Stocks fall as investors await SECP decision

Stocks fell with resistance above 10,000 points as investors awaited the outcome of SECP review.

KARACHI:
Stocks fell with resistance above 10,000 points as investors awaited the outcome of Securities and Exchange Commission of Pakistan review of the margin trading system concept paper.

Although the result of the meeting was not announced till the end of the trading session, investors opted to remain cautious throughout, said JS Global Capital analyst Muzzamil Mussani.

The Karachi Stock Exchange (KSE) benchmark 100-share index ended down 0.44 per cent or 44.86 points to end at 10,046.57.

Locals were again active with respectable trading volumes and reports of foreign participation in few companies mainly banks, said Mussani.

Overall trading activity remained strong as turnover was 99.94 million shares compared with Tuesday’s 83.4 million shares.

It is interesting to note that of the total shares traded, 24 per cent were of Nishat Power Limited.


Shares of 364 companies were traded on Wednesday. At the end of the day, 155 stocks closed higher, 186 declined and 23 remained unchanged. The value of shares traded during the day was Rs3.3 billion.

The index moved within a reasonable range of 123 points with a high and low of 10,142 and 10,019 points, respectively.

National Bank of Pakistan was up by 2.12 per cent to close at Rs66.99 on talk of foreign buying interest in the stock, added Mussani.

Some interest was also observed in Pakistan Oilfields on the back of a better-than-expected result. The scrip closed up 0.28 per cent at Rs234.29.

The market is expected to remain volatile and hover around the 10,000-point level with focus on margin product which will drive the direction in the short term, highlighted Elixir Securities analyst Sibtain Mustafa.

Nishat Power Limited was the volume leader with 24.2 million shares gaining Rs0.53 to finish at Rs10.53. It was followed by Arif Habib Securities with 5.88 million shares increasing Rs0.39 to close at Rs25.51 and NBP with 5.53 million shares.

Published in The Express Tribune, September 16th, 2010.
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