KSE gains 56 points before Eid in thin trade

Benchmark 100-share index at the Karachi Stock Exchange (KSE) closes 0.52 per cent, or 56.34 points, higher.

KARACHI: The bullish rally witnessed at the stock market last week continued in thin trade on the last trading session before Eid on the back of foreign buying, according to analysts.

The benchmark 100-share index at the Karachi Stock Exchange (KSE) closed 0.52 per cent, or 56.34 points, higher on Tuesday at 10,965.99 points.

Continued foreign interest in the local equity market and the increasing trend in international crude oil prices remained the key factors behind the fresh momentum, according to Crosby Securities analyst Ovais Iqbal.

Positive sentiments prevailed in blue-chip stocks across the board on the back of foreign interest in the energy sector after Standard & Poor (S&P) affirmed the stable long-term outlook for Pakistan, said Director Arif Habib Investments Limited Ahsan Mehanti.

S&P, the credit rating agency, confirmed the country’s long-term rating on foreign currency debt at a stable ‘B-’ because of a better financial position on Monday. National Refinery Limited stole the show in a largely lacklustre market, hitting its upper-limit during the day’s trade and remaining firm, followed by a 1.2 per cent jump in the stock of Attock Petroleum Limited.

Trade volume remained low at 74.2 million shares, nonetheless up 14.7 per cent from Monday’s turnover of 64.7 million shares.

Shares of 402 companies were traded on Tuesday. At the end of the day 228 stocks closed higher, 156 declined while 18 remained unchanged. The value of shares traded during the day was Rs3.29 billion. JS and Company was the volume leader with a turnover of 8.85 million shares, gaining Rs0.31 to finish at Rs12.55 per share.  It was followed by Lotte Pakistan PTA. With 5.33 million shares traded, the scrip lost Rs0.06 to close at Rs11.94.

Hub Power Company (Hubco), third on the volumes chart, remained highly sought after for a second day in a row after talk of it having become Shariah-complaint and expectations of interest from large Islamic funds. Hubco, with a trade volume of 5.32 million shares, firmed Rs0.39 to close at Rs35.54.

The KSE will remain closed from Wednesday to Friday owing to the public holidays announced on account of Eidul Azha.

Published in The Express Tribune, November 17^th, 2010.