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KARACHI: Retaliatory actions in response to New Delhi’s moves regarding the occupied Kashmir attacks led to continued selling in the share market, extending its overnight bearish trend and pushing the benchmark index below 115,000 intraday on Wednesday.
Growing concerns about the economy amid rising geopolitical tensions, persistent weakening of the rupee, declining foreign exchange reserves, and revision of the growth forecast by the IMF have made equity investors anxious.
Topline Securities Ltd said the benchmark KSE 100 index extended its overnight losses, remaining under pressure throughout the session. Weighed down by escalating regional tensions between India and Pakistan and the conclusion of futures rollover week, the market adopted a distinctly risk-off tone. The benchmark index plunged 2,564 points to hit an intraday low of an intraday low of 114,661.20. However, it settled at 115,019.82—down by 2,206 points or 1.88 per cent—reflecting heightened investor caution.
Most of the negative contributions came from Hub Power, Engro Corporation, Mari Energies, Bank Al-Habib Ltd, and United Bank Ltd, which collectively shaved 605 points off the index.
On the corporate front, Pakistan Tobacco Company Ltd reported its 1QFY25 results with earnings per share (EPS) of Rs24.53—down 20pc quarter-on-quarter but up 22pc year-on-year. The result came alongside a second interim dividend of Rs30 per share, mirroring its earlier interim payout.
In the cement space, Fauji Cement Company posted a 3QFY25 EPS of Rs0.87, representing a 47pc QoQ decline but a 21pc YoY rise. The cumulative 9MFY25 EPS stood at Rs3.84, up 34pc YoY, though earnings underwhelmed due to higher finance costs and subdued gross margins.
Ali Najib, Head of Sales at Insight Securities, said the deteriorating relationship between the two South Asian nuclear neighbours triggered selling across the board just after the opening bell rang.
However, the market activity was subdued as the trading volume dropped further by 16.27pc to 506.70 million shares, while the traded value dipped 11.79pc to Rs24.48 billion day-on-day.
Published in Dawn, April 25th, 2025
