Re: Nawaz Disqualified
Saleem you sure ure not pasting from the same place which informed you about the 175 seat victory because this is what is in the newspapers today:
LAHORE - The equity market on Monday suffered a massive decline of over 4 per cent, striking the low of more than 15-month low on the back of macroeconomic instability along with the prevailing political uncertainty, which played havoc with the market and the KSE 100-index plunged to the 11,134.85 points low, however, the index closed little better at 11,162.17 points after a huge loss of 493.11 points.
The KSE benchmark index has lost 20.7 per cent since the beginning of the year, and is 29 per cent lower since it set a historic-high on April 21. It had also eroded about 10pc last week.
The Lahore High Court on Monday, upholding an earlier ruling that Mian Nawaz Sharif was ineligible to stand because of a 1999 court conviction, has barred him from running in parliamentary by-election. Market experts say Monday’s ruling is a major setback for the stock market investors who were already concerned about politics and growing economic imbalances. They said that market internal problems were again coming up and ‘margin calls to brokers’ resulted in forced selling which pushed the market deep down.
Tariq Khurshid, Executive Director, First Pakistan Securities, said that market was ripe for technical recovery but its overall trend would remain negative. Trading took place in the shares of 335 companies and out of those 39 closed in plus and 288 in minus column while 8 remained unchanged. Volumes went further down and 154.793 million shares were traded.
The new coalition government has inherited the high fiscal and current account deficits, which has widened to $12.95b in the first 11 months of the fiscal year.
Dealers said an increase in the discount rate to 12pc last month had also deterred investment in the stock market.
An analyst from Live Securities observed this selling trend would be weak in the coming sessions as the market has readjusted itself against inflationary trend and current economic situation. Technically the KSE-100 index may break the psychological level of 11,000 and rebound around 10,700, they added.
Regional stock markets have hit their lowest levels in three months because of rising international oil prices and this also dampened sentiment, dealers said. Among the most active companies, volume leader NIB Bank fell 3 per cent to 10.18 rupees, Arif Habib Securities fell 5 per cent to 137.28 rupees, while Oil and Gas Development ended 4.5 per cent lower at 117 rupees.
Shares of just two companies in top thirty volumes leaders closed with plus signs and from the rest 28 of around 20 closed limit down. Free float index closed 618.51 points minus at 12750.28 points. All shares index lost 340.61 points and closed at 8038.39 points.