Closing Bell: Equity market sacrificed to devaluation

May 16, 2019 (MLN): The domestic equity markets were run over by a steep round of PKR depreciation today that kept investors and market participants on their toes all day long. Yesterday’s 406 point recovery at the KSE – 100 index was nearly completely overthrown in today’s intraday as the index sank to a day low of 33,574 points.

Luckily enough, the index regained enough points to close the day 320 points below yesterday’s closing quote as the session was concluded at 33,971 points.

The maximum losses were incurred on the stocks of Commercial Banks which as a sector stripped the index of 112 points alone. Following closely were Cement Companies and Oil & Gas Marketing Companies which collectively took away another 130 points from KSE – 100.

On the flip side, Oil & Gas Exploration Companies benefitted the most from today’s devaluation as they pooled in 78 points for the index.

Within the index, 85 million shares of 93 companies were traded in today’s session at PKR 3.5 billion. Out of these 93 companies, the stock price of 72 companies recorded a decline.

Meanwhile, the broader KSE All Share Index shed 207 points in today’s trade, thus closing the session at 25,077 points.

The decline in the stock prices coupled with the depreciation of the rupee wiped out USD 2.12 Billion or 4.29 percent of the market capitalization, in dollar terms, in just a matter of minutes.

Within this index, 108.6 million shares were traded at PKR 3.75 billion.

Copyright Mettis Link News