Market watch: Backed by institutions, index breaks past 32,000

Benchmark KSE-100 index increases 218.20 points.


Our Correspondent December 04, 2014

KARACHI: The bulls dominated the bourse as institutional interest helped the index cross the 32,000-point barrier.

At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index increased 0.68% or 218.20 points to end at 32,090.93.

Elixir Securities analyst Faisal Bilwani said Pakistan equities inched up as interest from institutions kept momentum strong.

“Against our expectation, the wider market defied gravity with intra-day profit-taking followed by fresh flows pushing the index higher.

“Textiles and cements nevertheless corrected with Nishat Mills (NML, -2.9%), Lucky Cement (LUCK, -1%) and DG Khan Cement (DGKC, -0.3%) ending the day red after a positive open.



“Financials were green as MCB Bank (MCB, +1.7%) nears the 52-week high on local buying while oils were up, led by the Pakistan State Oil (PSO, +3.9%), on reported foreign buying.”

Meanwhile, JS Global analyst Muhammed Mobeen said banks were the major highlight nearing the year-end results with investors anticipating strong earnings and healthy dividend payouts.

“National Bank Pakistan (NBP, +4.6%) led the sector from the front as the bank is expected to pay a per share dividend of Rs5.75 this year,” said Mobeen.

“Within the oil and gas sector, PSO (+3.9%) gained momentum as investors anticipate a global rebound in oil prices from the current levels.

“Going forward, we expect the market to remain within the green zone with banks and cements expected to see momentum buying.”

Trade volumes fell to 378 million shares compared to 422 million on Wednesday.

Shares of 394 companies were traded on Thursday. Of these, 171 companies declined, 204 closed higher while 19 remained unchanged. The value of shares traded during the day was Rs18.8 billion.



Bank of Punjab was the volume leader with 37.3 million shares, gaining Rs0.61 to close at Rs9.14. It was followed by TRG Pakistan Limited with 25.4 million shares, gaining Rs0.65 to close at Rs13.30 and Adamjee Insurance with 16.4 million shares, gaining Rs1.16 to close at Rs49.63.

Foreign institutional investors were net buyers of Rs44 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, December 5th,  2014.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.

COMMENTS

Replying to X

Comments are moderated and generally will be posted if they are on-topic and not abusive.

For more information, please see our Comments FAQ

E-Publications

Most Read