Market watch: Index ends minutely higher

Benchmark KSE-100 index gains 15.93 points

KARACHI: A lacklustre day saw the benchmark-100 index juggle between the red and black, closing minutely positive as investors hunted for triggers.

At close on Thursday, the Pakistan Stock Exchange’s (PSX) benchmark KSE-100 index gained 15.93 points (0.05%) to end at 30,802.53.

JS Global analyst Ahmed Saeed Khan said volatility persisted in the market as the KSE -100 Index juggled between +150 and -74 to finally close on a flattish note. “Banking sector remained under pressure due to further decline in banking spreads in Jan-2016 along with rumours of imposition of regulatory penalties,” said Khan. “HBL and UBL closed -0.49% and -0.78%, respectively.



“On the other hand, oil and gas stocks rallied on uptick in international crude oil prices. Oil and Gas Development Corporation (OGDCL) and Pakistan Oilfields Limited (POL) closed +0.68% and +0.25%, respectively.

“The auto sector remained under pressure due to an appreciating yen although Indus Motor (+1.12%) closed positively after it announced better-than-expected 1HFY16 earnings per share of Rs75.0 and a cash dividend of Rs20.0/share.”

Meanwhile, Elixir Securities analyst Ali Raza said equities ended little changed in a dull session as morning gains were once again wiped on thin participation.

“Stocks opened positive led by gains in index heavy oils that tracked higher global crude, however, lack of any excitement and limited institutional interest led benchmark index to gradually fill the gap and close flattish,” said Raza.



“Steel sector garnered interest as participants betted on surge in demand of steel products with initiation of projects under China Pakistan Economic Corridor,” said Raza. “Mughal Iron & Steel Industries (+4.99%) hit upper price limit in early trade, while Amreli Steels (+4.61%), Dost Steels (+4.8%) and Cresent Steel and Allied Products (2.35%) also closed higher.”

Trade volumes fell to 121 million shares compared with Wednesday’s tally of 138 million.

Shares of 343 companies were traded. At the end of the day, 150 stocks closed higher, 174 declined while 19 remained unchanged. The value of shares traded during the day was Rs5.1 billion.

TRG Pakistan Limited was the volume leader with 9.5 million shares, losing Rs0.70 to finish at Rs24.00. It was followed by K-Electric Limited with 8.2 million shares, losing Rs0.06 to close at Rs6.82 and Jahangir Siddiqui Corporation with 6.6 million shares, gaining Rs0.10 to close at Rs19.55.

Foreign institutional investors were net sellers of Rs457 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, February 26^th, 2016.

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