Market watch: Stocks end little changed as profit-taking sets in
Benchmark KSE-100 Index edges up 0.11% to settle at 40,591.87
Benchmark Index gains 46.40 points to settle at 42,409.27. PHOTO: FILE
KARACHI:
The stock market traded in a tight range on Wednesday and finished its second consecutive session in the green.
In the morning, the trading began on a positive note as the KSE-100 Index surged past 40,700 points. Later, investors resorted to profit-taking and dragged the index down.
At close, the benchmark KSE 100-share Index registered a slight increase of 43.04 points or 0.11% to settle at 40,591.87.
According to Elixir Securities, Pakistan equities closed little changed in range-bound trading.
"Volumes, on the other hand, recorded a sharp surge thanks to heavy interest in K-Electric (+10.11%) as the stock came in the limelight after positive comments by the provincial (Sindh) governor on the recent Shanghai Electric's M&A deal," stated Elixir.
Other key sectors barring oil struggled for direction and faced the usual dreary activity as institutional investors remained sidelined.
Market watch: Oil and gas companies drive stocks upwards
A major dent to the benchmark KSE-100 Index came from Engro Corp (-2.5%) and Hub Power (-1.8%) on reported foreign selling while Honda Atlas Cars (-3.9%) too hit the index after reporting poor quarterly earnings.
"(We) expect a volatile market as the benchmark index consolidates near current levels while institutional flows will continue to guide market direction," the report added.
JS Global analyst Danish Ladhani was of the view that another weak trading session was witnessed at the bourse where the KSE-100 Index closed on a flat note at 40,592 (+43 points).
"Such bearish sentiments can be attributed to ongoing political developments in the country," he said.
Strong volumes in K-Electric were noted as investor confidence in the company mounted on the back of possibility that Shanghai Electric would take over K-Electric soon.
Moreover, the oil and gas exploration and production sector inched higher with Pakistan Petroleum (+0.46%), Oil and Gas Development Company (+0.57%) and Pakistan Oilfields (+0.21%) closing in the green.
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"Moving forward, we recommend investors to stay cautious as we expect volatility to persist following the rollover week," Ladhani added.
Overall, trading volumes rose to 157 million shares compared with Tuesday's tally of 101 million.
Shares of 362 companies were traded. At the end of the day, 180 stocks closed higher, 166 declined while 16 remained unchanged. The value of shares traded during the day was Rs5.3 billion.
K-Electric was the volume leader with 77.1 million shares, gaining Rs0.54 to close at Rs5.88. It was followed by WorldCall Telecom with 8.3 million shares, gaining Rs0.14 to close at Rs3.04 and TRG Pakistan with 6.9 million shares, gaining Rs0.54 to close at Rs36.43.
Foreign institutional investors were net sellers of Rs305.9 million during the trading session, according to data compiled by the National Clearing Company of Pakistan.
The stock market traded in a tight range on Wednesday and finished its second consecutive session in the green.
In the morning, the trading began on a positive note as the KSE-100 Index surged past 40,700 points. Later, investors resorted to profit-taking and dragged the index down.
At close, the benchmark KSE 100-share Index registered a slight increase of 43.04 points or 0.11% to settle at 40,591.87.
According to Elixir Securities, Pakistan equities closed little changed in range-bound trading.
"Volumes, on the other hand, recorded a sharp surge thanks to heavy interest in K-Electric (+10.11%) as the stock came in the limelight after positive comments by the provincial (Sindh) governor on the recent Shanghai Electric's M&A deal," stated Elixir.
Other key sectors barring oil struggled for direction and faced the usual dreary activity as institutional investors remained sidelined.
Market watch: Oil and gas companies drive stocks upwards
A major dent to the benchmark KSE-100 Index came from Engro Corp (-2.5%) and Hub Power (-1.8%) on reported foreign selling while Honda Atlas Cars (-3.9%) too hit the index after reporting poor quarterly earnings.
"(We) expect a volatile market as the benchmark index consolidates near current levels while institutional flows will continue to guide market direction," the report added.
JS Global analyst Danish Ladhani was of the view that another weak trading session was witnessed at the bourse where the KSE-100 Index closed on a flat note at 40,592 (+43 points).
"Such bearish sentiments can be attributed to ongoing political developments in the country," he said.
Strong volumes in K-Electric were noted as investor confidence in the company mounted on the back of possibility that Shanghai Electric would take over K-Electric soon.
Moreover, the oil and gas exploration and production sector inched higher with Pakistan Petroleum (+0.46%), Oil and Gas Development Company (+0.57%) and Pakistan Oilfields (+0.21%) closing in the green.
SECP orders probe as allegations of ‘leaked data’ surface
"Moving forward, we recommend investors to stay cautious as we expect volatility to persist following the rollover week," Ladhani added.
Overall, trading volumes rose to 157 million shares compared with Tuesday's tally of 101 million.
Shares of 362 companies were traded. At the end of the day, 180 stocks closed higher, 166 declined while 16 remained unchanged. The value of shares traded during the day was Rs5.3 billion.
K-Electric was the volume leader with 77.1 million shares, gaining Rs0.54 to close at Rs5.88. It was followed by WorldCall Telecom with 8.3 million shares, gaining Rs0.14 to close at Rs3.04 and TRG Pakistan with 6.9 million shares, gaining Rs0.54 to close at Rs36.43.
Foreign institutional investors were net sellers of Rs305.9 million during the trading session, according to data compiled by the National Clearing Company of Pakistan.