KARACHI, May 27: Shares plunged on the stock market on Monday with the KSE-100 index closing below the barrier of 21,000 points to 20,958.86 points. It represented a loss of 324.91 points.

After two consecutive weeks of heavy gains, the bulls were thought to be taking a breather. The equities suffered a domino impact on the early fall in some of the heavyweight stocks on Monday.

The leading losers were PSO, down by 4.2 per cent; Pakistan Petroleum 1.8 per cent and MCB Bank lower by 3.6 per cent. Losing stocks at 259 were far ahead of the gainers at 80.

Investors were also spooked over the volatility in regional markets where Japan bourse was taking a beating. It left market participants worried over the conti-nuity of foreign inflows.

However, the numbers released by the National Clearing Company of Pakistan in the evening provided the shaky investors with relief.

On Monday, the foreign investors were seen to have made net purchases of $2.75 million worth of Pakistani stocks. Among local participants too, banks were net buyers of $0.38 million worth shares. Companies meanwhile sold shares valued at $1.47m and banks, individuals and other organisations also were net sellers of $0.19m; $0.31m and $1.18m worth shares.

Analyst Ahsan Mehanti stated that stocks closed bearish amid uncertainty in global stock and commodities markets on concerns over world economic outlook.Sentiments were bearish also on concerns over the upcoming federal budget. `Investors awaited announcement for $15bn Saudi bailout package to ease circular debt issues in energy sector`, analyst said.

Limited foreign interest, concerns for rising budget deficit and $500m IMF loanrepayments due played a catalyst role in bearish sentiments at the KSE.

`Week started off with selling pressure witnessed at all levels`, commented JS Research.

Due to lack of foreign buying interest and vagueness on the Saudi government`sagreement on the documentation of $15bn bailout package made investors cautious as to how massive debts of the country would be met, analysts said.

Equity sales manager at Topline Securities observed that the pressure in regional markets coupled with rollover week concerns kept investors on the sidelines.

The market capitalisation based KSE-30 index dipped by 280.95 points to 16,228.37 points. Turnover declined to 235 million shares on Monday, from 361m shares last Friday. The trading value also slumped to Rs6.708 billion, from Rs9.397 billion.

Market capitalisation decreased by Rs52 billion to Rs5.104 trillion, from Rs5.156tr on Friday.

The two leading gainers on Monday were Nestle Pak, up by Rs100 to Rs6,700 and Pak Services higher by Rs16.11 to Rs338.46. On the down side, Island Textile gave up Rs37 to Rs703 and Sanofi-Aventis lost Rs22.98 to Rs436.76.

Among the volume leaders, BOP (right issue) took the lead with 47m shares traded down by one paisa to Rs2.28.It was followed by BOP on the ready counter up by 6 paisa to Rs11.57 on 21m shares.

Fauji Cement took the third slot with volume of 11m shares down 16 paisa to Rs11.46, Maple Leaf Cement also declined by 61 paisa to Rs20.38, WorldCall Telecom on 8m shares was lower by 3 paisa to Rs3.12, PTCL shed 52 paisa to Rs20.79 on 8m shares, Dewan Cement decreased by 11 paisa to Rs7.52, Engro Corporation down by Rs3.84, the fertiliser sector also taking the impact of fall in energy stocks. Pace (Pak), a third tier stock decreased by 18 paisa to Rs4.31 on 6m shares and Pakgen Power, which had hit the upper lock a few time last week, declined by Rs1.30 to Rs25.07 on uncertainty over the receipt of bail-out foreign funds.