KARACHI: After pushing the benchmark KSE100 index above the 175,000 level during the first four sessions of the week amid a reversal in oil prices, the Pakistan Stock Exchange (PSX) failed to sustain its recovery rally on Friday as investors booked profits, pulling the index back below the milestone.
Topline Securities Ltd said that, taking a cue from international markets, investors preferred to book profits before the long weekend, with the index down 1,493 points, or 0.85 per cent, to close at 173,887.
The top negative contributors to the index were United Bank, Lucky Cement, Engro Holdings, Fauji Fertiliser Company and Pakistan Petroleum, Oil and Gas Development Company, Meezan Bank,Systems Ltd, National Bank and Pakistan State Oil, which cumulatively wiped out 966 points.
Ali Najib, Deputy Head of Trading at Arif HabibLtd, said the market opened subdued as investors took proñts after recent gains. Persistent economic and geopolitical uncertainties kept sentimentcautious, and broad-based selling pressure throughout the session drove the benchmark index lower.
On the macroeconomic front, according to PBS,Pakistan recorded a trade deficit of $3.9bn in October. Exports stood at $2.9bn, up 2.8pc year on year and 0.2pc month on month.Meanwhile, imports increased to $6.8bn, reflecting growth of 11.8pc year on year and 5.7pc month on month, highlighting continued pressure from the import billand the externaltrade imbalance due to higher international oil prices.
Amid a bearish trend, investor participation surged past the one billion mark as trading volume rose 48.02pc to 1.47 billion shares. However, traded value plunged 23.49pc to Rs22.5 billion. Bawany Air (R) led the volume chart with 687 million shares.
Analysts said the marl<et could maintain its positive momentum as geopolitical sentiment improves and oil prices ease.
However, profit-taking near recent highs, economic uncertainty and ongoing global developments may keep trading volatile, making selective buying preferable.