Bears pull stocks below 42,000 mark

The Pakistan Stock Exchange (PSX) recorded a slight decline in the outgoing week on the back of profit-taking and thin investor participation, which dragged the KSE-100 index below the 42,000-point mark. The index shed 137 points to settle at 41,949 at the end of the week. Earlier, trading commenced on a positive note on Monday as the State Bank of Pakistan (SBP) maintained the status quo in its monetary policy for the next seven weeks in line with expectations of investors. However, the unchanged policy rate, which stood at 15%, failed to help the market sustain the positive sentiment on Tuesday where profit-taking pulled the index down. The market maintained its bearish trend on Wednesday as participants grew worried about Moody’s downgrading of five major commercial banks of Pakistan with a negative outlook. Despite remaining under pressure and swaying between negative and positive territories, the KSE-100 index managed to notch up marginal gains of nearly 80 points on Thursday to close the day in the green. Market participation remained thin as a lack of positive triggers kept bulls at bay. The KSE-100 index endured lifeless trading where investors avoided taking fresh positions. The index tried to rise past the 42,000 mark but succumbed to weak buying interest, closing the week at 41,949, down 137 points, or 0.3%, from the previous week.