October 23, 2002	Wednesday	Sha’aban 16,1423

KARACHI, Oct 22: Heavy buying in PSO and other leading energy shares toward the fag-end of Wednesday’s session lifted the market from the initial sluggishness allowing it to finish with an extended gain.

The KSE 100-share index rose by another 23.48 points at 2,142.04, sending signals that it will maintain its winning streak during the coming sessions also until it attain its next chart level of 2,200 points.

Trading resumed on a cheerless note as investors were not that active after spending a good part of night in prayers associated with the Shab-e-Barat, seeking Allah’s mercy for the next happy year.

But there was a virtual panic buying in the PSO share, which has declined to Rs163 on active speculative selling. The panic buying was so strong that its price soared to Rs173.90 after being ex-dividend and ex-bonus.

“As the deadline of its sell-off is drawing near, short-listed strategic investors are after its floating stock”, analysts said “only last week leading among them had cornered over 100m shares on the forward counter”.

Literally, it was the PSO day as at one stage all roads led to it but mounting buying offers failed to find many willing sellers as perceptions of further price escalation did not allow them part with their holdings.

Other leading energy shares, including Attock Refinery, National Refinery, Shell Pakistan, Pakistan Oilfields also came in for strong buying and ended sharply higher, by Rs3 to Rs7.50, largest being in Shell Pakistan after PSO.

For the second day in a row auto shares also attracted active short-covering followed by predictions of higher dividend and rose by Rs1.85 to Rs2.45 for Pak-Suzuki Motors, Indus Motors, Honda Atlas Cars, and Millat Tractors.

Engro Chemical on the other hand failed to respond bullishly to the announcement of 20 per cent second dividend, although the total interim comes to 60 per cent. Impressive sales indicates that the final could be much higher.

Plus signs again dominated the list, the interesting feature was that for the second session in a row buying interest remained centred on some of the low-priced second-liners, which ensure capital appreciation if the current run-up was sustained.

Big gainers were led by Lakson Tobacco, Shell Pakistan, Parke-Davis, PSO, and Pakistan Reinsurance Company, which rose by Rs6 to Rs81, while losers were led by Shafiq Textiles, Security Papers, Mari Gas, Rafhan Bestfoods and Unilever Pakistan, off Rs1.95 to Rs15.

Trading volume rose to 134m shares from the previous 127m shares as advancing shares maintained a fair lead over the losing ones at 175 to 104, with 67 shares holding on to the last levels.

PTCL was most active among the top volume leaders, up 20 paisa at Rs20.20 on 19.346m shares followed by PSO, sharply higher by Rs11.40 at Rs173.90 on 18.5m shares, FFC-Jordan Fertilizer, up 30 paisa at Rs7.25 on 16m shares, Hub-Power, easy five paisa at Rs24.70 on 9m shares, Nishat Mills, higher by 70 paisa at Rs17.25 on 8m shares and National Bank, unchanged at Rs23.85 on 4m shares.

Other actives were led by Engro Chemical, off 90 paisa on post-interim dividend selling on 8m shares, ICI Pakistan, higher by 35 paisa on 6m shares, Dewan Salman, steady 10 paisa on 5m shares, and Pak-Suzuki Motors, up by Rs1.80 on 5m shares.

FORWARD COUNTER: PSO led the list of actives on the forward counter, rising by Rs9.53 and Rs9.10 for both the November and the ruling October settlements at Rs175 and Rs173.35 on 2.630m and 16.602m shares respectively.

Hub-Power fell by six and seven paisa for both the settlements at Rs24.94 and Rs24.73 respectively on 1.106m and 1.991m shares. PTCL was traded higher by 19 and 14 paisa for both the contracts at Rs20.40 and Rs20.25 on 1.226 and 4.290m shares respectively.

DEFAULTER COMPANIES: Active trading was again witnessed on this counter where shares of 19 companies came in for alternate bouts of buying and selling under the lead of Metropolitan Steel, up Rs1.50 at Rs8.50 on 66,500 shares followed by Custodian Modaraba, higher also by the same amount at Rs5.30 on 29,500 shares. Among the other actives, Suzuki Motorcycles was leading, easy 10 paisa at Rs7.15 on 19,000 shares and Quice Foods, lower five paisa at Rs1.70 on 11,000 shares.