The Pakistan Stock Exchange (PSX) witnessed another volatile session, as the benchmark KSE-100 Index searched for direction throughout the day before closing flat, while volume and value of shares traded declined on Tuesday. Investors have opted to remain on the sidelines ahead of the federal budget that is scheduled to be announced on Friday, June 10, 2022.

Banks, tech, food and power sector's stocks saw selling pressure.

At close, the index ended up at 41,568.41, a decline of 8.8 points or 0.02%.

Meanwhile, a mounting import bill weakened the rupee that closed at 202.83 on Tuesday, its weakest level in history, against the US dollar.

KSE-100 powers upwards as cherry-picking helps

The KSE-100 started off on a positive note as the benchmark index hit an intra-day high of 41,854, up 277 points. However, selling pressure was seen in the latter half of the day.

“Pakistan equities witnessed a mix trend as all eyes are now on the upcoming budget which is scheduled to announce on Friday, Jun 10, 2022,” said Topline Securities in its post-market comment.

“Investors opted to stay sidelines which compelled benchmark index to slide."

On the economic front, Pakistan’s REER clocked in at 95.85 in the month of April 2022 as compared to 96.66 in March 2022 and 102.95 in April 2021, shared data released by the central bank.

Sectors pushing the benchmark KSE-100 index lower included technology and communication (14.01 points), food and personal care products (11.86 points) and fertilizer (11.70 points).

Volume on the all-share index dropped to 157.4 million from 189.2 million on Monday. The value of shares traded fell to Rs4.2 billion from Rs4.9 billion recorded in the previous session.

TPL Properties was the volume leader with 17.45 million shares, followed by Unity Foods with 15.53 million shares, and Pak Refinery with 13.41 million shares.

Shares of 329 companies were traded on Tuesday, of which 128 registered an increase, 180 recorded a fall, and 21 remained unchanged.