Market watch: Lethargic index goes up an inch

Benchmark KSE-100 index increases 25.24 points.

KARACHI: The index opened on a lethargic note as limited interest was shown by investors amid the standstill on the political front. However, the bourse still managed to sustain its level above the 30,000-point barrier.

At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index rose 0.08% or 25.24 points to end at 30,070.13.

Elixir Securities analyst Harris Ahmed Batla said it was a rather dull start to the week as Pakistan equities traded range bound.



“While benchmark index traded red for most part of the session, Engro Corp (ENGRO)  +1.2% broke its laggard spell and traded against market on local buying ahead of provisional listing of its subsidiary Engro Powergen Qadirpur later this month.

“Financials, primarily Habib Bank (HBL)  +5% and United Bank (UBL) +3.3% helped confidence and fetched buying interest as traders swapped positions with cements that witnessed profit taking near all time highs.

“Moreover, index heavy oils remained under pressure following the decline in the international oil prices with Pakistan Petroleum (PPL)  -0.8% and Oil & Gas Dev Co (OGDC)  -.13% closing flat with stock to trade Ex of Rs3 per share cash payout.”

Meanwhile, JS Global analyst Ovais Ahsan said concerns over the political situation remained high as negotiations collapsed on the pretext of the government choosing to deal with protestors with an iron hand — trying to arrest the main leadership together with a sizable number of workers.

Trade volumes fell to 132 million shares compared to Friday’s tally of 167 million.

Shares of 366 companies were traded on Monday. Of these, 183 companies declined, 167 closed higher while 16 remained unchanged. The value of shares traded during the day stood at Rs5.6 billion.



Pak Elektron Limited was the volume leader with 15.5 million shares, losing Rs0.90 to close at Rs30.46. It was followed by Lafarge Pakistan with 8.6 million shares, gaining Rs0.33 to close at Rs15.78 and Summit Bank with 6.9 million shares, gaining Rs0.35 to close at Rs3.22.

Foreign institutional investors were net buyers of Rs147 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan Limited.

Published in The Express Tribune, September 16^th, 2014.

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