Bullish activity was witnessed in shares across the board on Wednesday due to strong institutional and foreign interest, after impressive earnings by the oil and gas sector.
The Karachi Stock Exchange (KSE) 100-share index gained 1.26 per cent or 145.78 points to end at 11,745.06 points.
Positive investor sentiment prevailed ahead of major earnings announcements this week, after the central bank reported a current account surplus and record remittances for nine months of the current fiscal year, said Arif Habib Investments Director Ahsan Mehanti. He added that a recovery in global stocks and commodities played a significant role in bullish sentiments at the bourse.
Moreover, political stability after news that Pakistan Muslim League-Quaid (PML-Q) may join the ruling Pakistan Peoples Party (PPP) was welcomed by investors, triggering a buying spree across the board.
Trade volumes significantly rose to 72.97 million shares compared with Tuesday’s tally of 56.3 million shares.
Oil and Gas Development Company (OGDCL) remained in the limelight, jumping 2.1 per cent after witnessing massive offloading by foreign funds in the last two trading sessions. Pakistan Oilfields and Pakistan Petroleum Limited also showed impressive performance, gaining 2.1 per cent and 1.9 per cent, respectively, on market talk of buying by local funds, said JS Global Capital analyst Jawad Khan.
Pakistan Oilfields posted a 40 per cent increase in profits to Rs7.84 billion in the first nine months of fiscal 2011 on Tuesday. National Refinery Limited was the pick among refining sector stocks, edging up 1.7 per cent after posting a massive 146 per cent growth in profits in nine months.
Shares of 377 companies were traded on Wednesday. At the end of the day, 175 stocks closed higher, 103 declined and 99 remained unchanged. The value of shares traded during the day was Rs4.03 billion.
Fauji Fertiliser Bin Qasim was the volume leader with 9.22 million shares, gaining Rs1.44 to close at Rs41.97. It was followed by Lotte Pakistan PTA with 8.18 million shares, gaining Rs0.46 to close at Rs15.61 and OGDCL with 4.69 million shares, gaining Rs2.72 to close at Rs131.85.
Published in The Express Tribune, April 21st, 2011.
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