LSE equities suffer losses

Equities failed to maintain its overnight values and suffered losses on the Lahore Stock Exchange (LSE) amid thin trading volume mainly for lack of interest on the part of institutions as well as investors.
The LSE-25 index declined from previous closing of 3519.87 points to 3495.11 points denoting a fall of 24.76 points, while transaction volume significantly moved down from 14.375 million shares to 8.375 million shares.
The market failed to attract investors who remained on the sidelines, while corporate earnings also failed to attract the investors. Both the MCB and the NBP resisted the declines whereas most blue chips, including OGDC, PTCL, PSO, and Bank of Punjab remained under pressure and forced the market to close in negative zone.
Dr Shahid A. Zia of Switch Securities, said the market resumed trading amid depressed sentiments and remained in sluggish mood throughout the day. Not only the investors, but also the brokers were seen frustrated and avoided fresh entries, he added.
He said the SECP's helplessness in taking action against those responsible for the market crash in March last did not let the sentiments improve, adding the main brokers, being blamed for the scam, are offloading their positions in a bid to quit the business. The corporate earnings, particularly, the financial results of the leading banks could not help market recover its position, he observed.
The investors' lack of interest can be seen from total trading volume, which is considerably less than that of single share's turnover in bullish spell. Despite the fact, the badla is going to be phased out by August 26, as no alternative system has so far been introduced to replace the previous one, he maintained.
Declining stocks were considerably more than the advancing ones, as out of a total of 89 companies, nine improved theirs values, 28 registered losses, while 52 remained unchanged.
Among major gainers, Picic gained Re 1.00, MCB moved up by 60 paisa, Adamjee Insurance appreciated 50 paisa, while Faysal Bank was up by 45 paisa.
Among losers, Engro Chemical declined by Re 1.00, OGDC depreciated 95 paisa, while Nishat Mills and PSO were down by 85 paisa and 75 paisa, respectively.