Late-session selling erased earlier gains, causing the benchmark KSE-100 Index of the Pakistan Stock Exchange (PSX) to close 216 points lower on Thursday.
The index fell 0.25 percent to 85,453.22 points after fluctuating throughout the day. The number of shares traded on the all-share index decreased to 503.75 million, with PTCL taking the lead with 52.24 million.
Topline Securities observed a tug-of-war between bears and bulls, with the latter prevailing as a result of significant energy sector developments.
Both Hub Power Company Limited (HUBCO) and Lalpir Power Limited (LPL), independent power producers (IPPs), announced the early termination of their contracts after disclosing significant information that altered market sentiment.
The largest independent power producer in Pakistan, HUBCO, disclosed that it had reached a settlement agreement with the government and the Central Power Purchasing Agency to settle any unpaid receivables by October 2024.
As part of broader reforms to address the nation’s struggling power sector, the federal cabinet approved the termination of Power Purchase Agreements with five IPPs.
Sheikh Khalid Bin Abdul Aziz Al Faleh, the investment minister of Saudi Arabia, made the international announcement that Saudi Manara Minerals would soon sign an agreement with Barrick Gold and Pakistan’s State-Owned Enterprises (SOEs).
In addition, the minister met with Pakistan’s Chief of Army Staff, General Asim Munir, to discuss initiatives to enhance bilateral cooperation. The minister was leading a delegation of Saudi private sector businesses.
In addition, in the interbank market, the Pakistani rupee fell slightly to Rs277.79 against the US dollar. In a recent report, the World Bank predicted that Pakistan’s real GDP would grow by 2.8% in FY25, indicating optimism in light of ongoing efforts to recover the economy.
