Fri. Mar 1st, 2024
SBP chief urges banks to increase presence in agriculture sectorSBP chief urges banks to increase presence in agriculture sector

The banking sector felt the heat at the Pakistan Stock Exchange (PSX) as the KSE-100 Index shed more than 900 points due to profit-taking in Monday’s intra-day trading.

Around 11:15 am, the benchmark index experienced a decline, reaching 65,321.59, marking a decrease of 902.04 points or 1.36%. However, within the next half-hour, a recovery brought the index back to the 66,000 level. By 1 pm, the index settled at 65,937.92, still reflecting a decrease of 285.71 points.

During the preceding week, the stock exchange witnessed an extraordinary bullish trend, breaking records as it reached historic highs. This surge was propelled by aggressive buying from both local and foreign investors, coupled with robust institutional support.

The benchmark KSE-100 index recorded a substantial week-on-week gain of 4,532.38 points, surpassing the psychological barrier of 66,000 and closing at an unprecedented high of 66,223.63 points.

Despite this remarkable performance, the recent pullback observed during intra-day trading can be attributed to profit-taking activities. In particular, the banking sector, with a focus on institutions like HBL and Meezan Bank, faced significant selling pressure during this period.

Market analysts and experts, such as Waqas Kukaswadia from JS Global, have characterized this decline as a normal market phenomenon. Kukaswadia emphasized that while profit-taking is occurring, the overall sentiment in the market remains optimistic.

Investors are closely monitoring the upcoming International Monetary Fund’s (IMF) executive board meeting scheduled for January 11, 2024. The outcome of this meeting is likely to influence market dynamics, and investors are keen to assess any potential implications for the economic landscape.

The market’s ability to recover and hover around the 66,000 level after a brief dip indicates resilience. The recent volatility is seen as part of the natural ebb and flow of the market, and market participants remain cautiously optimistic about the overall economic outlook.

As the financial landscape continues to evolve, market participants will be closely watching for further developments, economic indicators, and policy decisions that could impact the trajectory of the Pakistan Stock Exchange.

MARI successfully completes drilling of development well in Sindh

By Zarish

Leave a Reply

Your email address will not be published. Required fields are marked *