Stocks drop 623 points in tumultuous week
KARACHI: Stock trading on the national stock exchange started on a negative note over the past week amid investor concerns over the Russian-Ukrainian war as well as the political crisis in the country.
Net buying took place mid-week as investors welcomed a drop in global oil prices, which fell below $100 a barrel, according to Arif Habib Ltd. In particular, the cement sector remained in the spotlight following a drop in coal prices.
But as the week drew to a close, the stock market failed to sustain its gains on the back of the rupee falling to an all-time low of 180 against the dollar. Meanwhile, oil prices have also resumed their ascent.
As a result, the benchmark index stood at 43,030 points on Friday after losing 623 points or 1.43% from a week ago.
Sector-wise, negative contributions came from oil and gas exploration (310 points), banking (127 points), technology and communication (79 points), oil and gas marketing (42 points) and cement (39 points).
The sectors that contributed positively were fertilizers (96 points), food and personal care (15 points) and leather and tanneries (14 points).
At certificate level, the negative contributors were Pakistan Petroleum Ltd (140 points), Oil and Gas Development Company Ltd (103 points), TRG Pakistan Ltd (84 points), Habib Bank Ltd (63 points) and MCB Bank Ltd (43 points). points).
Meanwhile, the positive contribution in terms of certificates came from Fauji Fertilizer Company Ltd (91 points), Engro Fertilizers Ltd (58 points) and Bank AL Habib Ltd (32 points).
According to AKD Securities Ltd, the political uncertainty amid the vote of no confidence will continue to drive the market going forward. Meanwhile, the start of the rolling week will further add to market volatility. Other key market drivers will be global commodities and news flow regarding the ongoing IMF review.
Posted in Dawn, March 20, 2022