Market watch: KSE-100 ticks up, surpasses 47,000-point mark
Shares of 361 companies were traded. At the end of the day, 174 stocks closed higher. PHOTO: FILE
The Pakistan Stock Exchange on Tuesday extended its bull-run in a roller-coaster ride as the benchmark KSE-100 index posted a gain of 138 points and closed above the 47,000-point barrier.
The market remained in the positive zone for the fifth consecutive session.
Encouraging oil sales in October, which surged 17% year-on-year, revived investor confidence and they cherry-picked stocks, which helped the oil marketing companies’ sector to close at higher levels.
Moreover, prevailing optimism, arising from appreciation of the rupee, Saudi Arabia’s financial assistance for Pakistan and expectations of resumption of International Monetary Fund (IMF) loan programme kept investor spirits stronger.
Earlier, trading kicked off with a brief rally where cherry-picking by investors helped the market to climb at a steady pace. After midday, the index offloaded some of the gains mainly on the back of speculation about the potential interest rate hike by the State Bank of Pakistan (SBP) in the upcoming monetary policy.
The selling pressure persisted for the rest of the session, however, the market managed to sustain the 47,000-point level.
At close, the benchmark KSE-100 index recorded an increase of 138.14 points, or 0.29%, to settle at 47,112.92.
Arif Habib Limited, in its report, said that the market opened on a positive note due to strengthening of Pakistani rupee and a downturn in the commodities’ price cycle.
Buying by institutional investors was witnessed in cyclical sectors (cement and steel).
Later, mixed sentiment was witnessed in the market as investors opted for profit-booking, especially in the cement sector, on expectation of interest rate hike in the upcoming monetary policy.
Activity remained lacklustre as the KSE-100 index reached the psychological level of 47,000 points.
Sectors contributing to the performance included technology (+120 points), banks (+57 points), engineering (+16 points), leather (+15 points) and refinery (+14 points), the report said.
Overall trading volumes decreased to 306.2 million shares compared with Monday’s tally of 430.1 million. The value of shares traded during the day was Rs13.8 billion.
Shares of 361 companies were traded. At the end of the day, 174 stocks closed higher, 171 declined and 16 remained unchanged.
Byco Petroleum was the volume leader with 19.3 million shares, gaining Rs0.03 to close at Rs7.5. It was followed by Telecard Limited (XB) with 14.4 million shares, losing Rs0.01 to close at Rs17.11 and First National Equities with 10.8 million shares, gaining Rs0.21 to close at Rs8.8.