KARACHI: Pakistani stocks ended lower on Monday, extending declines into a third straight session after the central bank cut the monetary policy rate by 50 basis points to 6.00 percent from 6.5 percent on Saturday, traders said.

The benchmark 100-share index of the Karachi Stock Exchange closed down 0.86 percent, or 287.99 points, at 33,384.73.

"Market sentiment remained bearish as an antagonistic attitude was witnessed on the State Bank's decision to cut interest rates," said Ahmed Saeed Khan, vice president at JS Global Capital.

An ongoing corruption investigation by the Securities and Exchange Commission of Pakistan against at least three brokerage houses has also had a negative impact on the market.

"After today's disappointing performance it is evident that the SECP investigation against a few top market players should not be taken lightly as they restrain themselves from trading," Khan said.

The rupee was unchanged at 104.35/104.40 against the dollar, compared with Friday's close of 104.35/104.42.

Overnight rates in the money market fell to 6.00 percent from Friday close of 7.00 percent.