Market watch: KSE-100 climbs 875 points ahead of election day
Benchmark index increases 2.16% to settle at 41,339.22
Benchmark index increases 2.16% to settle at 41,339.22. PHOTO: FILE
KARACHI:
In a complete U-turn, the KSE-100 Index gained 875 points with buying interest witnessed across the board as investors rejoiced the on-schedule elections that are due to be held on Wednesday.
After a 758-point fall on Monday, investors were more than happy to buy at attractive valuations, helping the index trek forward even as uncertainty over the election outcome hovered over the stock market. A hung parliament could likely spell the return of a bearish run, say analysts.
At close on Tuesday, the benchmark KSE 100-share Index recorded an increase of 875.24 points or 2.16% to settle at 41,339.22.
KSE-100 ends with 951-point gain as volatility increases
Elixir Securities' analyst Zainul Abedin said equities rebounded strongly to recover all of Monday’s losses. He said the market kicked off on a positive note and advanced to 41,000 instantaneously led by cement and steel sectors.
“Lucky Cement (+3.54%), DG Khan Cement (+4.97%) and Maple Leaf Cement (+4.51%) hit their upper price limits on value buying,” said Abedin. “Similarly, International Steels (+5%), Amreli Steels (+4.99%) and Mughal Steel (+4.99%) also attracted buyers’ attention and closed at their respective upper bands.”
Abedin said mid-day profit-taking wiped off some gains causing a blip to the 40,800 mark, but it resumed its climb later as the bulls re-emerged in index heavyweights E&P, OMCs and financials, which strengthened the impetus to go beyond the 41,300 mark on close.
“Retail plays ruled the volume chart with BOP (+2.71%), EPCL (+4.85%) and KEL (+4.15%) being the main contributors. On the result front, Pak Suzuki Motor Company (-1.08%) traded lower after announcing a below expected result due to a significant dip in margins.
“Optimism can continue on the back of timely general elections, especially if any single party gains majority seats in the National Assembly, however, we recommend investors to book profits around 41,800-42,000 levels,” the analyst added.
Market watch: KSE-100 plunges 758 points as election day approaches
Overall, trading volumes increased to 190.85 million shares compared with Monday's tally of 109 million. The value of shares traded during the day was Rs7.73 billion.
Shares of 371 companies were traded. At the end of the day, 306 stocks closed higher, 54 declined while 11 remained unchanged.
Pak International Bulk Terminal (R) was the volume leader with 19.1 million shares, gaining Rs0.15 to close at Rs0.56. It was followed by Bank of Punjab with 11.3 million shares, gaining Rs0.33 to close at Rs12.52 and Engro Polymer and Chemicals with 8.5 million shares, gaining Rs1.46 to close at Rs31.54.
Foreign institutional investors were net sellers of Rs327 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan.
In a complete U-turn, the KSE-100 Index gained 875 points with buying interest witnessed across the board as investors rejoiced the on-schedule elections that are due to be held on Wednesday.
After a 758-point fall on Monday, investors were more than happy to buy at attractive valuations, helping the index trek forward even as uncertainty over the election outcome hovered over the stock market. A hung parliament could likely spell the return of a bearish run, say analysts.
At close on Tuesday, the benchmark KSE 100-share Index recorded an increase of 875.24 points or 2.16% to settle at 41,339.22.
KSE-100 ends with 951-point gain as volatility increases
Elixir Securities' analyst Zainul Abedin said equities rebounded strongly to recover all of Monday’s losses. He said the market kicked off on a positive note and advanced to 41,000 instantaneously led by cement and steel sectors.
“Lucky Cement (+3.54%), DG Khan Cement (+4.97%) and Maple Leaf Cement (+4.51%) hit their upper price limits on value buying,” said Abedin. “Similarly, International Steels (+5%), Amreli Steels (+4.99%) and Mughal Steel (+4.99%) also attracted buyers’ attention and closed at their respective upper bands.”
Abedin said mid-day profit-taking wiped off some gains causing a blip to the 40,800 mark, but it resumed its climb later as the bulls re-emerged in index heavyweights E&P, OMCs and financials, which strengthened the impetus to go beyond the 41,300 mark on close.
“Retail plays ruled the volume chart with BOP (+2.71%), EPCL (+4.85%) and KEL (+4.15%) being the main contributors. On the result front, Pak Suzuki Motor Company (-1.08%) traded lower after announcing a below expected result due to a significant dip in margins.
“Optimism can continue on the back of timely general elections, especially if any single party gains majority seats in the National Assembly, however, we recommend investors to book profits around 41,800-42,000 levels,” the analyst added.
Market watch: KSE-100 plunges 758 points as election day approaches
Overall, trading volumes increased to 190.85 million shares compared with Monday's tally of 109 million. The value of shares traded during the day was Rs7.73 billion.
Shares of 371 companies were traded. At the end of the day, 306 stocks closed higher, 54 declined while 11 remained unchanged.
Pak International Bulk Terminal (R) was the volume leader with 19.1 million shares, gaining Rs0.15 to close at Rs0.56. It was followed by Bank of Punjab with 11.3 million shares, gaining Rs0.33 to close at Rs12.52 and Engro Polymer and Chemicals with 8.5 million shares, gaining Rs1.46 to close at Rs31.54.
Foreign institutional investors were net sellers of Rs327 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan.