Selling pressure was observed at the Pakistan Stock Exchange (PSX) on Wednesday, with the benchmark KSE-100 Index closing the day with a loss of over 800 points.
Negative sentiments largely prevailed throughout the trading session, dragging the KSE-100 Index to an intra-day low of 132,326.17.
At close, the benchmark index settled at 132,576.98, a decrease of 826.21 points or 0.62%.
The decline was mainly driven by negative contributions from FFC, ENGROH, BAHL, PSO, and HBL, which together pulled the index down by 397 points, according a post-market report from brokerage house Topline Securities.
On Tuesday, the KSE-100 witnessed a volatile trading session as the market swung sharply between gains and losses before closing almost flat at 133,403.19 points, a modest increase of 33 points or 0.02%.
Globally, the US dollar traded close to a 2-1/2-week high versus major peers on Wednesday while copper hit an all-time peak overnight after US President Donald Trump broadened his global trade war by threatening a 50% tariff on the metal.
Trump also said levies on semiconductors and pharmaceuticals were coming soon, weighing on Wall Street on Tuesday, with futures indicating further weakness there on Wednesday.
However, stock markets around the Asia-Pacific were mixed, as investors digested Trump’s latest, shifting trade salvos. Japan and South Korea are among major U.S. trading partners in the region facing an August 1 deadline to reach a trade deal or be subjected to new tariff rates, although Trump has sent mixed signals on how flexible that date is.
On Monday, Trump said it was “firm, but not 100% firm,” reinforcing the view among some in markets that the deadlines are a negotiating tactic that the US president will ultimately back away from. On Tuesday though, Trump appeared to harden his stance by saying, “No extensions will be granted.”
Japan’s Nikkei edged down 0.2%, shedding early small gains. Australia’s stock index declined 0.4%, and Hong Kong’s Hang Seng lost 0.9%.
At the same time, mainland Chinese blue chips rose 0.2%, and South Korea’s KOSPI climbed 0.5%.
US S&P 500 futures eased 0.1%, following a 0.1% loss for the cash index on Tuesday that extended the 0.8% drop that started the week.
Meanwhile, Pakistani rupee declined further against the US dollar, depreciating 0.04% in the inter-bank market on Wednesday. At close, the currency settled at 284.47, a loss of Re0.11.
Volume on the all-share index decreased to 905.74 million from 1,206.52 million recorded in the previous close.
The value of shares declined to Rs30.53 billion from Rs42.03 billion in the previous session.
TPL Properties was the volume leader with 65.91 million shares, followed by Kohinoor Spining with 62.44 million shares, and PIA Holding Company with 39.77 million shares.
Shares of 478 companies were traded on Wednesday, of which 200 registered an increase, 254 recorded a fall, while 24 remained unchanged.