November 6, 2002	Wednesday	Sha’aban 30,1423

KARACHI, Nov 5: Massive buying in Hub-Power and PTCL on Tuesday drove bears out of the market allowing the KSE 100-share index to recoup more than a half of the overnight loss amid an actively traded session.

The index finally ended at 2,257.67 as compared to 2,203.93 a day earlier, up 53.74 points or 2.44 per cent, which translated in financial terms works out an increase of Rs12 billion in the market capitalization at Rs547 billion.

All major overnight losers, notably Wyeth Pakistan, Shell Pakistan, PSO and some others finished sharply higher amid active trading and so did their counterpart on the forward counter.

“All predictions about the further bear-run proved incorrect as bulls were in no mind to leave the arena”, analysts said “the snap recovery also belied perceptions that the current political standoff was behind the sell-off”.

Energy, fertilizer, banking and selected shares on other counters halted the market’s downturn on active short-covering at the lower levels amid a brisk traded session, which left no trace of the overnight sell-off.

The current index level, however, may not be fully reflective of the health of the broader market, investors have more than one reasons to chase it further higher.

But some others said the index is basically dependent on the market behaviour of PTCL, Hub-Power and PSO, which together hold a weightage of over 50 per cent in it. “If they are down it is down and if they are up it is up”.

However, at its current level of, the PTCL, which hold 33 per cent weightage in it, its ruling price should not be Rs21.25. It should be much higher right now.

“Any modest price movements over the day in Nestle MilkPak or Shell Pakistan could give it a tremendous boost any day despite disturbing bad news”, they added.

Leading gainers were led by Pakistan Refinery, HinoPak Motors, Shell Pakistan, Pak Reinsurance Co and Wyeth Pakistan, which posted gains ranging from Rs4.95 to Rs20. They were followed by Sana Industries after the announcement of 40 per cent final dividend, PSO, Clariant Pakistan, Dawood Hercules, Engro Chemical, Aventis Pharma and Treet Corporation, up by Rs2 to Rs4.

Losers were led by Noon Sugar, Al-Abid Silk, Attock Refinery, Grays of Cambridge and Unilever Pakistan, which suffered fall of Rs2.35 to Rs14, followed by 4th ICP Mutual Fund, Shafiq Textiles, Packages and some others off one rupee to Rs1.50.

Plus signs dominated list as the final count showed 169 plus and 103, minus, with 45 shares holding on to the last levels.

Trading volume rose to 393m shares thanks to a massive activity of 146m shares in Hub-Power, up 35 paisa at Rs26.75 followed by PTCL, higher by 60 paisa at Rs21.55 on 61m shares, PSO, higher by Rs4 at Rs195.15 on 34m shares, National Bank, up by Rs1.75 at Rs26.55 on 27m shares on board meeting on Nov 8 to examine the quarterly working results, Sui Northern Gas, up by 55 paisa at Rs18.30 on 20m shares, Engro Chemical, higher by Rs1.85 at Rs74.55 on 16m shares and MCB, up by 95 paisa at Rs32.25 on 11m shares.

FFC-Jordan Fertilizer also came in for active short-covering and rose by 65 paisa on 14m shares, followed by Dewan Salman, higher by 40 paisa on 7m shares and Fauji Fertilizer, higher by Rs1.65 on 6m shares.

FORWARD COUNTER: Hub-Power also came in for strong speculative buying on the forward counter and rose by Rs1.15 at Rs26.95 on 21m shares followed by PSO, sharply higher by Rs4.15 at Rs197.25 on 18m shares.

PTCL led the list of other actives, up by 55 paisa at Rs21.70 on 8m shares, Engro Chemical, higher by Rs2.70 at Rs75.75 on 2.281m shares and FFC-Jordan Fertilizer, higher by 50 paisa at Rs8.15 on 1.667m shares.

DEFAULTER COMPANIES: Shares of nine companies came in for active bouts of buying and selling under the lead of Suzuki Motorcycles, lower 15 paisa at Rs7.10 on 7,500 shares, Crescent Board, up 20 paisa at Rs3 on 4,000 shares and Bela Automotive, unchanged at Rs1.80 on 3,000 shares. Others were modestly traded.

DIVIDEND: Sana Industries cash 40 per cent, Southern Electric cash 15 per cent, subject to lenders approval, Zeal-Pak Cement and Elite Publishers, both nil.

BOARD MEETINGS: National Bank on Nov 8, Trust Investment Bank, on Nov 9, and Siemens Pakistan on Nov 14.