PSX edges up, stalls below 178,000

KSE-100 index gains 374 points as market breadth stays negative

KARACHI:

Pakistan Stock Exchange (PSX) closed modestly higher on Friday, adding over 370 points to settle near 177,700 after touching the intra-day high around 178,050.

Arif Habib Limited (AHL) reported that the PSX delivered a mixed performance as the benchmark KSE-100 index closed at 177,696.51 with an addition of 373.73 points, or 0.21%. The defining theme of the week remained the index's inability to convincingly breach the 178,000-180,000 resistance zone.

Friday's high was recorded near 178,000 before the market pulled back. Breadth was negative, with 37 shares advancing against 60 decliners. Systems Ltd rose 6.29%, The Bank of Punjab surged 7.44% and Habib Bank Ltd gained 1.45%, together contributing the bulk of the day's advance. Service Industries, Pakistan Oilfields and United Bank Ltd were the heaviest drags, falling 4.23%, 1.08% and 0.25%, respectively.

AHL noted that The Bank of Punjab released second-quarter results, showing a profit of Rs4.7 billion (earnings per share Rs1.44), down 1% year-on-year, yet flat sequentially. Half-year profitability reached Rs9.3 billion, up 45% from the prior year. The bank simultaneously raised its dividend to Rs1.6 per share from Re1, lifting the semi-annual payout ratio to approximately 56%.

"Attention now turns to the IMF review mission expected in September for the fourth assessment under the $7 billion Extended Fund Facility," AHL mentioned. "Technically, the 178,000-180,000 band continues to cap the upside; a decisive break lower could reopen the path towards July lows. Year-to-date, the KSE-100 has advanced 2.09%, with total market capitalisation standing at Rs19.9 trillion."

On Friday, the regular-market turnover reached 658.3 million shares valuing at Rs31.5 billion, underscoring selective but still active participation amid the resistance test," AHL added.

Topline Securities, in its market review, highlighted that the KSE-100 index largely traded in the positive zone during Friday's session, rising to the intra-day high of 0.41% and finally settling at 177,697 (up 0.21%). "This gain can be attributed to the overall decline in oil prices amid signs of progress in Pakistan-mediated diplomatic efforts involving Iran," it said.

The top positive contribution to the index came from Systems Ltd, The Bank of Punjab, HBL, Meezan Bank, and Interloop Ltd, as they cumulatively contributed 594 points. Traded value-wise, BOP (Rs3.17 billion), Attock Refinery (Rs1.62 billion), Cnergyico (Rs1.31 billion), Pakistan Petroleum (Rs923 million) and PSO (Rs842 million) dominated the activity, Topline said.

Overall trading volumes were recorded at 658 million shares compared with the previous session's tally of 614 million. The value of shares traded during the day was Rs31.5 billion.

Shares of 494 companies were traded. Of these, 202 stocks closed higher, 257 fell, and 35 remained unchanged.

The Bank of Punjab was the volume leader with trading in 91.7 million shares, gaining Rs2.42 to close at Rs34.97. It was followed by Cnergyico Pk with 90.9 million shares, gaining Rs0.37 to close at Rs14.41, and WorldCall Telecom with 46.4 million shares, remaining unchanged at Rs1.17.

Foreign investors sold shares worth Rs818 million, the National Clearing Company reported.