The Pakistan Stock Exchange (PSE) witnessed sharp volatility on Tuesday, with the KSE-100 index closing at 166,258 points, down 1,432 points, or 0.85 per cent. The market opened at 167,685 points and touched a high of 169,237 points in the opening hours but later fell to a low of 163,907 points due to selling pressure. Investors turned cautious after the day’s uncertainty and ended in the negative zone.
According to market analysts, the banking sector was under the most pressure in today’s session. UBL and HBL had a significant negative impact on the index, while FFC, MARI and HUBC were also under selling pressure. Experts say that speculations regarding interest rates and uncertainty regarding economic policies have made investors cautious, leading to profit-taking in large companies.
In contrast, limited buying was seen in the cement and fertiliser sectors. LUCK contributed 212 points, while POL, MCB, EFERT and ATRL also tried to support the index to some extent. Overall, the trading volume of the index components recorded 345.39 million shares, indicating active investment; however, selling pressure prevailed.
According to experts, the KSE-100 has maintained a growth of more than 32 per cent since the beginning of the financial year, which shows the confidence of long-term investors; however, the decline of 4.48 per cent on a calendar year basis reflects the recent downturn. Analysts say that if foreign investment flows improve in the next few days, the market may stabilise; otherwise, volatility is likely to continue.
