KARACHI: Bearish sentiments continued to dominate the Pakistan Stock Exchange (PSX) on Thursday as well. The indices kept slipping all day long amid lack of volumes.
Keeping up with their recent trend, foreign investors closed as net buyers on Wednesday with a net inflow of $2.56 million.
According to the latest data released by the State Bank of Pakistan, the federal government’s debt spiked up to Rs26.64 trillion with the addition of Rs2.42 trillion in six months. As per analysts, the increase in debt was due to the rising difference between revenue and expenditures (debt servicing, defence expenditure and failure of tax regulators to boost tax collection).
The KSE 100 index declined by 226.10 points to touch its intraday low of 40,318.01. It finally settled lower by -37.13 points at 40,506.98. Meanwhile, the KMI 30 index lost 520.75 points in the early hours of trade before recovering a little to close at 68,129.86 (-226.94 points). Moreover, the KSE All Share index fell short by 50.49 points at 29,324.88. Out of the traded scripts, 136 advanced, 196 declined while the value of 20 remained unchanged.
The overall market volumes declined significantly and were recorded at 123.62 million. Lotte Chemical Pakistan Limited (LOTCHEM -1.94pc) was in the lead with 25.63 million shares exchanging hands, followed by DG Khan Cement Company Limited (DGKC -4.55pc) and Fauji Cement Company Limited (FCCL -3.47pc). The stocks had 8.78 million shares and 5.87 million shares swapping hands correspondingly.
Soneri Bank Limited (SNBL +2.38pc) and Maple Leaf Cement Factory Limited (MLCF -4.87pc) also managed to secure positions amongst volume leaders.
Failing to keep up with the momentum of the previous session, the cement sector lost -1.98pc from its cumulative market capitalization.
Millat Tractors Limited (MTL -1.32pc) declared its financial performance for the second quarter of Financial Year 2018-19 along with an interim cash dividend of Rs45. The company’s sales were down by 37pc YoY, while earnings per share also declined significantly from Rs36.39 in the same period last year to Rs15.84 owing to an increase in the cost of sales.
Lotte Chemical Pakistan Limited (LOTCHEM -1.94pc) announced its financial results for the year ending December 31st, 2018. The company’s revenue increased by 55pc YoY, while earnings per share improved from Rs0.27 in the same period last year to Rs2.93 in the current year.
