After a positive start, selling pressure was observed at the Pakistan Stock Exchange (PSX), with the benchmark KSE-100 Index shedding over 1,000 points during intraday trading on Monday.
At 12:45pm, the benchmark index was hovering at 183,102.61, a decrease of 1,026.97 or 0.56%.
Selling was observed in key sectors, including automobile assemblers, cement, commercial banks, oil and gas exploration companies and OMCs. Index-heavy stocks, including OGDC, MARI, PPL, PSO, SSGC, HBL, MEBL and NBP, traded in the red.
Meanwhile, Pakistan and the United States are reportedly holding high-level bilateral talks early this week on a range of international and bilateral issues, including trade and investment, well-informed sources told media.
During the previous week, the PSX navigated high volatility marked by geopolitical uncertainty, rising domestic yields, external trade challenges and mixed sectoral performance, with the benchmark KSE-100 Index ultimately ending the week almost unchanged, reflecting a balance between emerging risks and pockets of resilience across select sectors.
The KSE-100 Index closed at 184,129.58 points, down marginally by 44.90 points week-on-week from the previous close of 184,174.48 points.
Internationally, Asian markets jumped on Monday as a resounding win for Japanese Prime Minister Sanae Takaichi whetted appetites for more reflationary policies, while there was widespread investor relief at a last-gasp rebound in US chip stocks.
A rally in chip stocks and bargain hunting in beaten-down momentum plays, including silver, had helped shore up sentiment, as did wagers of more rate cuts from the U.S. Federal Reserve.
A rate cut by June is now seen as an odds-on bet, with a slew of economic data this week on jobs, inflation and spending expected to reinforce the case for stimulus.
Japan’s Nikkei led the gains with a rise of 4.4% to all-time highs as the government’s decisive majority clears the way for more spending and tax cuts.
The prospect of more borrowing, however, pushed two-year yields up to their highest since 1996 at 1.3%.
MSCI’s broadest index of Asia-Pacific shares outside Japan rose 2.2%, while South Korea’s tech-heavy index climbed 4.3%.
This is an intra-day update
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