AVN 65.32 Decreased By ▼ -0.32 (-0.49%)
BAFL 30.04 Increased By ▲ 0.19 (0.64%)
BOP 4.07 Increased By ▲ 0.02 (0.49%)
CNERGY 3.57 Increased By ▲ 0.01 (0.28%)
DFML 11.59 Increased By ▲ 0.09 (0.78%)
DGKC 41.76 Decreased By ▼ -0.52 (-1.23%)
EPCL 45.40 Decreased By ▼ -0.39 (-0.85%)
FCCL 11.58 No Change ▼ 0.00 (0%)
FFL 5.75 Decreased By ▼ -0.02 (-0.35%)
FLYNG 5.95 Decreased By ▼ -0.03 (-0.5%)
GGL 10.80 Decreased By ▼ -0.02 (-0.18%)
HUBC 67.41 Increased By ▲ 0.01 (0.01%)
HUMNL 5.58 Decreased By ▼ -0.02 (-0.36%)
KAPCO 24.20 Decreased By ▼ -0.28 (-1.14%)
KEL 2.15 Increased By ▲ 0.04 (1.9%)
LOTCHEM 24.75 Decreased By ▼ -0.23 (-0.92%)
MLCF 24.60 No Change ▼ 0.00 (0%)
NETSOL 73.98 Increased By ▲ 0.05 (0.07%)
OGDC 84.37 Decreased By ▼ -0.34 (-0.4%)
PAEL 10.63 Increased By ▲ 0.02 (0.19%)
PIBTL 3.91 Increased By ▲ 0.01 (0.26%)
PPL 65.00 Increased By ▲ 0.20 (0.31%)
PRL 12.60 Decreased By ▼ -0.17 (-1.33%)
SILK 0.90 Increased By ▲ 0.02 (2.27%)
SNGP 39.27 Decreased By ▼ -0.09 (-0.23%)
TELE 6.97 Decreased By ▼ -0.08 (-1.13%)
TPLP 14.56 No Change ▼ 0.00 (0%)
TRG 107.00 Decreased By ▼ -0.40 (-0.37%)
UNITY 13.22 Increased By ▲ 0.07 (0.53%)
WTL 1.20 Increased By ▲ 0.01 (0.84%)
BR100 4,039 Decreased By -0.9 (-0.02%)
BR30 14,393 Decreased By -20.1 (-0.14%)
KSE100 39,948 Increased By 6.2 (0.02%)
KSE30 14,734 Decreased By -4.8 (-0.03%)

KSE-100 rises 0.81% on optimism over resolution of gas sector circular debt

  • Hopes of a positive outcome from IMF meetings also drove buying activity
Published February 7, 2023
Follow us

The Pakistan Stock Exchange (PSX) continued to maintain a bullish trend on Tuesday, as the benchmark KSE -100 Index registered a gain of 0.81% owing to investor optimism over the resolution of circular debt in the gas sector.

Moreover, hopes of a positive outcome from Pakistan’s meetings with the International Monetary Fund (IMF) drove buying activity.

By the end of the session, the KSE-100 Index was up 331.99 points or 0.81% to close at 41,522.76 points.

KSE-100 jumps over 700 points amid return of positive sentiment

Trading kicked off with a jump and the index rose to an intra-day high in the first few hours of today’s session. Some gains were erased as the session progressed but the market still closed in the green.

A report from Arif Habib Limited noted that the index “continued to trade with cheerful sentiments throughout the trading session, reaching an intra-day high of 573.18 points in expectation of approval for the release of 9th tranche of the IMF’s Extended Fund Facility during the ongoing negotiations.”

Investors’ participation remained adequate in exploration and production sector on wake of the resolution of gas circular debt, it said, adding that healthy volumes were observed across the board.

Experts said that the exploration and production sector remained in the spotlight following news that the government is considering settling the gas sector’s outstanding circular debt.

“Reports pertaining to the resolution of circular debt by the government in the gas sector is driving the positive trend in the market, which is being reflected in stocks of OGDC (Oil and Gas Development Company Limited), SSGC (Sui Southern Gas Company Limited) and others trading in green,” said Sana Tawfik, an analyst at Arif Habib Limited.

Technical-level talks between Pakistan and the International Monetary Fund (IMF) team are said to have concluded on Monday, with policy-level discussions starting from today (Feb 7).

Sources on condition of anonymity told Business Recorder that the power sector’s untargeted subsidies were a major concern for the Fund as it wants to make the subsidies targeted. They added that according to the IMF, primary deficit was considerably higher compared to the government estimates.

Meanwhile Capital Stake also noted that “ongoing talks with the IMF as well as possibility of circular debt coming to a resolve, brought about a positive trend in the market.”

Sectors lifting the benchmark KSE-100 index higher included the technology and communication sector (166.08 points), oil and gas exploration sector (132.30 points) and banking sector (69.24 points).

Across-the-board buying was witnessed in index-heavy sectors including, automobile assemblers, cement, chemical, commercial banks and especially oil & gas exploration companies and oil & gas marketing companies.

Volume on the all-share index rose to 296.6 million from 176.7 million on Monday. The value of shares traded rose to Rs12.5 billion from Rs8.8 billion recorded in the previous session.

WorldCall Telecom was the volume leader with 44.7 million shares, followed by Pakistan Petroleum with 31.8 million shares and Sui Southern Gas Company with 16.1 million shares.

Shares of 357 companies were traded on Tuesday, of which 185 registered an increase, 144 recorded a fall and 28 remained unchanged.

On the economic front, the rupee fell 0.35%]3 or Re0.98 to close at 276.28 against the US dollar.


Comments are closed.

KSE-100 rises 0.81% on optimism over resolution of gas sector circular debt

Hamstrung by forex constraints, govt may not be able to purchase 3 more LNG spot cargoes

CPEC IPPs: EPTL threatens to shut down plant

CPEC IPPs: CPPA-G asked to stop capacity payment cuts

Economic impasse is rooted in PTI govt’s policies: PM

Umar says ‘next week to be turning point’

Four key projects: ADB sends mission to ascertain complaints’ eligibility

PM censures President’s letter

Wheat flour distribution points: PM visits Multan, other parts of southern Punjab

SECP decides to amend VPS rules

China opens ties with Honduras