KARACHI: Pakistan Stock market failed to break the bearish spell extending from the previous week as investors remained cautious regarding the country’s foreign relations issues, in addition to the terror incident in Lahore. The security situation and the indication of the fourth wave of COVID-19 have had a negative impact on the market.
The Karachi Share Index (KSE-100) ended the day with losing 601 points (1.26 per cent) at 47,002.35 points against the previous closing of 47,603.36 points. The market went as high as 47,659.19 points during intra-day trading, while recorded as low as 46,900.26 points.
Trading volumes declined to 655 million shares today, as compared to 761.4 million shares during the last trading day, while the daily traded value moved down to Rs18.8 billion from Rs21.74 billion in the previous session, the data said.
The negotiations and requests between Pakistan and United States related to the Afghan issue keeping investors cautious as it may pass on the impact on the economy and also on the internal security conditions going forward, traders and analysts said.
As it prepares to pull out from Afghanistan, the US has asked Pakistan to allow cross-border counter-terrorism missions against al Qaeda, Islamic State, and the Taliban from its soil. Pakistan’s National Assembly summoned a session of the Parliamentary Committee on National Security on July 1 to discuss the situation in Afghanistan and Kashmir in an in-camera session at Parliament House. Parliamentary committee to discuss the request for US bases in Pakistan. The results of these political developments are likely to impact investor confidence in the market.
The share price of Hinopak Motor increased by Rs42.95 to Rs615.62, while Pakistan Tobacco gained Rs24.40 to Rs1,401. On the other hand, Bata Pakistan lost Rs70.60 today to close at Rs1,660.43 while Sanofi-Aventis lost Rs46.94 to close at Rs923.06.