Karachi, March 20, 2020: Some value buying was observed on the last trading session of week, as investor confidence improved following rebound in international markets and increase in oil prices. KSE 100 index gained 1.78 percent to close at 30,667 level. E&P sector led the market to close 7 percent higher. KEL led the volumes for the third connective day of the week with 23 million shares.
PSMC in the auto sector posted Loss per Share of Rs.2.85 for its 4Q2019 result announcement, earnings posted by the company were higher than industry consensus on the back of higher gross margin during the quarter.
KSE 100 index declined by 15 percent on WoW basis, making it the largest weekly decline since 2008. Increase in number of coronavirus cases across the country and resulting decline in commercial activity, dominated investors` sentiment where index tested its increased halt limit of 5 percent three times this week.
The downward trajectory of international markets where they extended their losses, along with pressure in oil prices also weighed down, where investors preferred to take an exit from the market amid uncertain future.
Decline in the policy rate by 75 basis point to 12.5 percent in monetary policy announcement earlier this week offered no support to the market, as investors expected a larger cut by SBP.
Average daily traded volume and value declined by 9.5 percent and 33 percent on WoW basis to 239 million shares and Rs.8.6 billion. Foreigners continued to be sellers in the market, as they sold equities worth $12.93 million as of yesterday during the outgoing week.