Despite a notable slowdown in inflation, the 76,000 level proved to be a strong resistance point for the benchmark KSE-100 index. The index experienced heavy selling pressure after briefly crossing above it during Monday’s trading session.
MARKET PERFORMANCE
By the end of the session, the KSE-100 index closed at 75,575.26, marking a decrease of 303.22 points or 0.4%. The index traded within a range of 714.59 points, reaching an intraday high of 76,209.97 (+331.49) and a low of 75,495.38 (-383.09). The total volume for the KSE-100 index was 190.98 million shares.
INFLATION DATA AND MARKET REACTION
Official data released today showed that consumer price gains eased to 11.8% YoY in May, significantly lower than economists’ forecasts. This bolstered expectations for the State Bank of Pakistan (SBP) to move away from its “higher-for-longer” stance on interest rates.
SECTOR PERFORMANCE
Of the 100 index companies:
- 45 closed up
- 51 closed down
- 2 were unchanged
- 2 remained untraded
The sectors that dragged the index down included:
- Commercial Banks (-159.46 pts)
- Fertilizer (-121.19 pts)
- Oil & Gas Exploration Companies (-43.61 pts)
- Power Generation & Distribution (-24.66 pts)
- Engineering (-20.68 pts)
Conversely, the sectors that supported the index included:
- Cement (+27.37 pts)
- Automobile Assembler (+25.86 pts)
- Technology & Communication (+15.21 pts)
- Leather & Tanneries (+10.13 pts)
- Miscellaneous (+7.6 pts)
NOTABLE COMPANIES
Companies that significantly dragged the index lower were:
- Systems Limited (SYS) (-59.57 pts)
- Fauji Fertilizer Company (FFC) (-45.88 pts)
- Meezan Bank Limited (MEBL) (-42.62 pts)
- Engro Fertilizers Limited (EFERT) (-35.95 pts)
- Engro Corporation (ENGRO) (-35.01 pts)
Companies that added points to the index included:
- TRG Pakistan Limited (TRG) (+61.36 pts)
- Millat Tractors Limited (MTL) (+22.42 pts)
- Pakistan Oilfields Limited (POL) (+12.32 pts)
- Nestlé Pakistan Limited (NESTLE) (+11.16 pts)
- Avanceon Limited (AVN) (+10.78 pts)
BROADER MARKET PERFORMANCE
In the broader market, the All-Share index closed at 48,804.39, experiencing a net loss of 23.93 points. The total market volume was 441.26 million shares, down from 523.30 million in the previous session, with the traded value recorded at Rs18.63 billion, showing a decrease of Rs1.94 billion.
There were 231,745 trades reported across 426 companies, with 199 closing up, 178 closing down, and 49 remaining unchanged.
TOP TEN BY VOLUME
| Company | Volume |
|---|---|
| Fauji Cement Company Limited (FCCL) | 32,835,391 |
| K-Electric Limited (KEL) | 31,651,913 |
| Pakistan International Airlines (PIAHCLA) | 25,572,549 |
| Dewan Farooque Motors Limited (DFML) | 18,872,126 |
| Airlink Communication Limited (AIRLINK) | 16,065,198 |
| Worldcall Telecom Limited (WTL) | 14,530,438 |
| Pak Elektron Limited (PAEL) | 14,056,348 |
| Avanceon Limited (AVN) | 10,274,922 |
| Kohinoor Spinning Mills Limited (KOSM) | 10,244,388 |
| Hum Network Limited (HUMNL) | 10,198,333 |
YEARLY GAINS
Despite the day’s losses, the KSE-100 has gained 34,123 points or 82.32% during the fiscal year. The ongoing calendar year has witnessed a cumulative increase of 13,124 points, equivalent to 21.02%.
