KARACHI: Pakistan Stock Exchange witnessed positive trend during the outgoing week ended on August 19, 2022 on the back of fresh buying due to appreciating PKR against US$ and news about monetary support from Saudi Arabia and other friendly countries.

The benchmark KSE-100 index increased by 413.08 points on week-on-week basis and closed at 43,270.65 points.

Trading activities also improved as average daily volumes on ready counter increased by 51.3 percent to 519.00 million shares as compared to previous week’s average of 342.92 million shares while average traded value on ready counter increased by 15.8 percent to Rs 12.21 billion against previous week’s average of Rs 10.55 billion.

BRIndex100 gained 59.78 points during this week to close at 4,336.25 points with average daily turnover of 452.798 million shares.

BRIndex30 closed at 15,988.10 points, up 193.43 points on week-on-week basis with average daily trading volumes of 344.289 million shares.

The foreign investors however remained net sellers of shares worth $2.782 million. Total market capitalisation increased by Rs 28 billion or 0.4 percent during this week to Rs 7.201 trillion.

An analyst at AKD Securities said that the KSE-100 index started the week on a promising note gaining 764 points on the first trading session backed by improving PKR against US$ by 0.34 percent on WoW, news regarding monetary help coming from friendly countries such as Saudi Arabia, and impressive earnings posted by refineries and other sectors lifted investor’s confidence during the week.

The average trading volume for the index showed impressive growth, backed by boosting investors’ confidence and expectation that the IMF programme will finally come into place after its executive board meeting scheduled to be held on 29th August 2022, propelled average volumes to 519 million shares (up 51.4 percent on WoW), as investors showed robust optimism.

Stock-wise, top performers in the KSE-100 were HGFA (up 12.4 percent), UNITY (up 10.1 percent), PGLC (up 9.7 percent), KEL (up 8.9 percent) and SML (up 7.5 percent), while laggards were PSMC (down 9.8 percent), HCAR (down 6.9 percent), NBP (down 5.3 percent), PSEL (down 4.9 percent) and INDU (down 4.7 percent).

Flow-wise, insurance was the largest seller, offloading $4.5 million followed by banks and DFI ($2.5 million). While Broker Proprietary Trading and Companies were on the buying side, with a net buy of $7.2 million and $2.5 million respectively.

An analyst at JS Global Capital said that the week started on a positive note with the index gaining 764 points on Monday due to the news of Saudi Arabia’s plan to deposit US $3 bn along with a monthly $100million support in POL products for the next 10 months.

Pakistan equities closed the week at 43,270, reporting an increase of 1.0 percent on WoW. Volumes also witnessed an increase of 51 percent on WoW with an average of 519million shares/day traded during the week.

Copyright Business Recorder, 2022

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