Market watch: Backed by institutional buying, index jumps over 29,800
Benchmark KSE-100 index increases 167.06 points.
KARACHI:
Despite a slow start, the index closed positive as mainly institutional investors gradually built enough confidence to try and take advantage.
At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index rose 0.56% or 167.06 points to end at 29,858.37.
“After a sideways open on very thin volumes, turnover picked up as day progressed on institutional buying in blue chips with index heavy banks; United Bank (UBL PA +.8%), Habib Bank (HBL PA +5%), helping the index overcome the 29,800 level,” said Faisal Bilwani of Elixir Securities.
“As expected, cements attracted attention with DG Khan Cement (DGKC PA +3.9%) leading as investors speculate on expansion plans in the southern region; a move that could well decide the fate of cement maker’s marketing arrangement.
“Among index names, Oil and Gas Development Company (OGDC PA -0.6%) traded against market direction on low volumes with stock to trade Ex of Rs3 per share cash pay-out from the 16th of this month.”
Meanwhile, JS Global analyst Arham Ghous said the market was expected to remain lacklustre. “We expect the market to consolidate within a band of 300 to 500 points until some clarity emerges. We prefer high dividend yielding stocks like NCPL, KAPCO and FCCL.”
Trade volumes rose to 161 million shares compared to Wednesday’s tally of 101 million.
Shares of 404 companies were traded on Thursday. Of these, 117 companies declined, 272 closed higher while 15 remained unchanged. The value of shares traded during the day stood at Rs7.9 billion.
Pak Elektron Limited was the volume leader with 25.2 million shares, losing Rs1.35 to close at Rs31.21. It was followed by K-Electric Limited with 11.5 million shares, gaining Rs0.19 to close at Rs8.42 and DG Khan Cement with 9.7 million shares, gaining Rs3.12 to close at Rs83.14.
Foreign institutional investors were net buyers of Rs59 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 12th, 2014.
Despite a slow start, the index closed positive as mainly institutional investors gradually built enough confidence to try and take advantage.
At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index rose 0.56% or 167.06 points to end at 29,858.37.
“After a sideways open on very thin volumes, turnover picked up as day progressed on institutional buying in blue chips with index heavy banks; United Bank (UBL PA +.8%), Habib Bank (HBL PA +5%), helping the index overcome the 29,800 level,” said Faisal Bilwani of Elixir Securities.
“As expected, cements attracted attention with DG Khan Cement (DGKC PA +3.9%) leading as investors speculate on expansion plans in the southern region; a move that could well decide the fate of cement maker’s marketing arrangement.
“Among index names, Oil and Gas Development Company (OGDC PA -0.6%) traded against market direction on low volumes with stock to trade Ex of Rs3 per share cash pay-out from the 16th of this month.”
Meanwhile, JS Global analyst Arham Ghous said the market was expected to remain lacklustre. “We expect the market to consolidate within a band of 300 to 500 points until some clarity emerges. We prefer high dividend yielding stocks like NCPL, KAPCO and FCCL.”
Trade volumes rose to 161 million shares compared to Wednesday’s tally of 101 million.
Shares of 404 companies were traded on Thursday. Of these, 117 companies declined, 272 closed higher while 15 remained unchanged. The value of shares traded during the day stood at Rs7.9 billion.
Pak Elektron Limited was the volume leader with 25.2 million shares, losing Rs1.35 to close at Rs31.21. It was followed by K-Electric Limited with 11.5 million shares, gaining Rs0.19 to close at Rs8.42 and DG Khan Cement with 9.7 million shares, gaining Rs3.12 to close at Rs83.14.
Foreign institutional investors were net buyers of Rs59 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 12th, 2014.