KARACHI: The Pakistan Stock Exchange (PSX) experienced a range-bound session on the final trading day of the week, with the benchmark KSE-100 index fluctuating within a narrow band before closing in negative territory. The cautious activity was attributed to limited progress in US-Iran peace negotiations and persistent regional tensions, including clashes in Lebanon despite a ceasefire.
At the close of trading, the KSE-100 index posted a decline of 696.57 points, or 0.41%, settling at 170,478.94. Topline Securities noted a range-bound trading session, with the index closing down 0.41% at 170,479 points. The cautious market activity was largely driven by limited progress in US-Iran peace talks during the week, while renewed tensions emerged in the region as clashes continued despite a ceasefire agreed in April. Hostilities in Lebanon further weighed on investor sentiment.
Positive and Negative Contributors
The top positive contributions to the index came from PSX, Javedan Corporation, Kohinoor Textile Mills, Millat Tractors, and Nishat Power, which cumulatively added 138 points. On the other hand, UBL, Oil and Gas Development Company (OGDC), Pakistan Petroleum (PPL), MCB Bank, and Meezan Bank lost value, dragging the index down by 476 points.
In terms of traded value, Maple Leaf Cement (Rs1.33 billion), TRG Pakistan (Rs1.02 billion), PTCL (Rs992 million), DG Khan Cement (Rs705 million), OGDC (Rs655 million), and PPL (Rs635 million) dominated the activity.
Market Breadth and Support Levels
Arif Habib Limited (AHL) noted that throughout the week, the 170,000 level held steady despite the KSE-100 declining by 2%. On Friday, market breadth was slightly negative, with 44 shares rising while 51 fell. The most significant contributors to index gains were PSX (+10%), Javedan Corp (+2.57%), and Kohinoor Textile Mills (+4.36%), while the biggest drags were UBL (-1.27%), OGDC (-1.31%), and PPL (-1.74%).
Looking ahead to the upcoming week, AHL stated that 170,000 remains the key support level, while 175,000 stands as the primary upside target.
Domestic and Corporate News
On the domestic economic front, Minister of State for Finance Bilal Azhar Kayani announced in televised comments that the government would implement a fixed 1% tax on retailers with an annual turnover of Rs200 million or less, a measure expected to affect approximately 4.4 million retailers. In the corporate sector, Telenor ASA was reportedly considering the sale of its controlling stake in the digital banking arm, Easypaisa Bank Ltd, in Pakistan.
On the geopolitical front, talks between the US and Iran over an interim peace deal showed little progress, alongside clashes in Lebanon.
Volume and Market Data
Overall trading volumes were recorded at 727.17 million shares, compared with the previous session's tally of 697.17 million. The value of shares traded during the day was Rs26.75 billion. In the ready market, shares of 491 companies were traded. Of these, 248 stocks closed higher, 205 fell, and 38 remained unchanged.
TPL Properties was the volume leader, with trading in 42.06 million shares, gaining Rs0.57 to close at Rs9.33. It was followed by TPL Corp with 42 million shares, gaining Rs0.49 to close at Rs12.20, and Pace (Pakistan) with 41.81 million shares, gaining Rs0.90 to settle at Rs11.62.
During the day, foreign investors bought shares worth Rs144.3 million, as reported by the National Clearing Company.
