Market watch: Index continues recovery mode, ends 143 points higher

Benchmark KSE-100 index ends at 32,707.91

KARACHI: The index continued its recovery mode, ending higher for the third successive session as tension between brokers and the regulator seemed to have subsided.

Oil stocks remained under pressure as the OPEC meeting nears, but interest was seen across all major sectors.

At close on Friday, the Karachi Stock Exchange’s (KSE) benchmark 100-share index rose 0.44% or 142.77 points to end at 32,707.91.

JS Global analyst Arhum Ghous said index rallied on the back of news that stock brokers and SECP have come to an understanding, according to which new regulations would be implemented in phases.

“Major contributors to the index activity were Engro (+0.97%), Lucky Cement (+0.86%), MCB (+1.42%) and PSO (+1.56%).



“Oil sector remained under pressure due to volatile oil prices and upcoming OPEC meeting.”

Meanwhile, Elixir Securities report stated that equities added to recent gains and closed the week positive. “Despite weaker performance of the regional markets, local market sustained momentum and traded higher as positive sentiments prevailed over recent relaxation in regulations permitted to brokers’ community by SECP.

“Almost all major sectors contributed to the upward drive. However, institutional interest was most evident in sideboards. Pharmaceutical that corrected heavily in the previous few sessions staged a strong comeback with notable names closing the day at their upper price limits.

“Moreover, Amreli Steels (ASTL +5%) also closed at its upper price limit for the third consecutive day.”

Trade volumes rose to 130 million shares compared with Thursday’s tally of 120 million shares.

Shares of 345 companies were traded on Friday. At the end of the day, 208 stocks closed higher, 117 declined while 20 remained unchanged. The value of shares traded during the day was Rs6.9 billion.



TRG Pakistan was the volume leader with 12.1 million shares, gaining Rs0.82 to finish at Rs37.16. It was followed by Pak Elektron with 9.6 million shares, gaining Rs0.80 to close at Rs64.32 and Sui North Gas with 5.7 million shares, gaining Rs0.64 to close at Rs29.55.

Foreign institutional investors were net sellers of Rs142 million during the trade session, according to data maintained by the National Clearing Company of Pakistan Limited.

Published in The Express Tribune, December 5^th, 2015.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.