Benchmark KSE 100-share index falls 54.51 points. PHOTO: AFP/FILE
At close, the Pakistan Stock Exchange’s benchmark index recorded a fall of 0.14% or 54.51 points to end at 38,415.31.
Elixir Securities, in its report, said the market started on a positive note helped by short-lived gains in oil plays, however, the entire sector lost steam tracking intra-day dip in global crude; Oil and Gas Development Company (OGDC PA -0.2%), Pakistan Petroleum Limited (PPL PA -0.2%), Pakistan State Oil (PSO PA -0.2%) lost value.
“The financials remained under pressure and contributed most to declines albeit on lower volumes; Muslim Commercial Bank (MCB PA -1.9%), United Bank Limited (UBL PA -0.7%), Bank Alfalah (BAFL PA -3.3%),” it said.
“Pharmaceuticals, on the other hand, stood strong and eke out small gains on expectations of price increase, while Dawood Hercules (DAWH PA +3%) hit upper price limit intra-day and contributed top points to benchmark index.
“Overall, limited institutional interest was seen in index names while small and mid-caps to the likes of Jahangir Siddiqui and Company (JSCL PA +3.5%), K-Electric Limited (KEL PA -0.9%), Dewan Cement Limited (DCL PA -6.4%), Dewan Farooque Motor Limited (DFML PA -6.1%), TRG Pakistan Limited (PA +1.2%) and Pak Elektron Limited (PAEL PA -2.2%) churned most volumes on retail interest,” Elixir Securities analyst Ali Raza said.
JS Global analyst Ahmad Saeed Khan said volatility prevailed in the market as the index juggled amid profit taking witnessed across the board.
“Pressure was witnessed in the oil sector that remained largely depressed on the back of global oil prices coming down near 0.5% ahead of US weekly stockpile data where National Refinery Limited (NRL -1.38%) and BYCO Petroleum (-1.54%) were the biggest losers of the sector.
“Profit taking was seen in the banking sector that remained mostly negative throughout the day despite the news of China easing rules for Pakistan’s bank to operate in the country.
“Profit taking continued in the cement sector with all major stocks closing in the red zone. Major laggard in the aforementioned sector was Dera Ghazi Khan Cement (DGKC -1.14%).
“Moving forward, we expect volatility to continue and therefore advise a cautious approach,” suggested Khan.
Trade volumes rose to 154 million shares compared with Monday’s tally of 149 million.
Shares of 325 companies were traded. At the end of the day, 114 stocks closed higher, 184 declined while 27 remained unchanged. The value of shares traded during the day was Rs8.2 billion.
Jahangir Siddiqui and Company was the volume leader with 16.7 million shares, gaining Rs0.69 to finish at Rs20.70. It was followed by K-Electric Limited with 16.1 million shares, losing Rs0.07 to close at Rs7.96 and Dewan Cement Limited with 15.8 million shares, losing Rs0.96 to close at Rs13.95.
Foreign institutional investors were net sellers of Rs784 million during the trading session, according to data maintained by the National Clearing Company of Pakistan Limited.
Published in The Express Tribune, June 22nd, 2016.
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