KARACHI, March 6: Stocks on Wednesday maintained their upward drive under the lead of base shares, pushing the KSE 100-share index well above the psychological barrier of 1,800 points.

It has crossed the barrier more than once during the last about two months but failed to sustain it owing to subsequent selling and lack of follow-up support.

But this time it was propelled to rise well above the last peak level of 1,825 points to 1,828.82, up 41.45 points and some technical reasons tell the next level of 1,850.00 could easily be breached.

In the backdrop of rapidly changing financial scenario, rising forex reserves and encouraging corporate announcements bulls are not inclined to loosen their grip on the market and that is one of the chief bullish factors, floor brokers say.

Active buying in most of the pivotals, notably PSO, Shell Pakistan on market talk of an increase in margins, Engro Chemical, Glaxo-Wellcome, Al-Ghazi Tractors, Arif Habib Securities and Wyeth Pakistan, which rose by Rs2 to Rs14.50 was another aiding positive factor.

Lahore-based buying again figured prominently on selected counters, notably those currently under the process of privatization as yield-wise most of them are still an attractive buy, dealers said.

Although evidence of strong foreign support is hard to find it was there and was out to grab as much floating stocks of current favourites such as Hub-Power as it could and the consequent rise in their share values.

“The current run-up could be sustained for more than one reasons”, stock analysts at W.E. Financials predict “most of the volume leaders including PSO, Fauji Fertiliser, Engro Chemical, PTCL and Hub-Power are being spot and investors are inclined to find new liquid ones to keep the wheels moving”.

Stocks such as MCB, ICI Pakistan and several others are expected to form the group of most active after leading ones are traded on spot basis.

The charm of privatization of some mega issues, notably PTCL, PSO, and partial sell-off of Habib Bank is there and no one would like to miss the rising market and will opt for riding the bandwagon irrespective of the risks involved.

Stock analysts at the Ali Husain Rajabali Securities also predict a sustained run-up based on some positive economic indicators.

Moreover, dividend announcements pouring in daily from the textile sector also supported the underlying sentiment as most of them are well above the market perceptions.

National Bank, MCB, Burewala Textiles, Pakistan Oilfields, Clariant Pakistan, ICI Pakistan, Lever Brothers, Prosperity Spinning and several others also rose by Rs1.50 to Rs4.

Barring Parke-Davis fell by Rs25 for no apparent bearish news, other fall were modest and were confined to Highnoon Pakistan, Dawood Hercules, Crescent Steel, Shafiq Textiles, Shadman Cotton, Pakistan Telephone and Sapphire Textiles, falling by Rs1.05 to Rs2.

Trading volume soared to 243 shares from 154m shares a day earlier as the buying was broad-based. Out of 273 actives, 170 shares rose while 53 fell.

The active list was topped by PTCL, up 75 paisa at Rs20.35 on 83m shares, Hub-Power firm by 15 paisa at Rs29.40 on 46m shares, Sui Northern, up 40 paisa at Rs14.75 on 18m shares, National Bank, sharply higher by Rs1.50 at Rs19.15 on 16m shares and FFC-Jordan Fertiliser, higher 30 paisa at Rs6.40 on 12m shares.

Other actives were led by ICI Pakistan, up Rs2 on 8.225m shares, KESC, easy five paisa on 6.363 shares, Maple Leaf Cement, up 70 paisa on 5.940m shares, Japan Power, firm by 30 paisa on 4.945m shares and D.G. Khan Cement, steady by 15 paisa on 3.904m shares.

FUTURE CONTRACTS: Trading volume on this counter soared to 17.639m shares thanks to heavy buying in Hub-Power and PTCL, up 20 and 70 paisa at Rs26.05 and Rs20.45 on 7.517 and 6.103m shares.