PSX falls as investors opt for profit-taking

A choppy session marked trading at the Pakistan Stock Exchange (PSX) on Tuesday, where the benchmark KSE-100 index struggled to hold on to early momentum.

The market opened on a positive note and managed to push the index towards the day's high of 169,289. However, the optimism faded steadily as the session progressed and a round of profit-taking in the final hours dragged the index into negative territory. The index hit the intra-day low of 167,446 just before the end of trading.

At close, the KSE-100 stood at 167,642.28, registering a decline of 419.92 points, or 0.25%. Among major news, Pakistan recorded a trade deficit of $2.9 billion in November, which weighed on investor confidence and encouraged cautious moves. The widening external gap continues to be a key concern for market participants, who are now more inclined to lock in gains rather than extend exposure. KTrade Securities, in its market wrap, wrote that PSX saw profit-taking in the second half after its recent strong run. As a result, the KSE-100 index slipped 420 points. Trading stayed largely range bound, with pressure coming from Fauji Fertiliser, Hub Power, Pakistan Petroleum, Engro, Systems Ltd and Oil & Gas Development Company, it said.

Lucky Cement bucked the trend along with NBP, Bestway Cement and Faysal Bank. Market participation remained firm, with the All-Share Index volumes reaching 776 million. Looking ahead, the IMF board meeting on December 8 and the anticipated release of loan tranche would be the key drivers, while regional geopolitical shifts could also impact near-term momentum, KTrade concluded.

The KSE-100 index closed at 167,642, down 420 points, after early-session gains faded amid noticeable profit-taking, JS Global analyst Mubashir Anis Naviwala commented. Trading remained elevated with 776 million shares changing hands, driven largely by high volumes in WorldCall Telecom, K-Electric, First National Equities, Pakistan International Bulk Terminal and The Bank of Punjab.

Sector-wise performance was mixed. Bank and cement stocks provided limited support, while fertiliser and energy shares weighed on the index, he said, adding that the market traded within a tight range, reflecting investor caution near recent highs.

In its review, Topline Securities said that after several consecutive sessions of robust gains, the local bourse finally paused for breath as profit-taking dominated Tuesday's trading activity. Investors opted to lock in gains at recent highs, steering the index through a choppy session marked by swift shifts in sentiment.

The index fluctuated between the intra-day high of 169,289 (+1,227 points) and the low of 167,446 (-616 points), underscoring a clear tug of war between the opportunistic sellers and selective buyers. By the close, the market settled at 167,642, down 420 points.

Market participation remained steady. Despite the mild pullback, the broader market tone stays constructive, with investors eyeing upcoming catalysts that could shape momentum in the sessions ahead, Topline noted. Overall trading volumes increased to 775.5 million shares versus Monday's tally of 735.5 million. The value of traded shares stood at Rs37.5 billion.

Shares of 479 companies were traded. Of these, 182 jumped, 254 fell and 43 remained unchanged.

WorldCall Telecom was the volume leader with trading in 169 million shares, falling Rs0.04 to close at Rs1.80. It was followed by K-Electric with 40.6 million shares, losing Rs0.05 to close at Rs5.57 and First National Equities with 37.2 million shares, rising Rs1.85 to close at Rs20.36. Foreign investors sold shares worth Rs476 million, the National Clearing Company reported.