Market watch: Directionless index caps week in the red
Benchmark KSE-100 index drops 90.52 points.
KARACHI:
The index closed the last day of the week in the negative territory amid cautious trading and selective interest.
At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index dropped 0.31% or 90.52 points to end at 29,513.78.
“No significant development on politics and in the absence of major news, stocks opened sideways and struggled to find a clear direction,” said Faisal Bilwani of Elixir Securities.
“However, the index traded red in the second session on Moody’s comments highlighting macro risks due to the ongoing political crisis.
Moreover, confirmation of the Chinese president postponing his visit to Pakistan dented sentiments while monsoon floods in Punjab province also remain a cause of concern.
“Events over the weekend on the political front and clarity on damage from heavy rains followed by flooding will set the tone next week with investors likely to wait for an end to the political stalemate before buying aggressively,” concluded Bilwani.
Meanwhile, Arham Ghous of JS Global said the market is expected to pick up momentum in the next few trading sessions as political situation is gradually phasing out.
“Investors will keenly look at foreign portfolio flows as any large inflow will induce more buying from local participants,” he added.
Trade volumes fell to 151 million shares compared to Thursday’s tally of 223 million.
Shares of 335 companies were traded on the last trading session of the week. Of these, 160 companies declined, 153 closed higher while 22 remained unchanged. The value of shares traded during the day stood at Rs8.2 billion.
Pak Electron Limited was the volume leader with 13.7 million shares, losing Rs0.23 to close at Rs33.44. It was followed by TRG Pakistan Limited with 12.4 million shares, gaining Rs0.54 to close at Rs11.58 and Engro Fertilizer Limited with 12.2 million shares, losing Rs1.10 to close at Rs53.79.
Foreign institutional investors were net buyers of Rs624 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan Limited.
Published in The Express Tribune, September 6th, 2014.
The index closed the last day of the week in the negative territory amid cautious trading and selective interest.
At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index dropped 0.31% or 90.52 points to end at 29,513.78.
“No significant development on politics and in the absence of major news, stocks opened sideways and struggled to find a clear direction,” said Faisal Bilwani of Elixir Securities.
“However, the index traded red in the second session on Moody’s comments highlighting macro risks due to the ongoing political crisis.
Moreover, confirmation of the Chinese president postponing his visit to Pakistan dented sentiments while monsoon floods in Punjab province also remain a cause of concern.
“Events over the weekend on the political front and clarity on damage from heavy rains followed by flooding will set the tone next week with investors likely to wait for an end to the political stalemate before buying aggressively,” concluded Bilwani.
Meanwhile, Arham Ghous of JS Global said the market is expected to pick up momentum in the next few trading sessions as political situation is gradually phasing out.
“Investors will keenly look at foreign portfolio flows as any large inflow will induce more buying from local participants,” he added.
Trade volumes fell to 151 million shares compared to Thursday’s tally of 223 million.
Shares of 335 companies were traded on the last trading session of the week. Of these, 160 companies declined, 153 closed higher while 22 remained unchanged. The value of shares traded during the day stood at Rs8.2 billion.
Pak Electron Limited was the volume leader with 13.7 million shares, losing Rs0.23 to close at Rs33.44. It was followed by TRG Pakistan Limited with 12.4 million shares, gaining Rs0.54 to close at Rs11.58 and Engro Fertilizer Limited with 12.2 million shares, losing Rs1.10 to close at Rs53.79.
Foreign institutional investors were net buyers of Rs624 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan Limited.
Published in The Express Tribune, September 6th, 2014.