Market loses 681 points to fall below 75,000 level

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KARACHI: Pakistan Stock Exchange (PSX) remained under selling pressure for the second session in a row on Wednesday amid uncertainty regarding government measures in the upcoming budget, with the benchmark KSE-100 Index losing 681.18 points (-0.90 percent) to close at 74,836.30 points.
The market opened on a positive note and gained around 150 points within a few minutes. However, the index soon witnessed selling that pushed it into the negative territory. The bears gripped the market for the rest of the session. Selling was witnessed in key sectors including cement, chemical, commercial banks, fertilizer, oil and gas exploration companies, oil and gas marketing companies, and power generation and distribution.
Experts attributed the selling pressure to the government’s anticipated measures in the upcoming fiscal year 2024-25 budget. The government aims to achieve fiscal discipline and enhance its tax revenues. As per media reports, major changes are expected in tax laws through the Finance Bill 2024 to increase the cost of financial transactions of the non-filers of income tax returns and introduce enforcement measures of Rs 300-400 billion in 2024-25. The Finance Bill 2024 would also enhance the powers of the Directorate General of Digital Invoicing, Federal Board of Revenue (FBR) to document the supply chains of all major businesses.
Earlier in the previous session on Monday, selling pressure was also witnessed at the bourse as the benchmark KSE-100 index lost 466 points during trading to settle at 75,517.49. The stock market remained closed on Tuesday on account of a public holiday announced by the federal government.
The market has turned in a cautious performance as investors look for fresh positive triggers ahead of the monetary policy meeting and budget announcement. The benchmark index has surged by 81.03 percent during the last one year and 15.73 percent during the current year.
The benchmark index traded in a range of 907.20 points, showing an intraday high of 75,667.30 points and an intraday low of 74,760.10 points. Among other indices, the KSE All Share Index shed 490.36 points (-1.01 percent) to close at 48,419.47 points. Similarly, the KMI All Share Islamic Index shed 393.67 points (-1.15 percent) to close at 34,352.32 points.
Total volumes traded for the KSE-100 Index remained 192.58 million shares, while the overall market volumes remained 407.08 million shares. Among scrips, KEL topped the volumes with 38.65 million shares, followed by WTL (22.38 million) and DFML (19.35 million). Stocks that contributed significantly to the volumes included KEL, WTL, DFML, DCL and FABL, which formed over 27 percent of total volumes.
A total of 405 companies traded shares in the stock exchange, out of which shares of 85 closed up, shares of 277 companies closed down while shares of 43 companies remained unchanged. A total of 100 companies traded shares in the KSE-100 Index, out of which share prices of 20 companies closed up, 77 companies closed down and three remained unchanged. The number of total trades remained 200,489, while the value traded was recorded at Rs16.5 billion.
In terms of rupee, PIAHCLB remained the top gainer with an increase of Rs60.83 (+7.34 percent) per share, closing at Rs889.25. The runner-up remained SRVI, the share price of which climbed up by Rs43.83 (+5.01 percent) to Rs918.63. HPL remained the top loser with a decrease of Rs113.8 (-7.73 percent) per share, closing at Rs1,358.7, followed by HCL, the share price of which fell by Rs45.27 (-7.81 percent) to close at Rs534.26 per share.
The major sectors taking the index towards south remained oil & gas exploration companies (206 points), commercial banks (136 points), fertilizer (109 points), cement (62 points), technology & communication (38 points), textile composite and oil & gas marketing companies (35 points each), and refinery (23 points).
Major companies depriving the index of points remained OGDC (88 points), PPL (67 points), BAHL (62 points), FFC (57 points), ENGRO (44 points), HBL (36 points), MARI (30 points), MCB (29 points), POL (21 points), and ILP (20 points).
The major sectors taking the index towards north remained leather and tanneries (35 points), chemical (15 points), miscellaneous (12 points), insurance (7 points), and tobacco (5 points).
Major companies adding points to the index remained SRVI (35 points), PSEL (19 points), FABL (14 points), MUGHAL (12 points), SCPBL (11 points), FCCL (9 points), EFUG (6 points), PAKT and EPCL (5 points each), and HINOON (4 points). – TLTP