“Black Tuesday”: The PSX experiences its largest one-day loss, falling more over 2,500 points
The benchmark index fell more than 2,500 points on Tuesday, marking the largest one-day fall on the Pakistan Stock Exchange (PSX). Analysts blamed the decline on a year-end correction.
According to the PSX website, the KSE-100 dropped to a low of 59,170.97 points, down 2,534.12 points or 4.11%, from the previous closing of 61,705.09 points.
Brokerage company Arif Habib Limited, situated in Karachi, reports that the KSE-100 index saw its largest-ever dip today, falling 11% from its peak of 66,427 points.
Leveraged positions may potentially still be unwinding, according to Intermarket Securities’ Head of Equities Raza Jafri, but volumes are on the lower side.
“It is possible the corrective phase runs its course out this week, and that January opens on a more positive note,” he said.
The CEO of financial advisory firm Alpha Beta Core, Khurram Schehzad, referred to it as “Black Tuesday” for the PSX.
Year-end correction and profit-taking are two of the issues that are hurting the market, according to Samiullah Tariq, Head of Research at Pakistan-Kuwait Investment.
Since the rollover period and the extended holidays were predicted to result in limited trading activity the following week, stocks finished the previous week on a negative note as investors cashed in their profits. As the
The brokerage Arif Habib Ltd stated in a report that “we expect subdued interest from foreign investors in the market owing to long holidays.” “In addition, investors will be keeping a close eye on the rollover period that begins next week.”
“Moreover, we observe that stocks persistently offer attractive valuations, possibly enticing investors.”
Week over week, the market dropped 4,425 points, or 6.7%, to settle at 61,705 points.
KSE-100 Index highest ever Decline by 2,534 points (-4.11% DoD) closing at 59,171 points. Dropping 11% from its peak of 66,427 points.@Pakstockexgltd#KSE100 #PSX #Equities #Pakistan pic.twitter.com/Kb4qUfUfRq
— Arif Habib Limited (@ArifHabibLtd) December 26, 2023
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