Market watch: Qadri syndrome continues to guide the market
Benchmark KSE-100 index climbs 110 points.
Trade volumes improved to 145 million shares compared with Wednesday’s tally of 96 million shares.
KARACHI:
The local bourse closed in the black as political uncertainty was allayed after the government announced a tentative date for elections and presented a unified front against Dr Tahirul Qadri’s long march. Volatility however, prevailed all day, the market witnessed swings guided by news flows.
The Karachi Stock Exchange’s (KSE) benchmark 100-share index rose 0.68% or 109.62 points to end at 16,291.09 point level. Trade volumes improved to 145 million shares compared with Wednesday’s tally of 96 million shares.
“News of a negotiating team being set up to talk with Qadri helped the market stay in the black,” said JS Global Capital analyst Ovais Ahsan.
It was not at all smooth sailing as the index touched an intraday high of 200 points on the back of news that the government was committed on smooth political transition, however, a strong worded deadline by the cleric sent stocks south to wipe most of the early gains, reported Faisal Bilwani, analyst at Elixir Securities.
Shares of 358 companies were traded on Thursday. At the end of the day 244 stocks closed higher, 73 declined while 41 remained unchanged. The value of shares traded during the day was Rs3.65 billion.
Analysts believe that Engro Corporation had become a favourite as investors perceived Engro to be a beneficiary of the regime change in the country. Engro gained 2.2% during yesterday’s trading session.
Fauji Fertilizer Company (gaining 0.6%), Engro and MCB Bank (climbing 0.6%) led the gains as decent foreign participation propped up sentiments towards these stocks.
Fauji Cement was the volume leader with 16.95 million shares gaining Rs0.15 to finish at Rs6.89. It was followed by Jahangir Siddiqui and Company with 14.08 million shares gaining Rs0.63 to close at Rs14.74 and Byco Petroleum with 13.72 million shares climbing Rs0.29 to close at Rs13.27.
Foreign institutional investors were net buyers of Rs187.4 million ($1.9 million), according to data maintained by the National Clearing Company of Pakistan Limited.
The market is expected to remain sensitive to the fast evolving political scenario, though a peaceful resolution will help the bourse maintain positive momentum in sessions ahead. On the other hand, any disorder will lead to panic like the one seen on January 15 and further confusion.
Published in The Express Tribune, January 18th, 2013.
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The local bourse closed in the black as political uncertainty was allayed after the government announced a tentative date for elections and presented a unified front against Dr Tahirul Qadri’s long march. Volatility however, prevailed all day, the market witnessed swings guided by news flows.
The Karachi Stock Exchange’s (KSE) benchmark 100-share index rose 0.68% or 109.62 points to end at 16,291.09 point level. Trade volumes improved to 145 million shares compared with Wednesday’s tally of 96 million shares.
“News of a negotiating team being set up to talk with Qadri helped the market stay in the black,” said JS Global Capital analyst Ovais Ahsan.
It was not at all smooth sailing as the index touched an intraday high of 200 points on the back of news that the government was committed on smooth political transition, however, a strong worded deadline by the cleric sent stocks south to wipe most of the early gains, reported Faisal Bilwani, analyst at Elixir Securities.
Shares of 358 companies were traded on Thursday. At the end of the day 244 stocks closed higher, 73 declined while 41 remained unchanged. The value of shares traded during the day was Rs3.65 billion.
Analysts believe that Engro Corporation had become a favourite as investors perceived Engro to be a beneficiary of the regime change in the country. Engro gained 2.2% during yesterday’s trading session.
Fauji Fertilizer Company (gaining 0.6%), Engro and MCB Bank (climbing 0.6%) led the gains as decent foreign participation propped up sentiments towards these stocks.
Fauji Cement was the volume leader with 16.95 million shares gaining Rs0.15 to finish at Rs6.89. It was followed by Jahangir Siddiqui and Company with 14.08 million shares gaining Rs0.63 to close at Rs14.74 and Byco Petroleum with 13.72 million shares climbing Rs0.29 to close at Rs13.27.
Foreign institutional investors were net buyers of Rs187.4 million ($1.9 million), according to data maintained by the National Clearing Company of Pakistan Limited.
The market is expected to remain sensitive to the fast evolving political scenario, though a peaceful resolution will help the bourse maintain positive momentum in sessions ahead. On the other hand, any disorder will lead to panic like the one seen on January 15 and further confusion.
Published in The Express Tribune, January 18th, 2013.
Like Business on Facebook to stay informed and join in the conversation.