November 28, 2022 (MLN): Pakistan equities witnessed a bloodbath on Monday as the trading floor endured huge selling pressure, losing 865.39 points to settle the benchmark KSE-100 index at 42,071.34 while marking an intraday low of 419,63.94.
This negativity stemmed from the SBP’s unexpected decision to increase the policy rate by 100 bps to 16%. The business community termed this decision unfavorable for the business environment as the rate of borrowing would significantly increase.
At the same time, the Karachi Inter Bank Offer Rates (KIBOR) rate has jumped by 91 basis points (bps). Within six months KIBOR has increased by 91 bps to 16.81%, and one-year KIBOR surged by 90 bps to 17.09%.
By the session’s end, the total volumes of the KSE-100 index stood at 121.76mn shares, increased by 57% DoD from 77.54mn shares traded on Friday.
In terms of sectors, most of the selling pressure came from cement, oil & gas exploration, commercial banks, fertilizer, and technology which cumulatively subtracted over 550 points to the index tally by the day’s end.
Out of 94 companies’ shares traded today 5 companies recorded gains and 88 companies sustained losses and the shares of one company remained unchanged.
The stocks that emerged as net losers during the day included CHCC (7.5%), LUCK (5.38%), ENGRO (2.18%), POL (2.65%), OGDC (2.75%), and TRG (2.26).
Meanwhile, the volume leaders on the benchmark index were KEL (29mn), CNERGY (9.39mn), MLCF (7.47mn), UNITY (6.8mn), and PTC (5.4mn).
