PakStox Outlook

Oil prices were under pressure this week. Brent crude oil futures fell 1.9% to $73 per barrel on Friday, registering the biggest weekly loss since early September, with prices dropping over 7%. The decline was attributed to weaker demand forecasts from OPEC and the International Energy Agency (IEA), slowing economic growth in China, and signs of easing geopolitical tensions in the Middle East. Both OPEC and the IEA revised down their demand forecasts for 2024 and 2025. China's refinery output declined for the sixth consecutive month, impacted by weak fuel demand and the growing adoption of electric vehicles (EVs). Meanwhile, U.S. crude oil production reached a new record last week. Although a drawdown in U.S. crude inventories and stronger-than-expected retail sales in September provided some support to oil prices, easing concerns about a broader conflict in the Middle East exerted additional downward pressure on the market.

After a remarkable 2,000-point surge and reaching a new all-time high last week, the market saw profit-taking this week. Despite hitting an intra-week record high of 86,520, selling pressure led the KSE Index to close 231 points lower, finishing the week at 85,250. Mutual funds were net sellers of a substantial $1.8 million today, marking a shift from their consistent buying trend, which had resulted in net purchases of $90.9 million since early September. Despite last day's net selling this week mutual funds were net buyers of a good amount of $ 7.5 million. The oil and gas sector experienced significant losses on the final trading day of the week. This sector, with a leading index weight, had been steadily rising due to the re-entry of local funds into the market. Overseas Pakistanis, typically less active in the Pakistan Stock Exchange (PSX), have joined foreign corporations in a consistent selling spree since the beginning of September, accumulating net sales of $ 6.6 million. ...

Once again, today, foreign corporates (primarily foreign funds) were the major sellers at the PSX today, with a net sale of Rs 11.8 million. Local insurance companies, however, stepped in with a net buy of approximately $10.5 million. This marks the second consecutive day of net buying by insurance companies, following their $10 million net purchase yesterday—a notable shift after their substantial net sales of $28 million over the past three weeks. Mutual funds, which have been strong buyers recently, saw more muted activity today, with a net buy of just $2.2 million. Since foreign funds began offloading PSX stocks from September 1st, local mutual funds have made cumulative net purchases totaling $83 million. Had it not been for the mutual funds' re-entry into the market, the PSX would have likely seen a more significant decline. Mutual funds are forced to enter the market as their investors are shifting from money market funds to equities. Conversely, if foreign funds hadn't ...

On Thursday, 10th October 2024, the Pakistan Stock Exchange (PSX) saw a volatile trading session. The KSE-100 Index opened with a gain of 74 points and increased by 344 points intraday. However, the index lost 244 points during the session and ultimately closed down by 216 points at 85,453. This follows a minimal gain of 5 points in the previous session. Over the last five trading sessions, the KSE-100 Index is still in a gain if a total of 2,732 points. Major Gainers Today: PTC (P.T.C.L.) closed at Rs. 14.5, up 10.0%. CPHL (Citi Pharma Ltd) closed at Rs. 44.2, up 10.0%. HUMNL (Hum Network) closed at Rs. 12.3, up 10.0%. TPLP (TPL Properties) closed at Rs. 7.9, up 6.0%. KOHP (Kohinoor Power) closed at Rs. 7.4, up 5.7%. Major Gainers in Last 5 Trading Sessions: PNSC (P.N.S.C.) closed at Rs. 466.95, up 29.1%. HUMNL (Hum Network) closed at Rs. 12.33, up 24.2%. CPHL (Citi Pharma Ltd) closed at Rs. 44.23, up 21.5%. PTC (P.T.C.L.) closed at Rs. 14.52, up 20.1%. PPL (Pak Petroleum) closed at R...

Today on Wednesday, 9th October 2024, the market opened strongly, continuing its recent momentum. The KSE-100 Index started the day with a gain of 160 points, surged over 700 points intraday, but later succumbed to selling pressure, briefly dipping 220 points into negative territory. Despite the volatility, the index recovered and closed nearly flat at 85,669 In the last five trading sessions, the KSE-100 Index has gained a total of 3,702 points. Year to date, the index has surged by 37%, reflecting solid performance throughout 2024. Today, 'foreign corporates' resumed their massive selling at the Pakistan Stock Exchange (PSX) after a brief hiatus of a few days, with net selling exceeding $10 million. Interestingly, local 'insurance companies' stepped in as major buyers, nearly matching the net sales of foreign corporates. This shift comes as insurance companies, who were recently heavy sellers, now take an opportunistic stance.  Mutual funds, as usual, remained net buy...

On Tuesday, 8th October 2024, the Pakistan Stock Exchange (PSX) maintained its upward momentum. The KSE-100 Index opened slightly down by 5 points but swiftly gained 914 points during the session, with only a brief intraday loss of 12 points. The index ultimately closed with a substantial net gain of 754 points, reaching 85,664. This follows the previous day's impressive gain of 1,378 points. Over the last five trading sessions, the KSE-100 Index has accumulated a total of 3,859 points. Year-to-date, the index has surged by 37%, highlighting robust market performance in 2024. On Tuesday, major contributors to the KSE-100 Index included BAHL (+165 points), HBL (+162 points), EFERT (+144 points), OGDC (+108 points), and BAFL (+87 points). On the downside, HUBC, MARI, LUCK, UBL, and FCCL dragged the index, contributing negative points to the overall performance. Major Gainers Today: PNSC (P.N.S.C) at 428.9, +10.0% SYM (Symmetry Group Ltd) at 10.2, +9.8% CSAP (Crescent Steel) at 100.7,...

Last Friday, we mentioned that foreign selling appeared to be over, and today’s substantial net buying by 'foreign corporates' confirms this shift. Foreign corporates made net purchases of $3.5 million today. Between September 1st and October 4th, they offloaded a massive net amount of $72.7 million in PSX-listed securities. To put this into perspective, from the start of the year until August 31st, foreign corporates had made net purchases of $100 million in Pakistan's listed equities. However, due to the heavy selling in September, their net purchases now stand at just 30% of their total purchases for the year. Over the last 30 trading sessions, foreign corporates cumulative net selling stands at USD 66.87 million. Mutual funds continued their massive buying with net purchases of USD 9.05 million today. This trend is driven by investors shifting from money market funds to equities in response to a declining interest rate environment. In the last 30 trading sessions, mutua...