KARACHI: After a positive start that saw the index go easily over the 34,500-point level, selling pressure and profit-taking meant the ride was short-lived. However, it still managed to sustain some of its gains to end in the black, breaking its two-day streak of closing down.
At close on Thursday, the Karachi Stock Exchange (KSE) benchmark 100-share index rose 0.26% or 87.57 points to end at 34,397.33.
Elixir Securities Faisal Bilwani said equities ended the day positive after a volatile session as benchmark KSE-100 index tested the 34,600 level. “After a positive open, market consolidated gains,” said Bilwani. “However, reports of foreign selling triggered profit taking in wider market in the late hours of trading.”
“Oils traded mixed as volatility in international crude kept most investors at bay while fertilisers took a breather on rumours of higher than earlier expected urea imports that led to profit booking.
“On a day where wider market struggled to sustain gains, most activity was in small and mid-cap stocks that kept retail investors busy hunting for a quick buck,” said Bilwani.
JS Global Saeed Ahmed Khan said positivity prevailed as the index hit +301 points, and finally closed +0.26%. “Major support was from the oil sector,” said Khan. “Oil stocks rallied on the back of brent trading above $50.”
Top performers of the sector were Pakistan Oilfields Limited (+1.55%) and PSO (0.55%), said Khan.
“The fertiliser sector saw pressure as profit taking was witnessed over rumours that half of the urea price increase will be taken back.”
Trade volumes rose to 260 million shares compared with Wednesday’s tally of 248 million shares.
Shares of 383 companies were traded on Thursday. At the end of the day, 167 stocks closed higher, 202 declined while 14 remained unchanged. The value of shares traded during the day was Rs10.4 billion. TRG Pakistan Limited was the volume leader with 18.5 million shares, gaining Rs1.72 to finish at Rs38.29. It was followed by Dewan Cement Limited with 18 million shares, losing Rs0.30 to close at Rs18.09 and Power Cement Limited with 13.5 million shares, losing Rs0.10 to close at Rs11.44.
Foreign institutional investors were net buyers of Rs37 million during the trade session, according to data maintained by the National Clearing Company of Pakistan Limited.
Published in The Express Tribune, September 4th, 2015.
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