The Pakistan Stock Exchange (PSX) kicked off the new trading week on Monday with a volatile performance as the benchmark KSE-100 index ended the day in the red. Following late-session selling pressure owing to profit-taking and futures contract rollover, the index closed down by 482.71 points, or 0.31%, at 157,554.66.
The bourse opened the day on a positive note, climbing to the intra-day high of 158,850.34 points around midday as optimistic investors bought attractive stocks. However, the momentum faded as the session progressed, with investors opting to book profits, particularly in banking, fertiliser and cement sectors, pulling the index down to the low of 157,245.73.
Analysts attributed the downturn to a mix of caution ahead of key economic data and concern over global market trends. Market participants awaited policy signals and corporate earnings announcements that could set direction for the coming sessions.
KTrade Securities, in its market wrap, wrote that the PSX experienced a volatile session, primarily driven by futures rollover pressure and profit-taking. The KSE-100 index dipped 483 points to close at 157,555.
Major laggards were UBL, Meezan Bank, Fauji Fertiliser and Lucky Cement. Despite the selling pressure, PSO, Hub Power, Oil and Gas Development Company (OGDC) and GlaxoSmithKline provided some support, it said.
Trading activity remained strong, where total volumes reached 1.67 billion shares, KTrade added.
Arif Habib Limited (AHL) noted that the bourse started the new week with a loss of 0.31% in the KSE-100 index. Some 41 shares rose while 58 fell with PSO (+4.22%), Hub Power (+1.87%) and OGDC (+1.22%) contributing the most to the index gains. In contrast, UBL (-2.5%), Engro Holdings (-1.68%) and Meezan Bank (-1.5%) were the biggest drags, it said.
In major news, Pakistan and Saudi Arabia initiated urgent efforts to elevate bilateral trade and economic cooperation to unprecedented levels. According to well-placed sources, a high-powered delegation comprising some of Saudi Arabia's most prominent businessmen and industrialists was scheduled to visit Pakistan next month, AHL said.
In addition, the Federal Board of Revenue chairman ruled out the possibility of a mini-budget, stating that no proposal for additional taxes through a supplementary finance bill was under consideration, it added.
Topline Securities commented that the local bourse kicked off the rollover week on a volatile note as profit-taking spells weighed on sentiment. The benchmark index swung sharply, hitting the intra-day high of 812 points before slipping to the low of 791 points. It closed at 157,555, down 483 points.
Caution also stemmed from the rise in the Margin Trading System (MTS) rate to 17.10, indicating tighter conditions for leveraged investors. With rollover activity in focus, volatility is expected to stay elevated in the sessions ahead, Topline said.
Overall trading volumes decreased to 1.67 billion shares compared with the previous session's tally of 2.05 billion. The value of shares traded was Rs60.9 billion. Shares of 483 companies were traded. Of these, 209 rose, 252 fell and 22 remained unchanged.
K-Electric topped the volumes chart with trading in 236 million shares, rising Rs0.35 to close at Rs6.11. It was followed by Cnergyico PK with 158.7 million shares, gaining Rs0.42 to close at Rs8.54 and The Bank of Punjab with 126.8 million shares, falling Rs0.28 to close at Rs25.98. Foreign investors sold shares worth Rs552 million, the NCCPL reported.
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