The KSE-100 index reversed its trend and shed 279 points on Friday in range-bound trading.
Analysts had previously termed the outgoing week as a rollover week when investors would offload stocks bought earlier at attractive valuations. In addition to this, absence of positive triggers to guide market’s direction also weighed on investor sentiment and spread pessimism for the rest of the day.
Automobile, financial and exploration and production sectors sparked selling pressure and most of the stocks in these sectors recorded losses.
Earlier, trading began on a positive note, however, the bourse failed to sustain the rise and the first session remained largely range bound. The index still managed to end the session with a gain of 62 points.
The second session again began on an optimistic note, however, subdued investor sentiment, coupled with a lack of positive triggers, triggered a selling spree, which continued till the end of the session and dragged the market down.
At close, the benchmark KSE 100-share Index recorded a decrease of 279.26 points, or 0.68%, to settle at 40,848.53.
Oil and gas marketing companies, exploration and production, power and cement sectors came under pressure. Even though Maple Leaf Cement managed to hit its upper circuit, it could not hold ground for long and the stock dropped significantly. However, it was positive by the close.
The technology sector led the volume with trading in 49.2 million shares, followed by cement companies (35.7 million) and oil and gas marketing firms (35.5 million).
JS Global analyst Danish Ladhani said equities closed the week on a negative note with the benchmark KSE-100 index shedding 279 points and closing at 40,848.
HBL (-0.9%), MCB (-1.1%), Oil and Gas Development Company (-1.6%), Dawood Hercules (-2.2%), Fauji Fertiliser (-1.6%), Bank AL Habib (-1.1%), Engro Fertilisers (-0.8%) and Lucky Cement (-0.9%) contributed to the negative close.
Traded value stood at $61 million, up 19% and volume came in at 267 million shares, up 13%.
Overall, trading volumes increased to 267.6 million shares compared with Thursday’s tally of 236.8 million. The value of shares traded during the day was Rs9.49 billion.
Shares of 355 companies were traded. At the end of the day, 112 stocks closed higher, 221 declined and 22 remained unchanged.
WorldCall Telecom was the volume leader with 31.83 million shares, gaining Rs0.11 to close at Rs1.38. It was followed by Hascol (R) with 22.72 million shares, gaining Rs0.64 to close at Rs10.18 and Unity Foods with 22.68 million shares, losing Rs0.28 to close at Rs15.69.
Foreign institutional investors were net sellers of Rs88 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan.