Market watch: Stock market crosses 11,000-point mark

KSE benchmark 100-share index jumps 167 points.

KARACHI: The stock market recovered, in line with global markets, on Tuesday to close above the psychological 11,000-point market ahead of the long weekend.

The Karachi Stock Exchange’s (KSE) benchmark 100-share index jumped 1.53 per cent or 166.7 points to end at the 11,070.58 point level.

National Bank of Pakistan (NBP) that was under selling pressure since the last few trading sessions, saw huge interest by local fund managers who believed that the bank’s bad loan issue has been exaggerated by the market, said Topline Securities equity dealer Samar Iqbal.

Fertilisers including Engro Corporation all closed in the green as local confidence improved following better than expected industry sales numbers.

Fauji Fertilizer Bin Qasim closed at its upper limit of five per cent as investors believe that rising prices of fertiliser di-ammonia phosphate prices bodes well for the company.

Contrary to general expectations, volumes improved slightly to 53 million shares compared with Monday’s tally of 37 million shares.

MCB Bank gained 3.7% as the company announced plan to pursue an American Depository Receipt for listing in New York.

Among blue chips, Adamjee Insurance rose 1.6% following announcement an earning per share of Rs2.57 and a cash dividend of Rs1/share in its half yearly result.

NBP was the volume leader with 13.43 million shares gaining Rs0.79 to finish at Rs36.97. It was followed by Lotte Pakistan PTA with 7.94 million shares firming Rs0.63 to close at Rs11.7 and FFBL with 6.02 million shares increasing Rs2.14 to close at Rs50.48.

Foreign institutional investors were net sellers of Rs113 million, according to data maintained by the National Clearing Company of Pakistan Limited.

Published in The Express Tribune, August 31^st,  2011.