Considerably volatility was observed at the Pakistan Stock Exchange (PSX) right before and after the Panamagate verdict, with the benchmark KSE-100 Index plunging sharply twice before inviting support from investors to close nearly flat for the third consecutive session.
After falling 719 points in the first session of trading on Friday, the index saw another sharp fall in the opening moments of the second session. However, investors soon started buying into the oversold market, helping the index recover to 45,912.
Some analysts said the possibility of the prime minister's ouster had already been priced into the market, explaining the support on selling pressure.
A JS Global report said noted that after witnessing a rebound in the first four sessions of the week, the market nosedived by more than 1,600 points during the first of half of Friday ahead of the Supreme Court's decision regarding the disqualification of the prime minster.
However, the market recovered sharply to close six points up after the apex court announced the disqualification of the premier and value hunters saw it as an end to longstanding uncertainty.
Analyst Ahsan Mehnati said stocks had closed flat as uncertainty subsided after the PM's resignation.
"Rising global crude prices, upbeat financial results in the energy and auto sectors played a catalyst role in major recovery at market close," he added.
Close to 161 million shares worth around Rs16.6 billion changed hands— the highest volume witnessed since June 21.
Engineering stocks led the activity at the bourse with 42.3 million shares traded. The textile and the cement sectors followed with 32.5mn and 32.4mn shares respectively.
Of the total 360 companies traded, 213 had advanced while 134 declined and 13 remained unchanged.
Volumes were led by:
Azgard Nine: 24.9m shares traded [+6.70pc];
Engro Polymer: 19.7m shares traded [+0.22pc];
TRG Pak Ltd: 18.5m shares traded [+4.05.pc];
K-Electric Ltd: 16.4m shares traded [+2.49pc];
Aisha Steel Mill: 14.9m shares traded [+2.62pc].