Stock market touches 43,839 points, rupee dips slightly vs dollar
Bears reigned over the equities market on Monday, the first trading day of the week, as KSE-100 Index fell by as much as 647 points and settled at 43,839 points, its lowest level in the past six months.
At one time in the day, the index had declined to 43,720 points.
On Friday, the last working day of the week, the index was at 44,477 points.
A total of 226,575,595 shares were traded during the day against 176,069,599 shares on Friday. The loss in market capitalization amounted to Rs1.816 trillion.
Stock market experts contended that the market was affected by oil prices in the international market, which rebounded to above $80 a barrel.
They also attributed the bearish trend to the upcoming talks with the International Monetary Fund or IMF. It is likely that the Fund might seek total removal of subsidies on electricity and gas in addition to calling for increasing tax revenue.
All of this contributed to the panic selling in the market that induced foreign investors to pull out investment amounting to $4 million in the day.
According to a stock market report, shares of 548 companies exchanged hands during the course of the day. Of the total, shares of 471 firms posted a loss in value while gains were posted by just 61 companies. Prices of 17 shares remained firm.
Bearish trend mostly affected shares of WorldCall Telecom, TeleCard, Treet Corp, TRG Corp, Unity Foods and Byco Petroleum.
Prices of Nestle Pakistan and Systems Limited lost the most during trade on Monday.
Meanwhile, the value of the dollar against the Pakistani rupee gained in the inter-bank market, rising from Rs170.53 to Rs170.74.
In the open market, the dollar lost 10 paisa in value against the Pakistani rupee which moved to Rs170.9 before ending the day again at Rs171.