KARACHI: Oil stocks helped trading at Karachi Stock Exchange (KSE) to stay in green on expectations of recovery in oil prices despite offloading in banks while index reaching near to breach 34,000-mark on Friday.
KSE-100 index gained 20.83 points to close at 33,786.44 points as compared to 33,765.61 of previous session. KSE-30 index slightly slid by 1.24 points and closed at 21,799.48 points as against 21,800.72 points of last closing. Elixir Securities’ analyst Faisal Bilwani said, “Pakistan equities closed last day of the week little changed on a day that saw little excitement and a trend less market”.
Investors mostly shuffled positions and traded cautiously ahead of the weekend with participants looking forward to State Bank’s policy announcement that is now expected next Saturday, January 24, he added.
Financials gained today on institutional buying with MCB Bank advancing by 1.5 percent closed at fresh record high while National Bank rising by 1.16 percent also gained on healthy turnover on payout excitement. Cement were mixed and struggled to find a clear direction on profit taking while oils were under pressure tracking global crude.
Bilwani expected stocks would trade volatile as investors realign portfolios ahead of earnings season while waiting for central bank’s decision on discount rate. He sees a range of 500 points and excitement to build up late next week.
JS Research’s analyst Arhum Ghous said, “The market opened on a positive note but witnessed day traders booking profit during the last trading hour”.
The World Bank has slashed global growth forecast to 3 percent for 2015, due to ongoing weakness in Europe and Asia. A gauge of oil and gas stocks led the benchmark index higher as crude oil price recovered further. Karachi Electric (KEL plus 4.15 percent) as it remained in the limelight due to the news agreement for 650 megawatts supply to KEL might be renewed.
BYCO spiked up 7 percent due to the rumor in the market the Company getting the contract to supply fuel to a major Independent Power Producer. Going forward, “We expect Bull-Run in the market as possibility of 50 basic points rate cut in the upcoming monetary policy”, said Ms Ghous.
The market volume decreased by 13.73 percent to 399.606 million shares traded as compared to 383.560 million shares traded in previous session. The overall market capitalisation fell by 0.25 percent to Rs 7.729 trillion as compared to Rs 7.686 trillion of previous session.
Trading value at local bourse declined to Rs 12.710 billion against Rs 17.862 billion of previous session. Out of 392 scrips, 210 scrips advanced, 163 scrips declined while the value of 19 scrips remained unchanged.
The KMI-30 index shed 39.33 points to close at 52,642.58 points as compared to 52,681.91 points of the previous session. The KSE all-share index went 58.47 points down to close at 24,446.87 points as compared to 24,505.34 points of the previous session.
Jah Sidd Company was the volume leader in the market with 37.121 million shares as it closed at Rs 17.34 followed by KEL with trading of 32.837 million shares and closed at Rs 10.28. Bank of Punjab traded 15.801 million shares and closed at Rs 10.93.
