KARACHI: The Pakistan Stock Exchange (PSX) failed to sustain gains on Tuesday and succumbed to selling pressure.
Although the bulls managed to overpower the bears for a brief period of time, the day ended with bears in control. Also, amidst economic uncertainty, recent political developments in the region forced the investors to keep their cautious stance intact. Foreign investors in Pakistan completed their hattrick as net sellers with a net outflow of $46,614.
The KSE-100 Index traded positively in the initial hours, as it gathered 149.24 points to mark its day’s high of 31,330.04. The index then dropped down to a new 52-week low at 30,946.73, losing 234 points. It finally settled lower by 180.13 points at 31,000.67.
The commercial bank sector (-67.37 points) dented the KSE-100 Index the most. MCB Bank Limited (-36.96 points) and United Bank Limited (UBL -34.62 points) contributed negativity in this regard.
Interestingly, Habib Bank Limited (HBL +23.41 points) remained the biggest positive contributor to the index.
The KMI-30 Index dropped 131.87 with oil and gas exploration sector pulling the index lower by 71.36 points, while the KSE All Share Index lost 133.08 points to close at 22,605.67. The commercial bank sector (-37.78 points) was the culprit here too.
Financial results were announced by four companies during the session. AGP Limited (AGP 0.62pc) and Pak Gum and Chemicals Limited (PGCL 0.00pc) managed to improve their earnings from the same period last year, while earnings per share of Engro Polymer and Chemicals Limited (EPCL -1.32pc) were 75.50pc lower as compared to the second quarter of 2018.
Wednesday looks like a busy day with six companies scheduled to declare their financials, including United Bank Limited (UBL -2.41pc), MCB Bank Limited (MCB -2.52pc) and Cherat Cement Company Limited (CHCC -0.11pc).
In a notice to the exchange, the Board of Directors of Sakrand Sugar Mills Limited (SKRS -4.31pc) approved the setting up of its branch offices in Qatar and UAE with a view to facilitating import from Pakistan. The company expects to export 300,000 bags at an average rate of $15. This shall attract profits of around 30pc on export sales.