Karachi: The KSE-100 Index experienced a significant downturn as it fell by 1,634 points, closing at 110,301. A total of 598 million shares were traded during the session. The most notable price movements were observed in NCPL, NPL, and FCEPL. Meanwhile, SAZEW, AKBL, and NBP were among the top decliners. Trading activity was predominantly centered on the banking, technology, and cement sectors.

According to a statement by Taurus Securities Limited, the market activity reflected a broader trend with several economic and political developments impacting investor sentiment. Among the key highlights, Pakistan and China have agreed to enhance trade liberalization efforts, potentially influencing future market dynamics.

In the commodities sector, Barrick Gold announced higher gold reserves in the Reko Diq Project, while the government confirmed it will not import wheat this year due to sufficient stock levels. Additionally, plans have been finalized to export 50,000 metric tons of rice to Bangladesh.

In a move affecting state-owned enterprises, the Prime Minister has called for a rapid and transparent privatization process. Meanwhile, customs agents have threatened to halt nationwide trade clearance in response to license suspensions.

The petroleum sector saw calls for mixed pricing strategies to prevent isolated bankruptcies, while the State Bank of Pakistan's foreign exchange reserves rose by $46 million to $11.42 billion. Negotiations are also underway to revise the LNG deal with Qatar.

APTMA has voiced opposition to the current structure of the grid transition levy, and a potential acquisition of PTCL by Telenor is projected to close in the first half of the year. As these developments unfold, investors remain cautious, awaiting further clarity.