At close, the Karachi Stock Exchange’s (KSE) benchmark 100-share index decreased 0.01% or 1.90 points to end at 31,779.75.
JS Global analyst Ovais Ahsan said politics remained a major concern for investors.
“The index opened in the green reacting to headlines of the government and the protesting party agreeing on restarting negotiations,” said Ahsan. “However, the latter decided to go ahead with the strike call on Friday.
“Pakistan Oil fields (-2.7%) led the decline as the oil explorer bore the brunt of global oil prices hitting five-year lows. Other major losers were UBL(-1.0%) and ENGRO(-2.3% )as investors turned cautious.
“The highly speculated pharmaceutical sector saw major names hitting lower circuit prices with Abbot Pakistan (5%) and Glaxo Smith Kline (-4.9%) came down as mysteriously as they have gone up with not much public news backing the move.”
“Mari Petroleum(-5%) hit limit down as the new market related gas pricing formula approved by the government provided lower benefits to minority holders than had been anticipated.”
Meanwhile, Arif Habib Corporation’s Ahsan Mehanti said stocks closed flat amid higher trades after crude oil sank to new five-year lows below $61 per barrel.
“Institutional interest witnessed in cement stocks on lower coal prices, dollar appreciation, rising local dispatches.”
Mehanti said that it is expected that talks by government, PTI to settle on election audit by judicial commission and SBP annual report on macroeconomic stability supported the index in the trading session despite concerns for rising political noise inviting late session pressure.
Trade volumes fell to 245 million shares compared to 257 million on Wednesday.
Shares of 374 companies were traded on Thursday. Of these, 179 companies declined, 176 closed higher and 19 remained unchanged. The value of shares traded during the day was Rs14.9 billion.
Telecard Limited was the volume leader with 18.1 million shares, gaining Rs0.14 to close at Rs3.54. It was followed by Maple Leaf Cement with 14.2 million shares, gaining Rs1.64 to close at Rs41.72 and DG Khan Cement with 12 million shares, gaining Rs2.61 to close at Rs104.29.
Foreign institutional investors were net sellers of Rs1.1 billion 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 12th, 2014.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.
COMMENTS
Comments are moderated and generally will be posted if they are on-topic and not abusive.
For more information, please see our Comments FAQ