KARACHI: Though the benchmark KSE-100 Index closed lower overall 1.1 percent during the last week, the KSE market will take cue from February inflation data next week.
Showing a lackluster performance during outgoing week, the Karachi Stock Exchange benchmark 100 index closed down 1.1 percent from last week to stand at 33,632 points.
An expert said they expect consumer price index to ease to very low levels of 3.8 percent for Feb-15, which should generate hopes of a sharper than 50 basis points cut in discount rate in the March monetary policy announcement, and can trigger positive momentum at the bourse.
The benchmark 100-index decreased by 361 points, or 1.1 percent, week on week to 33,632 points as against 33,993 points in the preceding week. Average trading volume dropped by 19 percent to 172 million shares from 212 million shares, value traded per day fell 22 percent to $89 million. Foreign portfolio investment outflow was recorded at $9.6 million as compared to $9.3 million earlier.
Another analyst said there was a lack of any trigger in the market, however, inflation data at the beginning of the new week might set pace the market’s pace. The rollover of futures contracts whereas the net foreign selling of $9.6 million kept investors sentiments bearish, despite strong corporate announcements. The average trading volumes dropped by 19 percent WoW to 172 million shares per day.
In the closing week, Indus Motor with trading witnessed increased by 8.7 percent as it outperformed the market over rumors of potential buyback of shares by Toyota. Overall the market remained subdued due to its profit-taking trend. Sectors such as oil and cement contributed largely to dragging the indices down in many sessions of the last week. The shares values and volumes under these sectors were also seen in the red
