Market sees broad-based losses, with key sectors including automobiles, cement, banks, and energy stocks trade in red zone
Bears took a heavy toll on the Pakistan Stock Exchange (PSX) on Thursday, with the benchmark KSE-100 Index dropping over 6,600 points or nearly 4%, forced by high selling pressure.
According to the PSX website, the market kick-started the day on a negative note, and the benchmark index nosedived during the early hours of the trade, shedding over 2,500 points. The downfall continued throughout the session, and at one point, the index fell to its lowest level of 171,647.33, down by over 7,200 points.
Broad-based losses were seen across key sectors, including automobile assembler, cement, commercial banks, fertiliser, oil and gas exploration companies, OMCs, power generation, and refineries, which experienced heavy losses. Index-heavy stocks such as ARL, HUBCO, MARI, OGDC, PPL, POL, PSO, SNGPL, MCB, MEBL, and NBP were among those trading in the red.
By close, the KSE-100 settled at 172,170.29, down by 6682.80 points or 3.74% from the previous close of 178,853.09 points.
The sell-off followed a positive session on Wednesday when the PSX saw a sharp recovery of over 5,000 points, with aggressive buying helping benchmark indices recover some of the recent losses. The rebound was supported by both institutional and retail investors, as value-hunting emerged after the market correction. The benchmark KSE-100 Index closed at 178,853.10 points on Wednesday.
Meanwhile, international markets saw a positive trend, with Asian stocks rising on Thursday. Technology shares on Wall Street boosted global sentiment, while rising US-Iran tensions kept oil prices supported and contributed to gold’s safe-haven appeal.
Trading volumes in Asia were lighter due to the Lunar New Year holiday in Hong Kong, China, and Taiwan.
However, MSCI’s Asia-Pacific index gained 0.5%, Japan’s Nikkei rose by 0.85%, and South Korea’s Kospi jumped about 3% to a record high. This was driven by gains in tech shares, particularly after Meta Platforms signed a deal with a tech company for the supply of AI chips.
