Benchmark
100-share index gains 119.17 points.
KARACHI: Equities traded positive on Tuesday consolidating the previous day’s hike as money injection from local and foreign institutional investors provided support to market momentum.
At close, the Karachi Stock Exchange (KSE) 100-share index recorded a rise of 0.35% or 119.17 points to end at 34,270.28.
Elixir Securities analyst Sibtain Mustafa said cement stocks opened up but failed to carry the momentum throughout the day as speculators offloaded their positions ahead of the close with Maple Leaf Cement ending near its lower lock.
Pakistan State Oil’s recent gains due to a decline in international oil prices brought fresh fund injection with the possibility of a higher payout. “News of Finance Minister Ishaq Dar reviewing the stance on reserves tax also boded well for sentiments.”
The analyst said overall the market performed well as liquidity returned after remaining relatively low due to the budget. He predicted that well-performing stocks like PSO and Engro would propel the market to test previous highs.
A Topline Securities report said attractive valuation of banking stocks encouraged investors to take a fresh position in the banking sector, which had been declining for the last few sessions.
Trading volumes decreased to 403 million shares compared to 449 million on Monday. The value of shares traded during the day was Rs18 billion.
Shares of 369 companies were traded. Of these, 173 companies closed higher, 168 fell and 28 remained unchanged.
K-Electric was the volume leader with 31.4 million shares, gaining Rs0.08 to close at Rs8.10. It was followed by Byco Petroleum with 24.4 million shares, gaining Rs0.55 to close at Rs14.02 and Dewan Cement with 22.3 million shares, losing Rs0.25 to close at Rs9.20.
Foreign institutional investors were net buyers of Rs479 million worth of shares during the session, according to data compiled by the National Clearing Company of Pakistan.
Published in The Express Tribune, June 10th, 2015.
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