Stocks extend overnight losses, index falls below 78,000

The stock market witnessed persistent selling pressure amid growing budget-related uncertainties, taking the benchmark KSE 100 index below 78,000 on Tuesday. Ahsan Mehanti of Arif Habib Corporation said the market closed lower amid consolidation in the post-budget session. However, uncertainty about the IMF’s approval of new proposals to relax some tax measures before the approval of the federal budget 2024-25 also took its toll. He added that foreign outflows, over-leveraging at PSX, and pressure in futures rollover contributed to the bearish close. Topline Securities Ltd said the equity market experienced a mixed session. The fertiliser, foods, cement, and E&P sectors made positive contributions, with Engro Corporation, Unity Foods, Fatima Fertiliser, Lucky Cement, and Pakistan Oilfield collectively adding 129 points to the index. Conversely, MCB Bank, OGDC, and Hub Power attracted some selling pressure and lost 164 points.