Karachi – The Pakistan Stock Exchange (PSX) investors chose to take profits on Tuesday, taking a conservative approach for the negative closing of the market. Intense volatility was witnessed during the trading session and at the end, the benchmark KSE 100 index closed at 177,623 points, down 638 points.
The index saw a band of approximately 1,688 points during trading, with the index hitting a high of 179,123 point at some point but a substantial fall later on, as selling pressures increased.
Market data indicated over 950 million shares were turned over during the day, worth more than Rs 41.5 billion. Then, the market capitalisation or the aggregate wealth of investors fell by Rs 77 billion and the volume of the market was reduced to Rs 19,950 billion.
Based on market sentiment, following the recent rally investors have increased their profit taking operations resulting into pressure on the market. Investors are closely watching the economic indicators, corporate financial statements and monetary policy announcements that are due to come out soon, as they shape the market for the rest of the day.
Analysts also state that despite the one day drop, the overall trend of the market will remain unchanged, but there might be a short term volatility, and investors will be looking at the economic stability, inflation and external financial factors.
