Bearish spell continues on stock market

The stock market continued its downturn for a third consecutive session on Wednesday as nervous investors opted to take profits amid concerns about harsh budgetary measures. Ahsan Mehanti of Arif Habib Corporation said the market fell sharply lower amid ongoing rumours of higher capital market tax measures in the budget 2024-25 and uncertainty over SBP’s policy rate stance. He added that political noise and dismal data on fertiliser offtake for May also contributed to a bearish close. In its market report, Topline Securities Ltd noted that the negative trajectory was primarily influenced by weaknesses in the banking and exploration sectors. Companies such as Habib Bank Ltd, Oil and Gas Development Company, Bank Alfalah Ltd, Bank Al-Habib Ltd, and Pakistan Petroleum Ltd contributed 225 points to the index negatively.