December 5, 2001	Wednesday	Ramazan 19, 1422

KARACHI, Dec 4: Trading on the stock market on Tuesday remained sluggish as leading investors kept to the sidelines apparently awaiting some fresh positive developments on the financial front including dividend from the mega companies.

The underlying sentiment remained mixed and at no stage it was evident that bears are in command of the trading arena despite the fact that leading shares including PSO attracted selling at the overnight inflated levels.

After early rising by 6 points, the KSE 100-share index finally ended higher by a fractional rise of 0.13 points at 1,365.75, reflecting the strength of PTCL and some other base shares. The initial rise was attributed to active support extended to Nestle MilkPak share and steep increase in its share value. It subsequently ended reacted.

The trading activity was, however, devoid of any special feature as investors were not inclined to make bigger commitments even at the lower levels apparently awaiting the advent of institutional buying.

Bulk of the activity remained confined to PTCL ahead of its board meeting on Dec 10, and rumours of an interim dividend, but it too failed to hold on to its initial gains.

“I don’t think PTCL could come out with an interim dividend in its next Monday’s board meeting,” says a leading stock analyst commenting on the rumours circulating in the market. “There is no precedence in PTCL history of an interim in a quarterly meeting.”

However, the rumour afloat suggests the PTCL high-ups could follow the lead given by another mega issue, Hubco some months backs to attract more strategic buyers in its fold.

But one thing appears certain that its financial position is expected to be much better than the comparable figure during the same period last year owing to higher sales, brokers said.

Elsewhere, the activity was relatively slow in the absence of support from the most active quarters amid reports of falling badla business.

“The trading is based on immediate positive local factors as no one is inclined to take an objective view of the developing financial scenario at least for the short-term,” dealers said.

Although advancing shares held a modest lead over the losing ones, most of the price changes were fractional and reflected lack of genuine as well as speculative support.

However, some of the leading shares managed to put on fresh gains under the lead of Nestle MilkPak and Lever Brothers on the food sector, up Rs.10 and 3 followed by Rupali Polyester, General Tyre, Noon Sugar and some others, which rose by one rupee to Rs.1.40.

Losers were led by 9th ICP Mutual Fund, KASB & C0, Alico, Prime Insurance, Shadman Cotton Dandot Cement, PSO, Al-Ghazi Tractors, Glaxo-Wellcome and Knoll Pharma, falling by one rupee to Rs.1.50.

Trading volume fell to 34m shares from the previous 39m shares as gainers held a modest lead over the losers at 71 to 66, out of 189 actives, with 52 shares holding on to the last levels. PTCL led the list of actives, lower five paisa at Rs.18 on 13m shares, followed by Hub-Power spot, up 10 paisa at Rs.19.95 on 6m shares, PSO, easy Rs.1.40 at Rs.100.60 on 4m shares, Engro Chemical, up 45 paisa at Rs.56.30 on 3m shares, ICI Pakistan, easy five paisa at Rs.44 on 2m shares and Adamjee Insurance, lower 20 paisa at Rs.35.60 on 1.028m shares.

Others, including D.G.Khan Cement, Fauji Fertilizer, Sui Northern were modestly traded. The notable feature was that Pakistan PTA came in for active trading for the first time, and was quoted lower by 25 paisa at Rs.3.35 on 0.457m shares.

FUTURE CONTRACTS: Bulk of the trading activity again remained confined to Hubco and PTCL, which rose by 10 paisa and fell by the same amount at Rs.18.10 and 15.95 respectively on 1.376m and 1.220m shares.

PSO was leading among the losers, off Rs.1.30 at Rs.101.25 on 89,500 shares, while Engro rose by 40 paisa at Rs.56.50 on 37,500 shares.

DEFAULTER COMPANIES: Allied Motors came in for active support and was quoted higher by five paisa at Rs.3 on 7,500 shares followed by Suzuki Motorcycle unchanged at Rs.1.25 on 1,500 shares.

NATIONAL BANK: Over half a million share changed hands in it at the overnight rate of Rs.12.55, the average rate being Rs.12.60. Its share touched the lowest and the highest at Rs.12.30 and 12.90 on Tuesday.

DIVIDEND: Al-Abid Silk cash 50 per cent, Universal Leather & Footwear cash 50 per cent, Ismail Industries 17.5 per cent, Leiner Pak Gelatine 15 per cent, Ellahi Electric 7.5 per cent, Essa Cement, Pacific Leasing, Pioneer Cement, Balochistan Glass, International Knitwear, Al-Khair Gadoon and AKD Securities and Safe Deposit Co, all nil for the year ended June 30, 2001.

BOARD MEETINGS: Colony Woollen on Dec 5, First Pak Modaraba, Morafco Industries, Kakakhel Industries, on Dc 6, Ghandhara Industries, Pakistan Fisheries, on Dec 7, Kohinoor Power, PEL Appliances, Pak Elektron, First Crescent Modaraba on Dc 8 and Pakistan Telecommunication Company on Dec 10.