KARACHI: Investors took heart by the decline in Pak-India skirmishes along the line of control which encouraged buyers to enter the market and take fresh positions of at attractive valuations. The KSE-100 index, therefore, continued on an upward trajectory hitting intra-day high of 303 points before pulling back to close with gains of 210.73 points (0.53 per cent) at 39,749.75.
The news flow even otherwise was positive after days of dejection. Reports suggested that Pakistan was expected to reach an agreement with the International Monetary Fund on a bailout package of $12 billion. On the domestic front, market was relieved by reports that Ministry of Energy had floated Sukuk in order to partially pay off the circular debts owed to independent power producers and oil and gas utilities. Finally, February inflation clocked in at 8.20pc, which led to renewed buying in multiple sectors in the lead of banks as a central bank rate hike looks likely.
Resultantly, commercial banks were the best performers adding 77 points while on exploration and production dragged the index down by 27 points due to fall in international oil prices.
The volume was up by 23pc over the previous day to 168 million shares, while traded value fell by 21pc to $42m. Five mainly mid-tier stocks Bank of Punjab, TRG Pakistan, Pak Elektron, Pakistan International Bulk Terminal and International Steels contributed 62pc to the total turnover.
Bank of Punjab closed at its upper circuit on back of 2018 results, Pakistan Stock Exchange scrip also ended at its upper lock after foreign investors were allowed to buy its stocks up to maximum 20pc of outstanding shares. Other lead gainers were Habib Bank, higher by 1.84pc, United Bank 1.61pc, Pakistan State Oil 2.41pc and Engro Fertilisers 1.51pc. On the flip side, declining scrips included MCB, down 1.39pc, Pakistan Petroleum 0.89pc and Searle Company 2.82pc.
