The Pakistan Stock Exchange (PSX) witnessed a volatile trading session on Tuesday, with the benchmark KSE-100 index fluctuating throughout the day before closing 802.56 points (-0.69%) lower at 115,042.25.
The index initially rose to an intraday high of 116,424.85, up 580.04 points, but selling pressure in the latter half of the session erased those gains, pushing it to an intraday low of 114,783.71 (-1,061.10 points).
Heavyweight stocks including MARI (-158.25 points), HUBC (-131.19 points), OGDC (-90.14 points), LUCK (-89.70 points), and PSO (-73.69 points) contributed significantly to the decline. In terms of sector, oil and gas exploration (-339.38 points), power generation and distribution (-163.20 points), cement (-125.49 points), and pharmaceuticals (-76.98 points) led the market decline.
However, gains in fertilizers (+128.45 points), investment banks/securities companies (+77.97 points), and composite textiles (+25.48 points) provided some support. Notable contributors to the upside include FFC (+119.58 points), ENGROH (+104.31 points), and MEBL (+76.94 points).
Market participation saw a slight increase as total trading volume across the all-share index rose to 767.27 million shares from 675.05 million in the previous session, although the value of shares traded fell to Rs31.83 billion from Rs37.53 billion.
Cnergyico PK topped the charts in terms of volume with 114.03 million shares traded, closing 5.81% higher at Rs 7.29. Other active stocks include Makramah Bank (69.48 million shares) and WorldCall Telecom (64.23 million shares).
The general index recorded a net loss of 522.76 points (-0.73%), closing at 71,419.59 points. Of the 450 companies whose shares were traded, the share prices of 135 companies increased, the share prices of 266 companies decreased, and the share prices of 49 companies remained unchanged.
Globally, financial markets were affected by US President Donald Trump’s announcements of potential trade tariffs on Mexico and Canada, impacting investor sentiment. Trump’s plans to impose 25% tariffs, along with uncertainty surrounding economic policies, sparked volatility in American and Asian markets.
The Pakistani rupee also saw a slight decline, falling by 0.06% against the US dollar to close at Rs 278.82 in the interbank market.
Market participants are now awaiting the next Monetary Policy Committee meeting on January 27, with expectations of a possible interest rate cut. Analysts at Intermarket Securities noted that market momentum could hinge on monetary policy developments, although the absence of major catalysts limits the potential for a sustained rally.