KARACHI: Pakistan Stock Exchange witnessed bullish trend during the outgoing week ended on October 06, 2023 on the back of healthy buying mainly by local investors.

The benchmark KSE-100 index surged by 1260.98 points on week-on-week basis and crossed 47,000 psychological-level to close at 47,493.57 points.

Trading activities also improved as average daily volumes on ready counter increased by 43.8 percent to 291.06 million shares during this week as compared to previous week’s average of 202.46 million shares while average daily traded value on ready counter increased by 13.5 percent to Rs 7.40 billion during this week against previous week’s Rs 6.52 billion.

BRIndex100 added 157.09 points during this week to close at 4,783.36 points with average daily turnover of 268.997 million shares.

BRIndex30 increased by 379.51 points on week-on-week basis to close at 16,948.69 points with average daily trading volumes of 206.430 million shares.

The foreign investors however remained on the selling side and withdrew $12.046 million from the local equity market during this week. Total market capitalization increased by Rs 138 billion during this week to Rs 7.023 trillion.

An analyst at AKD Securities said that the market remained positive throughout the week, moving up by 1,261points and concluding at 47,494points.

In a meeting with the Senate Standing Committee on Finance, Dr. Shamshad Akhtar made a promising statement that the caretaker government will deliver on the IMF programme to secure $700million under the SBA. Moreover, Pakistan is seeking foreign investments from Saudi Arabia in Reko Diq’s copper and gold mining projects where companies like OGDC, PPL, and GHPL are contemplating on selling their partial or full stakes in an attempt to boost the country’s foreign exchange reserves.

Sector-wise, Engineering, Refinery, and Cable & Electric goods were amongst the top performers, up by 7.31 percent/4.61 percent/4.40 percent WoW respectively. Whereas, synthetic & rayon, vanaspati & allied industries, and close end mutual funds were amongst the worst performers with a decline of 3.29 percent/3.22 percent/1.85 percent WoW.

Flow wise, major net selling was recorded by brokers (net sell: $3.48 million) and Mutual Funds (net sell: $0.2 million). On the other hand, Banks and Companies absorbed most of the selling with a net buy of $13.6 million and $2.1 million, respectively.

Company-wise, top performers during the week were KEL (up 16.8 percent), ISL (up 12.4 percent), AGP (up 10.6 percent), CNERGY (up 10.5 percent) and PGLC (up 10.3 percent), while top laggards were JDWS (down 7.0 percent), PSEL (down 5.9 percent), IBFL (down 4.6 percent), THALL (down 2.6 percent) and HINOON (down 2.3 percent).

An analyst at JS Global Capital said that the KSE-100 index was up 2.7 percent WoW this week closing at 47,493, reporting a positive closing for five consecutive days.

Investor sentiment remained positive over declining international oil prices and appreciating PKR against US$. PIB cut-off rates were reduced by 15bps (3yr-PIBs), while we saw 42bps/5bps cut in 3M/12M T-bill cut offs in auctions held this week.

Copyright Business Recorder, 2023

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