Bearish spell sets in on stock market

The Pakistan Stock Exchange witnessed another bearish session on Wednesday despite a positive open zone. According to Arif Habib Ltd, continued pressure on the local currency hurt investors’ sentiments and pushed the KSE-100 index below the 41,000-pont level. “All eyes (are) now on the (US Federal Reserve) tonight and the quantum of (the interest) rate increase,” it added. Analyst Ahsan Mehanti said there was midsession support to the index on speculations over the likely decision by the Financial Action Task Force on the country’s exit from the grey list. However, dismal data on auto financing, falling value of the rupee against the dollar and concerns about the economic impact of flood-related losses played a role in the bearish close. As a result, the KSE-100 index settled at 40,965.58 points, down 255.33 points or 0.62 per cent from a day ago.