KSE-100 index in correction drops 217 points
AMANULLAH KHAN KARACHI—KSE-100 Index which remained in bullish mood last week confronted with a correction which was expected following heavy trading during last week taking the market volume above 300 million shares. The index declined by 217 points to close in red at 36,048 levels amid a market volume of 304 million shares, however the outflow trend of the foreign institution portfolio continued to have its impact trading sentiment, how- ever strong corporate results coupled with institutional support provided a strength to the market which is still in a bullish mood.
The volatile international oil prices however had also an impact on the bourses as the oil rally supported by production disruptions around the world. The gains didn’t last, however, as reports suggest that Canadian production could be online shortly after wildfires knocked out 1.5mn bbl. Also bearish was API data, which showed that inventories increased by 3.45mn bbl.
Finally, on a hint that the fight for market share continues, Iran dropped its official selling price in an attempt to gain new clients. On the home front PACE Pakistan was the volume leader of the day with a trade of 36 million shares to their credit while TRG and LOTTE CHEMICALS were second and third volume leaders with a trade of 21 million and 15 million shares respectively.