Bears visit KSE; take away 80 points

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KARACHI: Stock prices at Karachi Stock Exchange fell on Wednesday on what dealers said was investor caution over an expected lack of foreign inflow in the coming months.

The Karachi Stock Exchange's benchmark 100-share index ended 0.64 percent, or 80.55 points, lower at 12,577.61.

Turnover fell to 188 million shares from 270.8 million shares on Tuesday.

“The high intraday volatility in the market indicates that the bull run may have run its course in the short term as the reality of a grim economic environment sets in," a stock dealer said.

Pakistan's current account surplus for July-December was a provisional $26 million, compared with a deficit of $2.570billion during the same period last year.

Analysts, however, caution that the surplus could be fleeting if future foreign inflows don't materialise, putting pressure on the balance of payments and the rupee.

In the currency market, the rupee ended at 85.68/73 to the dollar, firmer than Tuesday's close of 85.85/90 becauseof a lack of import payments.

Dealers expect pressure on the local unit because of rising international oil prices.