KARACHI: A subdued session saw the benchmark-100 index move up closer to 42,500 as lacklustre activity meant the wider market remained on snooze mode.
At close, the Pakistan Stock Exchange’s benchmark KSE 100-share Index rose 0.27% or 114.10 points to end at 42,439.04.
Elixir Securities analyst Ali Raza said equities closed positive in a dull trading session that saw only $56 million worth of shares exchanging hands on the benchmark KSE-100 index.
“The wider market witnessed lackluster activity for most of the day as most investors stuck to the sidelines, likely wary of consistent net foreign outflows in the past weeks,” said Raza.
“Major sectors including cements and financials struggled to find a clear direction and closed mixed.”
However, Raza said, oils tracked global crude and closed positive eking out modest gains; Oil and Gas Development Corporation (OGDC,+1%), Pakistan Petroleum Limited (+0.67%) and Pakistan Oilfields Limited (+1.1%) raised .
Meanwhile, Hub Power (HUBC,+2.3%) fetched buying interest to close higher and contributed most to gains as investors bet on rupee depreciation as gap between Rs/$ Interbank rate and open market rate further widened, which bodes well for Independent Power Plants.
JS Global analyst Nabeel Haroon said positivity prevailed in the market as the index gained 114 points.
“Exploration and production (E&P) sector led the gains in the market as the sector closed 1.1% higher from its previous close.”
E&P sector gained on the back of a rally in oil prices as it rose to a three-week high during European hours on Monday, adding to last week’s strong gains on growing expectations that global oil producers will find a way to cap output at a meeting scheduled for the end of this month, said Haroon.
“In the cement sector, Bestway Cement Limited (+4.59%) rallied on the back of its quarterly results, giving cash DPS and EPS of Rs3 and Rs5.37, respectively.”
Trade volumes fell to 347 million shares compared with Friday’s tally of 491 million.
Shares of 406 companies were traded. At the end of the day, 213 stocks closed higher, 176 declined while 17 remained unchanged. The value of shares traded during the day was Rs9.5 billion.
Summit Bank was the volume leader with 61.8 million shares, gaining Rs0.51 to finish at Rs5.12. It was followed by Bank of Punjab with 46.9 million shares, gaining Rs0.01 to close at Rs18.90 and PIAC(A) with 27.3 million shares, gaining Rs0.40 to close at Rs12.54.
Foreign institutional investors were net sellers of Rs529 million during the trading session, according to data maintained by the National Clearing Company of Pakistan Limited.
Published in The Express Tribune, November 22nd, 2016.
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courtesy : express tribune