The Pakistan Stock Exchange’s (PSX) benchmark KSE-100 Index ended Wednesday’s session slightly lower, as late-session selling pressure wiped out earlier gains from the day’s trading.
The KSE-100 started the session positive, hitting intra-day high of 140,202.18, a momentum boosted by the reports of Chief of Army Staff (COAS) Field Marshal Syed Asim Munir meeting the business community and assuring them of his full support for the economic growth of the country.
However, the session’s second half witnessed selling pressure that pushed the index to the negative territory.
At close, the benchmark index settled at 139,254.36, down by 165.26 points or 0.12%.
Key laggards included ENGROH, HBL, PKGP, MCB, and MEBL, which collectively shaved off 277 points from the index. In contrast, BAHL, MARI, and HUBC offered some support, contributing a total of 174 points, brokerage house Topline Securities reported in its post-market report.
On Tuesday, PSX surged as investor sentiment strengthened. Confidence rose after a meeting between business leaders and Field Marshal Asim Munir coupled with the government’s Senate majority win further eased political uncertainty. The KSE-100 Index surged by 1,202 points or 0.87% to close at 139,419.62 points.
In a key development, Field Marshal Syed Asim Munir on Tuesday assured the country’s business community of his full support for the economic growth of the country, according to a FPCCI statement on Tuesday.
During the meeting, COAS Munir instructed the Federal Board of Revenue (FBR) to have dialogue with businessmen over arrest powers, penalties.
“The business community is immensely thankful to Field Marshal Asim Munir for immediately directing that the new provisions; particularly those added under Sections 37A and 37B of the Sales Tax Act 1990, of arrest and detention; be held in abeyance; and, for instructing the FBR to enter meaningful and solution-oriented dialogue with stakeholders and address their concerns,” the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) statement read.
Internationally, a rally in Japanese shares led Asian markets on Wednesday after President Donald Trump announced a trade deal with Japan and fuelled hopes of more to come, tempering the disappointment from US earnings that highlighted the drag from higher tariffs.
Trump late on Tuesday said a trade deal with Tokyo will include Japan paying a lower 15% tariff on shipments to the US. It followed an agreement with the Philippines that will see the US collect a 19% tariff rate on imports from there.
Japan’s Nikkei jumped 2.6% on Wednesday as shares of automakers surged on news that the deal lowers the auto tariff to 15%, from a proposed 25%. Mazda Motor rallied 17% while Toyota Motor jumped 11%.
EUROSTOXX 50 futures rose 0.8%, while Wall Street futures were up about 0.1%.
In another positive development, US and Chinese officials will meet in Stockholm next week to discuss an extension to the August 12 deadline for negotiating a trade deal, Treasury Secretary Scott Bessent said.
Chinese blue-chips edged up 0.3% and Hong Kong’s Hang Seng index gained 0.5%. MSCI’s broadest index of Asia-Pacific shares outside Japan advanced 0.6%.
Meanwhile, the Pakistani rupee registered marginal improvement against the US dollar, appreciating 0.07% in the inter-bank market on Wednesday. At close, the currency settled at 284.76, a gain of Re0.21.
Volume on the all-share index increased to 656.64 million from 629.03 million recorded in the previous close.
The value of shares declined to Rs32.09 billion from Rs34.67 billion in the previous session.
WorldCall Telecom was the volume leader with 55.41 million shares, followed by Media Times Ltd with 38.37 million shares, and First Dawood Prop with 31.29 million shares.
Shares of 483 companies were traded on Wednesday, of which 211 registered an increase, 243 recorded a fall, while 29 remained unchanged.
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