KARACHI: Bullish trend was witnessed on the Karachi share market on Wednesday and the benchmark KSE-100 index closed at the highest-ever level of 16,218.01 points with healthy increase of 166.87 points.
Trading activities also improved as the volumes at ready counter increased to 158.552 million shares as compared to 129.037 million shares traded on Tuesday.
Total market capitalization increased by Rs 51 billion to record level of Rs 4.047 trillion. Of the total 334 active stocks, 188 closed in positive and 112 in negative while the value of 34 stocks remained unchanged.
Cement sector led the rally as DG Khan Cement was the volume leader with 12.306 million shares however lost Re 0.52 to close at Rs 52.68. In the other cement sector stocks, Maple Leaf gained Re 0.19 to close at Rs 10.17 with 10.168 million shares while Fauji Cement decreased by Re 0.08 to close at Rs 6.60 with 8.294 million shares.
Engro Foods surged by Rs 3.83 to close at Rs 80.43 with 10.803 million shares.
In the banking sector, Bank Al Falah, BoP and NBP increased by Re 0.30, Re 0.23 and Re 0.70 to close at Rs 15.92, Rs 8.51 and Rs 47.31 with 7.162 million shares, 6.702 million shares and 4.838 million shares respectively. JS Growth Fund inched up by Re 0.53 to close at Rs 8.41 with 5.485 million shares.
Engro Corporation increased by Rs 1.21 to close at Rs 95.96 with 5.152 million shares. Fauji Fertilizer Bin Qasim lost Re 0.07 to close at Rs 39.84 with 4.004 million shares.
Unilever Pak and Nestle Pakistan were the top gainers increasing by Rs 174.49 and Rs 139.99 to close at Rs 9774.99 and Rs 4699.99 while Rafhan Maize and Bata (Pak) Limited were the top losers declining by Rs 188.00 and Rs 26.00 to close at Rs 3572.00 and Rs 1380.00 respectively.
Hasnain Asghar Ali at Escorts Capital said that following the trend in regional bourses the local equities staged a strong comeback, across the board value buying in the frontline stocks kept triple digit gains on benchmark intact throughout the trading session despite reshuffling led adjustment in cement sector stocks.
The statement by the US president reelect committing an end war decade, that indeed will lessen the pressure from the region allowed the local bourse to march forward expectation of further cut in discount rate stayed the trigger, as the stance if continued will indeed keep the values at local equity market a temptation mainly due to low multiples and high yields.
The E&P and banking stocks stayed prominent gainers while reshuffling in cement stocks kept sector stocks in the volume leaders list, although, with reelection CSF release that has been identified as a source of fund along with FDIs to off-set pressure of debt retirement during Jan-Mar 13, ballooned-up circular debt and high government borrowings, and energy supply issues thus economic and financial concerns continue to keep the economic stake holders in nervous territory, thus disallowing the domestic liquidity to take advantage of values at the local equity markets in a big way, as reflected by substantially below potential trade value and volumes.