KARACHI: Pakistan equities traded bullish on the last trading day of the fiscal year on renewed institutional interest in oil, cement and fertiliser sectors on strong valuations.
The IMF’s latest loan tranche of $506 million and falling borrowing rates helped sentiment, inviting interest in second- and third-tier scrips, while ignoring the slump in global stocks and commodities amid the Greece debt crisis.
At close, the benchmark KSE-100 index stood at 34,398.86 points, recording a rise of 0.90% or 305.31 points.
An analyst at JS Global said the banking sector, HBL (+2.7%) and MCB (+2%), remained in the limelight due to anticipation of a higher CPI number due to Ramazan.
“Pakistan Refinery Limited (PRL +3.5%) continued its upward journey due to the recent isomerisation plant initiative; which will double petrol output to 24k tons,” said the analyst report, adding that an overnight decline in global oil prices, however, kept the oil sector under pressure.
“EFOODS reached its upper circuit after bringing in a foreign expert on its board and talks regarding launch of a new product.”
Crescent Steel and Allied Products enjoyed its euphoric growth to reach its second consecutive upper circuit after it was awarded a Rs2.5-billion contract by SNGPL, the report concluded.
Meanwhile, Adam Securities analyst Fahad Hussain Khan said the bull run continued despite the increasing political heat in Karachi.
“For the last few days, foreign investors have kept offloading their holding, however, support came from local individual investors as they seemed confident about economic progress,” he said.
Trade volumes increased to 347 million shares compared to 293 million on Monday. The value of shares traded during the day was Rs12 billion.
Shares of 352 companies were traded on Tuesday. Of these, 205 companies closed higher, 116 fell and 31 remained unchanged.
K-Electric Limited was the volume leader with 30.4 million shares, gaining Rs0.15 to close at Rs8.42. It was followed by Byco Petroleum with 30.2 million shares, gaining Rs0.26 to close at Rs23.14 and Pace (Pakistan) Limited with 28 million shares, gaining Rs0.39 to close at Rs7.29.
Foreign institutional investors were net sellers of Rs662 million worth of shares during the session, according to data compiled by the National Clearing Company of Pakistan.
Published in The Express Tribune, July 1st, 2015.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.