Equities edge lower
After four consecutive bullish sessions, Karachi stock market Wednesday closed lower on institutional profit-taking in overbought scrips. The benchmark KSE-100 index declined by 143.09 points to close at 24,445.38 points down from 24,588.47 points Tuesday. "After gaining 820 points in last four sessions, some profit-taking was seen at the bourse as a result of which the index witnessed some decline," said Asad I Siddiqui senior manager research at Topline.
Copyright Business Recorder, 2013
He said despite slightly negative news flow, market participation remained on the higher side with 16 percent jump in the value to Rs 12 billion. Positivity was seen in the telecom sector as a 3G consultant is expected to formally sign the deal with the PTA in coming few days.
Conversely, textiles saw pressures due to reports a few EU countries lobbying against GSP Plus status to Pakistan while oil and refineries fell on the back of news surrounding deemed duty withdrawal, he added. On Wednesday, the KSE-100 index also hit an intraday high of 24,750.09 points and a low level of 24,427.64 points. Despite negative trend trading activity was on the higher side and the volume at the ready counter mounted to 200 million shares as compared to 185.218 million shares traded in previous session.
Trading took place in 363 scrips, of which 147 went up, 188 went down and that of 28 remained unchanged. Market capitalisation declined by Rs 35 billion to Rs 5.914 trillion. P.T.C.L.A was the volume leader with 27.4 million shares followed by Engro Corporation with a volume of 15.1 million shares. Among top 10 scrips, price of seven scrips closed positive, two in negative and that of one company remained stable.
P.T.C.L.A moved up by Re 0.04 to Rs 29.90. Engro Corporation gained Rs 1.77 to close at Rs 158. Lotte Chemical saw 8 million shares changing hands. It remained stable at Rs 6.86. Pak Petroleum lost Re 0.07 to Rs 213.50 on 7.79 million shares. P.I.A.C closed at Rs 8.25, increasing by Re 0.28 on 6.9 million shares. Fauji Cement gained Re. 0.01 to close at Rs 13.60 on 6.5 million shares.
Similarly, Telecard Limited lost Re. 0.04 to close at Rs 5.61 on 5.6 million shares. Nishat Mills Ltd closed at Rs 114.65, up by Re 0.26 on 5.3 million shares. Sui South Gas moved up by Re. 0.22 to Rs 24.75 on 5.1 million shares; and Pak Elektron gained Re. 0.28 to Rs 18.90 on some 5 million shares.
Unilever Food and Bata Pak were the top gainers with share prices increasing by Rs 223.80 and Rs 118.21 to close at Rs 11,400.00 and Rs 2,482.55, respectively. Nestle Pakistan and Wyeth Pak Ltd were the worst losers, with share prices declining by Rs 453.75 and Rs 247.40 to close at Rs 8,696.25 and Rs 4,700.60, respectively. Ahsan Mehanti an analyst at Arif Habib said stocks ended lower on institutional profit-taking in overbought market amid concerns for security unrest in the city. Rising circular debt in energy sector, falling foreign exchange reserves, concerns on political protests for end to drone strikes and fall in global stocks played a catalyst role in bearish sentiment despite support in selected SOEs in telecom and oil and gas sectors awaiting key announcements on privatisation and 3G licence auctions, he added.