Market watch: Stocks bounce back, recoup losses
Shares of 461 companies were traded. At the end of the day, 332 stocks closed higher. PHOTO: FILE
The Pakistan Stock Exchange staged a modest rebound on Tuesday as the KSE-100 crossed the 47,000-point barrier once again and erased losses borne a day earlier owing to much needed clarity on the Afghanistan situation.
Global markets calmed after the Afghan government announced general amnesty for government officials and assured uninterrupted evacuation of affectees.
Besides, investors also cherished extension of power and gas subsidy for the export sector by an additional year. Bullish sentiments sparked a rally at the bourse that aided all index-heavy sectors post handsome gains.
Trading kicked off with a spike and the market climbed steadily throughout the session. Investors cherry-picked stocks ahead of the two-day holidays, which fuelled the uptrend. The buying spree accelerated in final hours and inflated the gains.
At close, the benchmark KSE-100 index recorded an increase of 345.66 points, or 0.74%, to settle at 47,258.45.
A report from Arif Habib Limited stated that market traded in the positive zone after dissipation of the after effects of the situation in Afghanistan.
Uptick was observed across the board, with major impact from power, cement, oil and gas marketing companies and technology sectors.
This was coincided by autos and steel sectors. This being a short trading week, investor sentiment skewed to positivity as selling subsided on Tuesday.
Banking sector showed nominal performance amid profit booking, the report said.
JS Global analyst Neelum Naz said that the benchmark index gained 346 points on Tuesday as it closed at the 47,258 level.
Kot Addu Power Company announced its full year results where it reported earnings of Rs11.62 per share along with a cash payout of Rs3.5 per share.
“Investors are advised to buy on dips across the board keeping a medium term outlook in mind,” the analyst said.
Overall trading volumes dipped to 246.1 million shares compared with Monday's tally of 251.8 million. The value of shares traded during the day was Rs11.5 billion.
Shares of 461 companies were traded. At the end of the day, 332 stocks closed higher, 110 declined and 19 remained unchanged.
TPL Properties was the volume leader with 31 million shares, gaining Rs3.16 to close at Rs45.57. It was followed by Ghani Global Holdings with 17 million shares, gaining Rs1.25 to close at Rs45.01 and TRG Pakistan with 14.1 million shares, gaining Rs1.2 to close at Rs165.15.
Foreign institutional investors were net sellers of Rs116.9 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan.