Stocks clam down amid profit-taking

Stocks clam down amid profit-taking

KARACHI: Stocks closed on a flat note on Friday as the Pakistan Stock Exchange’s (PSX) benchmark 100-share index settled with a slight gain of 8.45 points at 36,693.5.

After the intense rally witnessed a day ago, the market remained volatile on Friday.

At the sound of the opening bell, the index spurred to an intraday high of 163 points, but succumbed to selling pressure later in the day as investors decided to take profit ahead of the weekend.

The index then dropped to an intraday low of 38 points, but managed to close in the black.

Volumes for the day stood down at 395 million shares on Friday from an unusually high volume of 468m seen the previous day.

It, however, was considerably above the year-to-date average turnover of 103m shares. Trading value also dipped to Rs11.6 billion from Rs16bn.

The cement and fertiliser sectors remained under selling pressure. Banks, autos and pharmaceuticals had a mixed day.

Major contribution to the index rise came from consumer goods sector and energy players.

Analyst Arhum Ghous at JS Global noted that a slight correction was seen in scrips expected to be part of the MSCI Emerging Market Index such as MCB (-1.36pc), FFC (-0.71pc) and ENGRO (-0.62pc). PPL gained 3.79pc as the Balochistan cabinet approved the agreement to give Sui gas field lease to PPL for another 10 years.

The stock market turned strong also on the back of a discovery of hydrocarbons from an exploratory well wholly operated by the PPL.

ASC fell 2.4pc on reports that the government is considering levying sales tax in the upcoming budget on all types of meat sold in retail packing and animal feed.


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