Market watch: KSE-100 inches up in volatile trading
Shares of 363 companies were traded. At the end of the day, 174 stocks closed higher. PHOTO: REUTERS
The Pakistan Stock Exchange faced a mix of upside and downside pressure on Wednesday and resultantly, the KSE-100 index swung between green and red zones throughout the day, ending with marginal gains.
Investor anticipation of improvement in the economy following the resumption of International Monetary Fund (IMF) loan programme propped up the index by 17 points.
Bearish pressure stemmed from a persistent rise in Omicron variant cases that fuelled rumours of another lockdown in the country. This factor, in particular, dampened investor spirits as suspension of business activities would further dent the faltering economy.
Earlier, trading kicked off on a volatile note and the market oscillated between positive and negative territories in the early hours. Although the market posted losses towards midday, late session buying helped it to recover and close with a slight increase.
At close, the benchmark KSE-100 index recorded a rise of 17.05 points, or 0.04%, to settle at 45,407.89.
A report of Arif Habib Limited stated that the market played in a range-bound area as investors averted risk due to rising number of cases of new Covid-19 variant Omicron in Pakistan.
Profit-taking was witnessed in the first trading hour while the market saw a battle between bulls and bears throughout the day. The market continued to trade sideways, witnessing hefty volumes in third-tier stocks, the report added.
JS Global analyst Neelam Naz said that the benchmark KSE-100 index managed to close in the green at 45,408, gaining 17 points day-on-day.
Volume leaders of the day were WorldCall Telecom (+8.8%), Unity Foods (R) (+53.4%), Telecard (+3.8%), First National Equities (+2.1%) and TRG Pakistan (+0.2%).
Telecard announced in its material information that its wholly owned subsidiary, Supernet, was getting a major optical fibre supply project from a Pakistani mobile network provider, which kept its stock in the limelight during the session.
“Going forward, any correction in the market should be viewed as an opportunity to accumulate technology, oil and gas exploration, banking and cyclical stocks,” the analyst said.
Overall trading volumes rose to 432.1 million shares compared with Tuesday’s tally of 375.99 million. The value of shares traded during the day was Rs10.3 billion.
Shares of 363 companies were traded. At the end of the day, 174 stocks closed higher, 167 declined and 22 remained unchanged.
WorldCall Telecom was the volume leader with 75.6 million shares, gaining Rs0.19 to close at Rs2.36. It was followed by Unity Foods (R) with 66.8 million shares, gaining Rs0.79 to close at Rs2.27 and Telecard Limited with 23.8 million shares, gaining Rs0.65 to close at Rs17.96.
Foreign institutional investors were net buyers of Rs1 billion worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan.