It was a red-letter day of trading at the Pakistan Stock Exchange on Monday, a day after news emerged of Prime Minister Nawaz Sharif being summoned by the Panama Case JIT.
Negative sentiment prevailed throughout the day and the benchmark KSE-100 index closed the day falling 1855 pips at 47,671. At one point it fell 1988 pips though recovered a bit by close. Thin volumes and choppy trade featured throughout the day.
“The market fell because of the call-up notice to PM Nawaz Sharif for attending a session with joint investigation team on 15 June. The market reacted to the news as no one was expecting this call,” said Zeeshan Afzal of Insight Securities.
During the day only Rs 9 billion worth of 219 million shares exchanged hands. Market capitalization fell by Rs 320 billion to close the day at Rs 9,538 billion.
According to Zeeshan Afzal, market does not like surprises and thus it reacted, but around these levels, valuation will come into play, which he thinks is attractive.