Market watch: The index’s bull run continues
Benchmark KSE-100 index gains 325 points.
KARACHI:
Pakistan equities opened positive, sailing over to new highs with volumes clocking in over the 320-million mark. The index’s dream run has seen it close in the black for the eight successive trading day.
At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index increased 1.04% or 325.57 points to end at 31,629.20.
Elixir Securities analyst Haris Ahmed Batla said Oil and Gas Development Company (OGDC +1.41%) led the rally on reported institutional interest followed by other oil players. “Among these were namely Pakistan State Oil (PSO +3.09%) and Pakistan Petroleum (PPL 4.25%), who ignored recent decline in international oil prices,” said Batla.
“Engro (+4.25%) maintained its performance for the second consecutive day, backed by its subsidiary Engro Fertilizer (+4.06%), while textiles joined in to recover the loses with Nishat Chunian (+4.98%) hitting the upper price limit.”
Batla added that news of federal government’s decision to maintain tight monetary and fiscal policies in the remaining seven months of the current fiscal year backed financials to close in the green, led by National Bank of Pakistan (+2.69%)
“We expect the market to remain volatile at highs where financials are likely to remain strong while cements may see little resistance,” concluded Batla.
Meanwhile, JS Global analyst Arhum Ghous said that Mari continued its upward journey as the ECC finally approved the proposal for dismantling of Mari Gas Pricing Agreement and replacing it with a market-oriented formula.
“Auto sector continued its rally as industry sales rose 27% year-on-year in October,” said Ghous. “Going forward, we expect the index to extend its bull run. Preferred play is the cement sector.”
Trade volumes rose to 322 million shares compared to 222 million on Tuesday.
Shares of 433 companies were traded on Wednesday. Of these, 119 companies declined, 294 closed higher while 20 remained unchanged. The value of shares traded during the day was Rs19.3 billion.
Jahangir Siddiqui and Company was the volume leader with 25.7 million shares, gaining Rs0.72 to close at Rs12.95. It was followed by Maple Leaf Cement with 15.1 million shares, gaining Rs0.48 to close at Rs32.06 and Engro Fertilizer Limited with 11.4 million shares, gaining Rs2.49 to close at Rs63.83.
Foreign institutional investors were net buyers of Rs763 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, November 13th, 2014.
Pakistan equities opened positive, sailing over to new highs with volumes clocking in over the 320-million mark. The index’s dream run has seen it close in the black for the eight successive trading day.
At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index increased 1.04% or 325.57 points to end at 31,629.20.
Elixir Securities analyst Haris Ahmed Batla said Oil and Gas Development Company (OGDC +1.41%) led the rally on reported institutional interest followed by other oil players. “Among these were namely Pakistan State Oil (PSO +3.09%) and Pakistan Petroleum (PPL 4.25%), who ignored recent decline in international oil prices,” said Batla.
“Engro (+4.25%) maintained its performance for the second consecutive day, backed by its subsidiary Engro Fertilizer (+4.06%), while textiles joined in to recover the loses with Nishat Chunian (+4.98%) hitting the upper price limit.”
Batla added that news of federal government’s decision to maintain tight monetary and fiscal policies in the remaining seven months of the current fiscal year backed financials to close in the green, led by National Bank of Pakistan (+2.69%)
“We expect the market to remain volatile at highs where financials are likely to remain strong while cements may see little resistance,” concluded Batla.
Meanwhile, JS Global analyst Arhum Ghous said that Mari continued its upward journey as the ECC finally approved the proposal for dismantling of Mari Gas Pricing Agreement and replacing it with a market-oriented formula.
“Auto sector continued its rally as industry sales rose 27% year-on-year in October,” said Ghous. “Going forward, we expect the index to extend its bull run. Preferred play is the cement sector.”
Trade volumes rose to 322 million shares compared to 222 million on Tuesday.
Shares of 433 companies were traded on Wednesday. Of these, 119 companies declined, 294 closed higher while 20 remained unchanged. The value of shares traded during the day was Rs19.3 billion.
Jahangir Siddiqui and Company was the volume leader with 25.7 million shares, gaining Rs0.72 to close at Rs12.95. It was followed by Maple Leaf Cement with 15.1 million shares, gaining Rs0.48 to close at Rs32.06 and Engro Fertilizer Limited with 11.4 million shares, gaining Rs2.49 to close at Rs63.83.
Foreign institutional investors were net buyers of Rs763 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, November 13th, 2014.