KARACHI: The futures market at the Pakistan Stock Exchange (PSX) recorded a notable contraction in spreads during the outgoing week, even as trading activity accelerated sharply across major contracts.
The futures spread — the difference between spot and futures prices — narrowed by 478 basis points, dropping to 6.56 percent from 11.34 percent a week earlier.
Despite the tighter spread, turnover surged. The average daily turnover (ADTO) in the futures segment jumped 43.7 percent, reaching 385.95 million shares compared to 268.50 million shares in the preceding week. In value terms, the average daily traded amount increased 12.9 percent to Rs17.19 billion, up from Rs15.23 billion previously.
Analysts said the narrowing spread reflected more cautious leveraged trading as investors adjusted their positions amid heightened market volatility and a shift toward risk management. However, the sharp rise in volumes suggested improved market confidence.
Copyright Business Recorder, 2025