Market Watch: Bull run extended to third straight day
Market rises on support from local institutions.
A stockbroker monitors share prices during the trading session on Wednesday. PHOTO: INP
KARACHI:
Stocks continued to rally for a third day into the new fiscal year, as local institutions stepped in to support the market at dips.
“Stocks continued on a bullish trend [...] at the Karachi Stock Exchange led by oil and fertiliser stocks, amid higher global commodities and investor speculations ahead of a consensus on a $5.4 billion International Monetary Fund (IMF) bailout package,” commented Ahsan Mehanti, analyst at Arif Habib Corp.
The Karachi Stock Exchange’s (KSE) benchmark 100-share index climbed 0.73% or 158.69 points to end at the 21,802.86 points level. Trade volumes fell to 239 million shares, compared with Tuesday’s tally of 245 million shares. The value of shares traded during the day was Rs10.11 billion.
“A rebound in international oil prices pushed oil stocks higher, with Pakistan Petroleum closing at a new record high,” reported Muhammad Raza Rawjani, analyst at Elixir Securities.
“The bullish trend persisted through the day, as energy companies like Pakistan Petroleum (up 4.0%), Pakistan State Oil (up 0.7%) and Pakistan Oilfields (up 0.7%) gained on the back of a spike in international crude oil prices,” reported Veer Bajaj, analyst at JS Global Capital. “Engro and Dawood Hercules touched their upper circuits on the back of the Economic Coordination Committee’s decision to reallocate 60 million cubic feet per day of excess gas from the Mari field to the fertiliser sector. Banking stocks like United Bank and National Bank of Pakistan gained on speculations that interest rates will rise once Pakistan enters a new IMF programme,” he added.
“Likewise, rumours of a possible upward revision in allowable unaccounted-for gas losses to 7.5% pushed Sui Northern Gas (up 5%) to a second consecutive upper circuit,” Rawjani said.
Shares of 342 companies were traded on Wednesday. At the end of the day, 202 stocks closed higher, 105 declined while 35 remained unchanged.
Pakistan Telecommunication Company was the volume leader with 26.38 million shares, gaining Rs0.58 to finish at Rs23.84. It was followed by Fauji Cement with 21.77 million shares, gaining Rs0.20 to close at Rs14.46; and TRG Pakistan with 12.62 million shares, gaining Rs0.52 to close at Rs10.73.
Foreign institutional investors were net buyers of Rs476.29 million worth of securities, according to data maintained by the National Clearing Company of Pakistan Limited.
Published in The Express Tribune, July 4th, 2013.
Stocks continued to rally for a third day into the new fiscal year, as local institutions stepped in to support the market at dips.
“Stocks continued on a bullish trend [...] at the Karachi Stock Exchange led by oil and fertiliser stocks, amid higher global commodities and investor speculations ahead of a consensus on a $5.4 billion International Monetary Fund (IMF) bailout package,” commented Ahsan Mehanti, analyst at Arif Habib Corp.
The Karachi Stock Exchange’s (KSE) benchmark 100-share index climbed 0.73% or 158.69 points to end at the 21,802.86 points level. Trade volumes fell to 239 million shares, compared with Tuesday’s tally of 245 million shares. The value of shares traded during the day was Rs10.11 billion.
“A rebound in international oil prices pushed oil stocks higher, with Pakistan Petroleum closing at a new record high,” reported Muhammad Raza Rawjani, analyst at Elixir Securities.
“The bullish trend persisted through the day, as energy companies like Pakistan Petroleum (up 4.0%), Pakistan State Oil (up 0.7%) and Pakistan Oilfields (up 0.7%) gained on the back of a spike in international crude oil prices,” reported Veer Bajaj, analyst at JS Global Capital. “Engro and Dawood Hercules touched their upper circuits on the back of the Economic Coordination Committee’s decision to reallocate 60 million cubic feet per day of excess gas from the Mari field to the fertiliser sector. Banking stocks like United Bank and National Bank of Pakistan gained on speculations that interest rates will rise once Pakistan enters a new IMF programme,” he added.
“Likewise, rumours of a possible upward revision in allowable unaccounted-for gas losses to 7.5% pushed Sui Northern Gas (up 5%) to a second consecutive upper circuit,” Rawjani said.
Shares of 342 companies were traded on Wednesday. At the end of the day, 202 stocks closed higher, 105 declined while 35 remained unchanged.
Pakistan Telecommunication Company was the volume leader with 26.38 million shares, gaining Rs0.58 to finish at Rs23.84. It was followed by Fauji Cement with 21.77 million shares, gaining Rs0.20 to close at Rs14.46; and TRG Pakistan with 12.62 million shares, gaining Rs0.52 to close at Rs10.73.
Foreign institutional investors were net buyers of Rs476.29 million worth of securities, according to data maintained by the National Clearing Company of Pakistan Limited.
Published in The Express Tribune, July 4th, 2013.