Panic selling continues, index loses 279 points (18072008)

LEADER REPORT
KARACHI: Panic selling continued on the fourth consecutive day at Karachi Stock Exchange (KSE) as 100-Index further lost 278.96.
The turnover volume estimated at 89.534 million shares as prices of 201 scrips sustained losses while 42 recorded gains and 23 remained unchanged.
The market opened as usual on a bearish note on Thursday and plunged more than 4 percent, investors soon reacted and protested against the bearish activity and demanded the management to suspend the market and government to provide support to the market. The protesting activity was seen in all three local equity markets.
The markets' performance is basically attributed to the week leadership of the government, as sensitive issues have not been addressed properly.
The economic situation will continuous depreciation in Pak rupee value, and the declining trend in the foreign reserves, the law and order situation are some of the major factors that robbed the market of optimism.
The index traded in its lower band, while at the end some recovery was witnessed on the back of institutional buying and the closed down by 279 points at 10,213 points. The volumes improved drastically comparing with the previous trading sessions to 90 million shares. An important result of Fauji Fertilizer Bin Qasim was announced, EPS Rs0.66 and a cash dividend of 6 percent.
Investors are recommended to adopt wait and see strategy till the end of the bearish spell, while they can take fundamentally backed positions on dips. It would be wise to accumulate at this level in case of positive activity with a cautious stance. Recommended sector is Oil.