Karachi: The Pakistan Stock Exchange (PSX) witnessed its sharpest single day decline in weeks on Friday as heavy selling pressure pushed the benchmark KSE 100 Index down by more than 3,700 points amid rising security concerns.
The KSE 100 Index dropped 3,703 points or 1.97 percent, to close at 184,130. Market sentiment weakened primarily due to the deteriorating law and order situation in Balochistan, where Barrick Mining announced a review of capital allocation, security arrangements and development timelines for the Reko Diq project. Analysts said this development raised concerns among investors about long-term investment prospects.
Market confidence was further shaken by a blast in Islamabad during Friday prayers, adding to existing uncertainty. Major index heavy stocks, including NBP, FFC, PPL, UBL, MEBL, HUBC, OGDC, ENGROH, BAHL and LUCK collectively dragged the index down by over 2,300 points.
Despite the sharp sell off trading activity remained strong. Total market volume reached 1.26 billion shares with a turnover of Rs60.2 billion indicating continued retail participation. K Electric led the volume chart with over 517 million shares traded.
On the corporate front Gillette Pakistan attracted strong buying interest after its majority shareholder accepted the proposed buy back price. Looking ahead analysts expect the PSX to remain range bound with security conditions posing a key risk.
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