Mixed trend witnessed

Pakistan Stock Exchange witnessed mixed trend during the week however selective buying supported the market to close the week on positive note. BRIndex100 gained 15.13 points on week-on-week basis to close at 4,469.56 points. Average daily volumes stood at 148.406 million shares. BRIndex30 increased by 202.49 points to close at 22,209.23 points with average daily volumes of 113.254 million shares.
Pakistan''s benchmark KSE-100 index surged by 273.52 points on week-on-week basis and closed at 41,910.90 points. Trading activities slightly improved as daily volumes on ready counter increased by 6.8 percent to close at 181.56 million shares as compared to previous week''s average of 170.07 million shares. Average daily trading value however declined by 1.4 percent to Rs 7.32 billion.
The foreign investors remained net sellers of shares worth $15.52 million during this week as compared to net outflow of $24.53 million in the previous week. Total market capitalization increased by Rs 126 billion to Rs 8.665 trillion.
An analyst at AKD Securities said with the commencement of its plenary meeting, FATF episode once again came into play with varying news flows setting market direction accordingly in the outgoing week. Losing 659 points on Monday ahead of plenary meeting, the benchmark KSE-100 index staged recovery on emerging clarity over Pakistan''s status in the FATF''s watch-list (being placed only in grey list, later confirmed by FO), with index closing the week at 41,911 points, up 0.66 percent on week-on-week basis.
Performance wise, HASCOL (up 9.31 percent), KEL (up 6.77 percent), ASTL (up 6.64 percent) and ABL (up 5.23 percent) were major gainers in our AKD Universe, while laggards included CHCC (down 7.40 percent), KAPCO (down 5.74 percent), APL (down 2.40 percent and PSMC (down 2.36 percent).
An analyst at JS Global Capital said that the market made a minor recovery during the week, with the KSE-100 index edging up 274 points, up 0.7 percent) to close at 41,911 level, nevertheless an improvement from the preceding week (down 4.7 percent).
Although the market kicked off on a bearish note (possibly due to news flows relating to increase in gas prices), down 659 points at the end of the first trading session (the index cumulatively shed 6.2 percent during the last four trading sessions), the next three days saw the market jump 1,020 points (up 2.5 percent), which was likely due to attractive valuations perceived by investors following massive correction, positive news flows on ongoing amnesty scheme and fiscal year-end factor.
Oil Marketing Companies (OMCs) put up a strong performance, up 1.8 percent, on news of the government notifying increase in profit margins of the sector by up to ten percent from July 01, 2018. Cements (up 0.7 percent) also enjoyed a bullish run, which was likely due to news flow regarding pressure from the apex court to construct dams in Pakistan. Additional burden was probably caused due to Pakistan''s placement on the FATF grey list, which would create additional scrutinization of the country''s international trade.