnessed a rollercoaster ride on Wednesday as the benchmark KSE-100 index frequently fluctuated before ending the day largely unchanged.
At the commencement of trading, the index surged to the intra-day high of 157,196.59 points, fuelled by investor interest in selective stocks. However, the enthusiasm died down as profit-taking set in, which pulled the index down to the day's low at 155,960.36 well before midday.
Despite volatility, the bourse managed to stay above the psychological level of 156,000 at the closing bell, with investors closely watching economic cues and political developments. Buying interest was mainly noted in attractive stocks of technology, banking and cement sectors.
At close, the benchmark KSE-100 index recorded a meagre loss of 3.12 points at 156,177.82.
Arif Habib Limited (AHL), in its report, observed that the KSE-100 experienced a flat session and managed to hold steady above the 156,000 mark despite intra-day volatility. Some 40 shares rose while 59 fell with Systems Limited (+2.87%), The Bank of Punjab (+9.98%) and Lucky Cement (+1.16%) contributing the most to index gains. On the other side, Hub Power (-1.39%), Meezan Bank (-1.23%) and Pakistan Petroleum (-1.46%) were the biggest drags.
AHL pointed out that Systems Limited was in negotiations for the acquisition of an IT services business. In another corporate report, The Organic Meat Company (+10%) secured a $7.5 million export contract from China.
Meanwhile, Reko Diq Mining Company won financing commitments of over $5.5 billion from international financial institutions, which was above its actual funding requirement of $3.74 billion. In addition to that, the Ministry of Finance was continuing to focus on reducing the debt-to-GDP ratio and ensuring early repayments, lower interest costs and a stronger external account.
AHL anticipated that the upside draw would remain at 158k against support at 154k.
KTrade Securities, in its market wrap, wrote that the PSX witnessed a mixed session, marked by profit-taking. The benchmark index posted a marginal decline of three points at 156,178.
Systems Limited, Lucky Cement and The Bank of Punjab contributed positively to the index, while Hub Power, Meezan Bank, Pakistan Petroleum, Oil and Gas Development Company (OGDC) and United Bank dragged it down. Trading activity remained strong, with total volumes hitting 1,499 million shares, it said.
JS Global analyst Mubashir Anis Naviwala remarked that the bourse opened on a strong note and swiftly crossed the 157,000 level in early trading. However, the momentum could not be sustained as profit-taking wiped out all gains.
The index eventually closed at 156,178, slipping back after touching the intra-day high. Selling pressure was particularly pronounced in stocks of exploration & production and power generation companies. Naviwala advised investors to remain cautious near resistance levels and focus on selective accumulation.
Topline Securities, in its review, stated that the trading session remained volatile, where the index touched the intra-day high of 157,197 and low of 155,960, amid bouts of profit-taking.
Positive performances by Systems Ltd, Lucky Cement and The Bank of Punjab contributed 322 points to the benchmark index. However, the gains were largely offset by significant declines in Hubco, Meezan Bank, OGDC, Pakistan Petroleum and UBL, which pulled the index down by 278 points, Topline said.
Overall trading volumes increased to 1.5 billion shares compared with Tuesday's tally of 1.4 billion. The value of shares traded was Rs48.9 billion.
Shares of 485 companies were traded. Of these, 235 stocks closed higher, 219 declined and 31 remained unchanged.
WorldCall Telecom was the volume leader with trading in 137.8 million shares, gaining Rs0.06 to close at Rs1.72. It was followed by Media Times with 94 million shares, rising Rs0.9 to close at Rs5.86 and The Bank of Punjab with 84.1 million shares, climbing Rs1.97 to close at Rs21.71. Foreign investors sold shares worth Rs980.8 million, the National Clearing Company reported.
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