The equities closed in the red after listless trading yesterday with the benchmark testing the 31,000 level in the absence of buyers. Turnover fell nearly 30% compared to the previous week’s average.
This happened in spite of the fact that the Prime Minister visited the bourse in the morning and it was everyone’s belief that the visit will set the market off on a bull run.
At close, the Karachi Stock Exchange (KSE) 100-Share Index recorded a fall of 0.72% or 224.22 points at 31,086.51.
JS Global analyst Arhum Ghous said cement stocks failed to benefit from the recent discount rate cut, while the textile sector remained under pressure as its exports fell 2.9% month-on-month and 10% year-on-year in February 2015.
“The discount rate cut dampened banking returns, evident from a run on most banking stocks through the day’s trade.”
Trade volumes fell to 99 million shares compared to 128 million on Tuesday.
Shares of 330 companies were traded. Of these, 231 companies declined, 70 closed higher and 29 remained unchanged. The value of shares traded during the day was Rs6.1 billion.
Pak Elektron was the volume leader with nine million shares, losing Rs2.33 to close at Rs48.39. It was followed by Maple Leaf Cement with 6.4 million shares, losing Rs1.53 to close at Rs51.36 and K-Electric Limited with 5.4 million shares, losing Rs0.14 to close at Rs7.01.
Foreign institutional investors were net sellers of Rs107 million worth of shares during the session, according to data maintained by the National Clearing Company of Pakistan.