Post-mid session buying lifts index

RECORDER REPORT

KARACHI: Fresh buying after mid session mainly in fertiliser and banking sector stocks on Thursday supported the KSE-100 index to register a healthy gain of 108.68 points to close at the level of 11,392.57 points.

The market opened on a depressed note and the index hit 11,192.26 points intra-day low level. However, the situation improved after mid session on investors' expectations over positive outcome on Capital Gains Tax issues ahead of meeting between KSE and FBR officials. The investors took fresh positions on available low levels mainly in fertiliser and banking sector stocks that supported the index to recover its intra-day losses and to close in positive with healthy gain. During the session, the index hit 11,419.20 points intra-day high level.

Trading activity also improved as the volumes at ready counter increased to 50.274 million shares as compared to 37.871 million shares traded on Wednesday. Total market capitalisation increased by Rs 27 billion to Rs 2.964 trillion. Of the total 311 active stocks, 121 closed in positive, 90 in negative while the value of 100 stocks remained unchanged.

Jahangir Siddiqui Co was the volume leader with 6.369 million shares, however it lost Re -.13 to close at Rs 5.12.  Fresh buying was seen in the fertiliser sector, as Fauji Fertilizer Bin Qasim, Fatima Fertilizer Co, Engro Corp and Fauji Fertilizer Co increased by Rs 1.91, Re 0.70, Rs 1.26 and Rs 3.68 to close at Rs 52.44, Rs 23.14, Rs 118.19 and Rs 155.46 with 4.386 million shares, 3.608 million shares, 2.856 million shares, 2.747 million shares, respectively. DG Khan Cement gained Re 0.59 to close at Rs 20.34 with 3.994 million shares.

In the banking sector, Bank Al Falah and NBP surged by Re 0.34 and Re 0.96 to close at Rs 11.87 and Rs 41.03 with 3.098 million shares and 1.475 million shares, respectively. Lotte Pakistan PTA inched up by Re 0.31 to close at Rs 9.10 with 2.084 million shares. Arif Habib Corp gained Re 0.68 to close at Rs 28.38 with 1.466 million shares.

Unilever Pak and National Refinery were the top gainers with Rs 32.16 and Rs 12.09 to close at Rs 5445.00 and Rs 254.15, respectively while Nestle Pakistan and Colgate Palmolive were the worst losers with Rs 113.86 and Rs 23.29 to close at Rs 2452.55 and Rs 580.00, respectively.

Ahsan Mehanti at Arif Habib Investments said a bullish activity was witnessed in scrips across the board on speculations for positive outcome on Capital Gains Tax issues ahead of meeting between KSE and FBR officials.

He said institutional interest in oversold market, US state department statement on release of Pakistan military aid and official confirmation on President's well health played a catalyst role in positive activity at KSE despite concerns for rising political uncertainty in the country and power shortage for industrial sector.