Profit booking in the banking sector pushes down the KSE-100

On Thursday, profit-taking pushed the KSE-100 index lower by 421 points at Karachi’s Pakistan Stock Exchange (PSX).

Massive selling in the index-heavy banking sector fueled the decline.

The absence of positive market-moving triggers diminished investor interest, resulting in the sale of stock holdings, which erased early gains.

Morning trading commenced gloomily, and the market dropped below the 40,000-point threshold.

The decline proved continuous, and market players’ profit-taking wiped out the profits. As a result, the market’s drop accelerated to near the session’s close.

The KSE-100 index closed with a loss of 421.27 points, or 1.02%, at 41,013.86. Benchmark intraday KSE-100 trading curve — PSX data portal.

In its post-market remark, Arif Habib Limited highlighted that the benchmark KSE-100 index experienced a bloodbath session due to ongoing political turmoil and negative news regarding private banks.

The market opened in the red and remained under pressure for the rest of the trading day, reaching an intraday low of -524.31 points, according to the brokerage firm.

In contrast, respectable volume levels were observed in third-tier stocks, indicating a fall in trading activity throughout the main board.

Banks (-246.8 points), technology (-53 points), exploration and production (-26.8 points), chemicals (-21.7 points), and fertilizers (-21.7 points) contributed to the performance (-17.8 points).

Three hundred twenty-four firms’ shares were traded during the session. As a result, 103 stocks closed in the green, 194 in the red, and 27 remained unchanged at the trading close.

Wednesday’s total trading volume was 220.56 million shares, while Thursday’s total was 127.44 million. During the day, Rs5.51 billion worth of shares were traded.

K-Electric led the market in terms of volume, trading 11.16 million shares at a loss of Rs0.05 to close at Rs3. It was followed by TPL Properties, which traded 9.97 million shares and lost 0.61 rupees to close at Rs20.86, and TRG Pakistan, which traded 7.81 million shares and lost 2.38 rupees to conclude at Rs122.38.