Index down 177.58 points

The KSE-100 index declined by 177.58 points during the week ended on May 6, 2011 and closed at 11.879.96 points.
Trading also remained low due to investors'' lack of interest and the average
daily volume at ready counter declined to 67.77 million shares, or 35.2 percent, as compared to previous week''s 104.52 million shares. Market capitalisation declined by Rs 50 billion to Rs 3.157 trillion. Foreign investors turned net buyers of shares worth $18 million.
On Monday, the market opened under pressure and the index declined by 21.65 points to close at 12,035.89 points with volume of 76.128 million shares.
On Tuesday, the index lost 79.00 points and closed at 11,956.89 points with 50.670 million shares.
On Wednesday, the index registered a heavy fall of 284.84 points due to panic selling on fears of suspension of US aid and closed at 11,672.05 points with 89.086 million shares.
On Thursday, the market witnessed healthy recovery on the back of investors'' interest at low levels and the index recovered 234.64 points to close at 11,906.69 points with 58.316 million shares.
On Friday, the momentum did not continue due to investors'' cautious stance over prevailing geo-political situation, and the index lost 26.73 points to close at 11,879.96 points with 64.662 million shares. Yawar Uz Zaman, an analyst at Invest Capital and Securities, said that one of the most crucial weeks in the history of Pakistan had passed as the world''s most wanted man, Osama bin Laden, was reported killed by US troops on Pakistan''s soil. The dramatic event of killing of bin Laden created an uncertain environment in the country, and due to the "fear of unknown" KSE-100 Index shed 177 points.
However, positivity was witnessed at the bourse as after downfall by 385 points during the first three trading sessions, market on its fourth trading session witnessed a bounce back of 235 points. Still some pressure was felt during the final trading session as market witnessed zigzag movement.
He said at the time of difficulties where the whole world seems to be against Pakistan, China reaffirmed its support to Pakistan and insisted the world to help. Moreover, betterment was seen on the local front as government provided Rs 120 billion to ease-up circular debt issue. In addition to that, Moody''s analyst''s statement has reaffirmed that there is no immediate risk for Pakistan''s rating.
On fiscal front, the government is trying its level best to enhance the revenue collection for coming fiscal period as FBR is planning to impose gross asset tax (GAT) which will enable the government to bring the elite into the tax bracket.
Sana Hanif at JS Global Capital said that the week started off with the news of Osama bin Laden''s death, leading uncertainty to prevail at the local bourse as investors eyed plausible implications of this on the country''s macros. Uncertainty was further fueled when IMF, World Bank and ADB officials cancelled their respective trips to Pakistan. Even the much awaited relief on inter-corporate debt could not provide the much needed thrust to the market. However, a swift recovery was seen following neutral assessment by Moody''s on Pakistan''s economy where it maintained the country''s credit rating as well as outlook on foreign aid. Yet this remained short lived phenomenon due to melt down in global stocks and commodities on Thursday.