May 10, 2002	Friday	Safar 26, 1423

KARACHI, May 9: Stocks on Thursday performed credibly well allaying fears of a big fresh selloff as bulls fought back to regain an upper hand in a market which ensures smart capital gains in the weeks to come. The index recovered 27.04 points or 1.5 per cent at 1,816.94.

An idea of the market’s buoyant mood may well be had from the fact that Bosicor Pakistan, a new refinery being set up in the private sector on Balochistan coastal area, which was provisionally listed on Thursday, came on the board at Rs12.75 against the face value of Rs10.

It was well received in the market as its share value finished higher by Rs2.75 against the opening of Rs15.50 after briefly touching the day’s peak level of Rs15.75 on 0.135m shares.

Elsewhere the giants among the bulls were not inclined to miss the rising market, there was still a sense of scare among the weaker links in post-suicide bomb attack session owing perhaps to heavy casualties.

But how the foreign fund managers and portfolio investors view the post-suicide bomb attack investment scenario in typical Pakistani conditions is unclear, indications are that they may take some weeks to fully recover the shock of new wave of terrorist attacks.

However, the fact that the market has already absorbed the panic and demonstrated its inherent strength speaks of its future intentions and urge to take along with its foreign partners. An interim dividend at the rate of 50 per cent by the Rafhan Maize Products was also an aiding factor.

Barring the textile sector, which remained under pressure on selling prompted by fears of fall in exports as foreign buyers may not open fresh LCs because of security reasons, the broader market performed well amid active trading.

“Sanity has just been restored to stock trading and there is no reasons to fear that the index will attain its pre-reaction level any time”, stock analysts at the Moosani Securities say.

The KSE 100-share index managed to finish above the barrier of 1,800 points at 1,816.94 as compared to 1,789.90 a day earlier as leading base shares remained in strong demand at the lower levels.

Although investors were still shaky and played safe earlier but the strong institutional support came to their rescue providing them the much-needed morale ground to behave orderly.

“Being an active coalition partner against war on terrorism, investors have to live with the aftermath of the Afghan war accompanied by fresh terrorist attacks”, predicts a leading stock broker.

This perception is fully reflected in the market’s snap rally indicating that investors returned to their normal work after having mourned the loss of life.

Plus signs dominated the list under the lead of Abbott Lab, National Refinery, Sitara Chemicals, Lever Brothers Pakistan and Wyeth Pakistan, which posted gains ranging from Rs3 to Rs23, the largest rise being in Wyeth Pakistan. Shell Pakistan, Al-Ghazi Tractors, Abbott Lab, and Lawrencepur Woollen also rose by Rs1.75 to Rs3.

Losers were led by Safa Textiles, Crescent Sugar, Faisal Spinning, Din Textiles and Shafiq Textiles, which suffered fall ranging from Rs1.50 to Rs2.55.

Trading volume fell to 106m shares as jobbers and day traders stayed on the sidelines as compared to 206m shares a day earlier but gainers forced a strong lead over the losers at 180 to 60, with 50 shares holding on to the last levels.

PTCL led the list of actives, up 20 paisa at Rs17.80, followed by Hub-Power, firm 10 paisa at Rs24.65 on 26m shares, KESC, up 60 paisa at Rs5.15 on 9m shares, FFC-Jordan Fertilizer, higher 35 paisa at Rs6.90 on 6m shares and PSO, up 65 paisa at Rs155.20 also on 6m shares.

Other actives were led by National Bank, up 55 paisa on 4m shares, Sui Northern, firm 20 paisa on 3m shares, Dewan Salman, up 40 paisa also on 3m shares, Bank of Punjab, higher 50 paisa on 2.440m shares and Adamjee Insurance, higher Rs1.55 on 2m shares.

FUTURE CONTRACTS: Firm trend was seen on this counter as investors covered positions at the lower level under the lead of Hub-Power, up 15 paisa at Rs24.80 on 4.677m shares followed by PTCL, higher 25 paisa at Rs17.95 on 2.348m shares. PSO was traded higher by 55 paisa at Rs156.10 on 1.264m shares.

DEFAULTER COMPANIES: Allied Motors remained in strong demand and rose by Rs1.50 at Rs9 on 52,500 shares. Suzuki Motorcycle followed it, up 25 paisa at Rs4.25 on 30,000 shares and Crescent Spinning, firm by 10 paisa at Rs5 on 5,500 shares.

DIVIDEND: Rafhan Maize Products, interim at the rate of 50 per cent.