Intraday Update: KSE-100 Index drops by another 863 points

December 19, 2023 (MLN): The Pakistan Stock Exchange (PSX) continued its downtrend on Tuesday, extending losses from the previous trading session with an additional decline of 863 points.

The benchmark KSE-100 index is currently trading at 64,382 points [10:10 am PST].

The index currently has a traded volume of 282.995 million shares.

This follows the index witnessing its second-highest daily traded volume in the last decade, just behind May 2021, in yesterday's trading session.

This long overdue correction can be attributed to over-leveraged positions in the market, coupled with profit-taking by investors after a prolonged rally.

While talking to Mettis Global News on the downturn, Shayan Jan, a treasury dealer at JS Bank, stated that the market is currently under selling pressure that is expected to persist for some more time.

He further noted that profit booking is currently dominating the market, despite the positive news of the country's current account posting a surplus worth $9 million in November.

To note, this comes as the first surplus recorded in the last 5 months.

Additionally, it is important to mention that the KSE-100 index snapped its 10-week-long streak last week with a marginal decline of 93.6 points or 0.14% WoW.

KSE-100 index was let down by Commercial Banks with 230.34, Fertilizer with 92.90, Cement with 57, Power Generation and Distribution with 536, Inv Banks with 48.5 and Oil and Gas Exploration Companies with 33 points.

Companies contributing to the index's decline included MCB with a decrease of 53.82 points, SYS with 20.34 points, KOHC with 17.32 points, SRVI with 16.63 points, and MARI with nearly 10 points.

In the broader market, the All-Share index is currently at 43,240.72 with a net loss of 403.11 points.

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