Bourse ends flat despite Eurobond success

KSE-100 adds 153 points after volatile session; oil jitters persist

KARACHI:

The KSE-100 index closed merely around 150 points higher at the Pakistan Stock Exchange (PSX) on Thursday after a volatile session in which early gains of more than 1,000 points faded on profit-taking.

Investors remained cautious as rising international oil prices, linked to ongoing geopolitical tensions, raised concerns over Pakistan's import bill, inflation and the external account. Sentiment received some support from a $3 billion dual-tranche Eurobond that drew offers of nearly $6 billion.

At the close of trading, the benchmark KSE-100 index posted a modest gain of 153.09 points, or 0.09%, and settled at 174,929.69.

Topline Securities, in its daily review, noted that the bourse witnessed a volatile trading session, where the KSE-100 index opened on a positive note and climbed to the intra-day high of 1,019 points. However, the early momentum could not be sustained as profit-taking emerged in the latter half, with the index swinging to the intra-day low of 117 points.

The benchmark eventually closed at 174,930, up 153 points, amid continued investor caution. "The volatility can largely be attributed to the ongoing geopolitical conflict, which continues to exert pressure on global energy markets. Rising international oil prices remain a key concern for investors, given their potential impact on Pakistan's external account, inflation and overall macroeconomic stability," it said.

On the positive front, Pakistan successfully raised $3 billion through a landmark dual-tranche Eurobond transaction, marking the largest-ever international bond issuance by the country in a single transaction. It attracted nearly $6 billion in orders, almost twice the amount offered, reflecting strong demand from a broad and diversified base of institutional investors across global markets.

On the negative side, Bank AL Habib, UBL, PPL, Service Industries and Attock Refinery were among the major contributors to the index's decline, collectively wiping off 196 points. Conversely, Engro Holdings, Lucky Cement and NBP provided support, contributing 167 points to the index, Topline said.

Mubashir Anis Naviwala of JS Global noted that the PSX staged a cautious rebound after the previous session's decline. The KSE-100 closed at 174,930, gaining 153 points. The index remained volatile, moving between 174,894 and 175,796 during the session. Cement was the leading positive contributor with +128 points, followed by investment banks at +73.74 points.

Fertiliser, cable & electrical and property sectors also provided support to the index. Oil & gas, commercial banks and refinery stocks remained under pressure. Overall, the session reflected selective buying and consolidation, with market participation recorded at 627 million shares, he said.

Overall trading volumes were recorded at 627.45 million shares compared with the previous session's tally of 610.18 million. The value of shares traded during the day was Rs25.19 billion.

Shares of 494 companies were traded. Of these, 252 stocks closed higher, 207 fell and 35 remained unchanged.

Tasdeeq Information was the volume leader with trading in 94.95 million shares, gaining Rs0.88 to close at Rs3.94. It was followed by Cnergyico Pk with 80.99 million shares, losing Rs0.20 to close at Rs14.46 and Pakistan Refinery with 23.94 million shares, losing Rs0.38 to close at Rs105.01. Foreign investors bought shares worth Rs82.8 million, the National Clearing Company reported.