KSE-100 closes flat ahead

#KSE100 #closes #flat #ahead

KARACHI: The Pakistan Stock Exchange (PSX) closed the flat on Monday, with a permanent geographical political tension and the market speculation before the announcement of the monetary policy. The State Bank of Pakistan’s Financial Policy Committee finally announced a cut in 100 points, making the key rate of 11 %.

The benchmark KSE-100 index closed at 11.7 points or 0.01 percent, which was at 114,102.24 points, lower than 114,113.94 points in the final session. The highest index of the day was 114,552.21 points, while the lowest level was recorded at 113,077.67 points.

Arif Habib Limited analyst Ahsan Mahanti said that the SBP policy stance has led to the ambiguity of the SBP and the reduction of crude oil prices globally, as well as the government’s security measures to suspend trade relations and ban Indian flagship ships.

He said that by increasing the Pakistan -India border tension, the fluctuations and concerns about the possible consequences also played a vital role in approaching the marketplace. The KSE -30 index decreased by 108.83 points or 0.31 percent by 34,917.43 points to 34,917.43 points.

Trade shares increased from 27 million shares to 399.538 million shares to 372.363 million shares. The commercial value dropped from Rs 23.285 billion to Rs 19.852 billion. Market Capital increased by Rs 13.808 trillion to Rs 13.822 trillion. Of the 452 companies operating in the session, 240 green, 155 Red and 57 changed. Topline securities analysts said that the benchmark index was quite fluctuating during the day’s session, which fell by 1,036 points in the initial trade. However, it did a strong recovery in the second half, mainly supporting the cement sector, as investors expect the announcement of the monetary policy on Monday evening will reduce the possible rate.

The recovery was mostly assisted by key stocks like FFC, DGC, FCCL, POIC, and MLCF, which combined the index by about 276 points.

PIA Holding Company Limited B recorded the highest increase, which increased to Rs 480.30 to Rs 5,283.26 per share, after which Nestlé Pakistan Limited increased by Rs 288.09 to Rs 7,190.36 per share. A significant reduction was noted in Atlas Honda Limited, which was reduced by Rs 25.19 to Rs 1,150.36 per share. Bata Pakistan Limited followed it, which was reduced from Rs 15.29 to Rs 1,564.71 per share.

Brookridge, director of the Chase Securities Pakistan (Pvt) Limited, said that despite further increase between Pakistan and India, tensions are high, with rumors of possible changes in US travel advice for both countries, market sentiments are weighing.

In the announcement of its latest monetary policy, the State Bank of Pakistan (SBP) reduced the benchmark interest rate to 100 points (BPS). The move was widely expected and investors’ interest in the sectors was mobilized. He said that cement stocks, especially highly beneficial companies such as DG Khan Cement (DGCC) and Power Cement, led the rally, which posted the benefits between 4.0 percent and 7.0 percent.

He said, “Consumer -based stocks also saw the above pace, companies like Pak Electron Limited (PAEL) and Sezigar Engineering Works (Szgar) are increasing by about 3.0 percent, which reflects investors ‘hopes about low borrowing costs and increasing consumers’ costs.

Power Cement remained the volume leader with 41.339 million shares, which closed at Rs 14.91 per share, more than 98 bucks. World Call Telecom, with 23.846 million shares, followed it, which closed 7 money per share to Rs 1.34 per share. An important turnover stock includes Maple Leaf, Sui South Gas, Hospital Petrol, K Electric LTD, Bo Punjab, Dewan Cement, DG’s cement and military cement.

In the futures market, 333 companies recorded trade, of which 212 increased, 117 declined, and 4 did not change.