Market watch: Index closes with miniscule decline

Benchmark KSE-100 index falls 24.78 points.

KARACHI: The day started on a positive note before selling in the broader market wiped morning gains to eventually close a little below the opening level.

The Karachi Stock Exchange’s (KSE) benchmark 100-share index fell 0.08% or 24.78 points to end at 29,676.80.

“Engro Corporation (ENGRO PA +2%) attracted interest at lows after having declined by over 10% in the last four trading sessions alone,” said Elixir Securities analyst Fareesa Baig. “On the other hand, index heavy energy names to the likes of Pakistan Oilfields (POL PA -1.4%), Oil and Gas Development Company (OGDC PA -0.14%) and Pakistan State Oil (PSO PA +0.47%) traded lacklustre after having rallied in the recent trading sessions post Pakistan Petroleum Limited privatisation.



“We expect the market to continue to trade volatile with foreign flows helping guide broader market direction, while financials and cements to trade upbeat over expectations from the upcoming earning announcements.”

Meanwhile, JS Global analyst Fahad Ali said the market is expected to be upbeat with index crossing the 30,000 mark. “We recommend investors to accumulate fundamentally strong banks and E and P stocks,” said Ali.

Trade volumes rose to 132 million shares compared with Tuesday’s tally of 90 million.

Shares of 323 companies were traded on Wednesday. At the end of the day, 146 stocks closed higher, 150 declined while 27 remained unchanged. The value of shares traded during the day was Rs6.4 billion.

Pakistan Telecommunication Company Limited was the volume leader with 23 million shares, gaining Rs0.75 to finish at Rs26.01. It was followed by Telecard Limited with 12 million shares, gaining Rs0.15 to close at Rs4.20 and Sui Southern Gas Company with 9.6 million shares, gaining Rs0.51 to close at Rs37.25.



Foreign institutional investors were net sellers of Rs164 million during the trade session, according to data maintained by the National Clearing Company of Pakistan Limited.

Published in The Express Tribune, July 3^rd, 2014.

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