Stocks Observer. com

KARACHI, Jan 22 Karachi stocks fell over 2 percent on Thursday to its lowest closing since September 2004 as foreign investors sold shares in blue-chip companies, dealers said. The Karachi Stock Exchange (KSE) benchmark 100-share index .KSE closed 2.25 percent, or 115.77 points, lower at 5020.71 points on a turnover of 72.7 million shares. The index recovered above 5,000 points having earlier hit a low of 4,953.01 points. "Its a global trend now. Foreign investors are continuously looking for an exit from the market," said Sajid Bhanji, a dealer at Arif Habib Ltd. Bhanji said local investors were losing confidence in the falling market. The KSE-index has shed 14.4 percent this month after a 58.3 percent fall in 2008. The Pakistan market was artificially propped up in late August, when authorities placed a floor under the main index. The floor was removed on Dec. 15 and the index has lost 45 percent since then. A 20-billion rupee ($250 million) government support fund began b

Jan. 21 (Bloomberg) -- President Barack Obama begins his “new era of responsibility” today by gathering economic advisers to tackle the banking crisis after an inaugural address in which he outlined an agenda aimed at nothing short of “remaking America.” Obama’s speech yesterday was dominated by twin themes of optimism about the future of the U.S. and a sober warning on the difficulties of managing two wars and the worst economic climate in generations. “Starting today we must pick ourselves up, dust ourselves off and begin again the work of remaking America,” he said. As if to reinforce his message about the hard tasks ahead, the Dow Jones Industrial Average fell 4 percent, the most on any Inauguration Day in the history of the index. Investor concern that banks must raise more capital sent financial shares to an almost 14-year low. State Street Corp. fell 59 percent, while Wells Fargo & Co. and Bank of America Corp. dropped more than 23 percent. “What is required of us now is a n

The continued distress-sale of shares by the foreign portfolio investors and irresolution of debt issue at Karachi bourse between brokers and banks pushed market down to new low of four-year on Wednesday. With another notable plunge of 121.80 points or 2.32 per cent in this session, the KSE 100-share Index depreciated to 5,136.48 points. The day closing level is the lowest one after September 28, 2004 closing of 5,128.13 points. The parallel running junior 30-Index slashed 152.04 points or 3.08 per cent and concluded at 4,782.97 points. Hasnain Asghar Ali at Aziz Fidahusein observed that although private and government sector funds did stay prominent buyers in various main board stocks many even succeeding in trading above lower locks, foreign downpour strengthened further as it joined hand with selling by local participants thus never allowing the buyers to resist the high tides, and the KSE benchmark was yet again pushed to deep-red. Analysts said that foreigners were offloading thei