KARACHI (Web Desk) – Shares at the Pakistan Stock Exchange (PSX) traded in the red on Monday as the benchmark KSE-100 shed more than 1,100 points, which analysts said was “in line with global markets”.
The benchmark KSE-100 index declined by 724.96 points, or 0.93 percent, to stand at 77,501.02 points from the previous close of 78,225.98 at 2pm.
Finally, the index closed at 77,084.48 points, down by 1,141.50 points or 1.46 percent from the previous close.
Mohammed Sohail, chief executive of Topline Securities, called the bearish momentum at PSX “in line with global markets”, adding that “selling was observed at PSX though with less intensity”.
Yousuf M Farooq, director of research at Chase Securities, said, “The market has reacted to a global sell-off on fears of a slowdown in the US and a rate hike by the Bank of Japan.”
During the previous week, the PSX remained highly volatile due to selling pressure on investor concerns over political noise in the country. The benchmark KSE-100 index, after moving in both directions, closed positive at 78,225.98 points, slightly up by 196.47 points on a week-on-week basis.
During the week, Fitch raised Pakistan’s long-term foreign currency issuer default rating (IDR) to ‘CCC+’ from ‘CCC’ earlier, while S&P maintained Pakistan’s rating at ‘CCC+’ for long-term sovereign credit rating and ‘C’ short-term rating.
Globally, Tokyo led a collapse across Asian equities Monday, while the yen hit a six-month high after weak US jobs data fanned fears of a recession in the world’s top economy and boosted bets on several Federal Reserve interest rate cuts.