KSE-100 Slips Below 180,000 After Late Selling

Wednesday ended with the KSE-100 below 180,000, as the benchmark index closed 251 points lower at 179,083.80 after touching an intraday high of 180,769 earlier in the session.

The index fell 251.44 points, or 0.14 per cent, from the previous close of 179,335.24. Late selling in heavyweight stocks erased a rally that had carried the market past the 180,000 mark for the first time in the session.

Trading opened on a weak note. The index dropped to an intraday low of 178,642.36 before buyers returned and pushed it above 180,000. By early afternoon it had reached 180,769.21, up 1,433 points from the previous close. The gains did not hold. Selling pressure built up in the latter part of the session, and the index slipped to near 178,800 before a modest recovery into the close.

KSE-100 below 180,000: a day after the big rally

Wednesday’s retreat followed a powerful session on Tuesday, when the index jumped 5,448.56 points, or 3.13 per cent, to close at 179,335.24. That rally came after the long weekend, with broad-based buying as geopolitical tensions eased following US President Donald Trump’s peace remarks and oil prices slid to a two-month low.

Investor sentiment has also been helped by foreign inflows. Foreign investors poured $747 million into Pakistan’s bonds in recent weeks, and the finance ministry has pointed to a fiscal deficit at a 22-year low as a sign that the economy is steadying.

Feature Pakistan reported on Tuesday’s 5,448-point surge and on the index crossing 180,000 in early trade on Wednesday. The close below that level shows how quickly the mood turned once investors began to lock in profits.

Ali Najib, deputy head of trading at Arif Habib Ltd, said selling pressure intensified towards the close after the market had pushed to its intraday high. He said the market may keep a positive bias in the coming sessions, with selective buying the preferred approach, but profit-taking near the 180,000 level could bring bouts of volatility.

Cement stocks stay firm

Cement stocks extended their gains while the wider market fell. Investors are waiting for the Federal Constitutional Court to announce its verdict in the Punjab cement royalty case next week, and the street expects a favourable outcome for manufacturers.

On the corporate front, Thatta Cement rose 5.2 per cent after telling the exchange it had entered into a definitive agreement with Fauji Foundation for the restructuring of PSEL.

From the index contribution side, PSO, PSEL, EFERT, FABL and SYS were the top five positive contributors, adding about 290 points between them. On the other side, UBL, MEBL, LUCK, NBP and FCCL together pulled the index down by 428 points, showing where the profit-taking was heaviest.

Trading stayed busy

Market activity remained robust despite the lower close. Trading volume reached 1.24 billion shares, with total traded value of Rs41.7 billion. WTL led the volume chart with 231 million shares traded.

Total market capitalisation stood at Rs19.38 trillion, down from Rs19.40 trillion in the previous session.

The session leaves the market in a familiar spot. The index is up about 12,675 points this month, from a month low of 166,409.25, and the 180,000 level has become the line traders are watching. Whether it turns into support or resistance will depend on the next few sessions, and on the court verdict cement investors are waiting for.

Frequently asked questions

What happened to the KSE-100 on Wednesday?

The benchmark index closed at 179,083.80, down 251.44 points or 0.14 per cent, after touching an intraday high of 180,769.21.

Why did the market fall after crossing 180,000?

Profit-taking in heavyweight stocks set in after the early rally, and selling pressure intensified towards the close, erasing the session’s gains.

How did the market perform on Tuesday?

The index jumped 5,448.56 points, or 3.13 per cent, to close at 179,335.24 after the long weekend, helped by easing geopolitical tensions.

Which stocks moved the index most?

PSO, PSEL, EFERT, FABL and SYS added about 290 points between them, while UBL, MEBL, LUCK, NBP and FCCL together pulled it down by 428 points.

What are analysts watching next?

The Federal Constitutional Court verdict in the Punjab cement royalty case, due next week, and whether the index can hold above the 180,000 level.