KARACHI, July 2: Stocks on Wednesday ended further higher across a broad front as follow-up support figured prominently aided by perceptions of fresh capital gains in the coming months but bulk of the support remained confined to most of the second-liners. The KSE 100-share index gained another 27.35 points at 3,459.90.

The market witnessed a major shift in the investment strategy as investors opted for the low-priced second-liners after unloading in part their long positions in some of the overvalued pivotals.

“The race for the capital gains appears to have assumed the role of an attractive bait and that is perhaps why much of the daily activity is confined to them for the last about two weeks,” analysts said.

However, instances of genuine investment buying on selected counters are not wanting as a section of investors has also joined the race for capital appreciation, giving a needed depth to daily trading.

The KSE 100-share index finished higher by another 27.35 points at 3,459.90 as compared to 3,432.55 a day earlier as leading base shares tended further higher amid active trading.

Indications are that the index would take a breather after breaching its next barrier of 3,500 points, although many analysts are looking well beyond this level before the year is out.

Much of the buying support remained confined to energy, cement, chemical and some of the textile shares but some of the low-priced sectors also came in for strong buying apparently for quick capital gains.

The significant feature is that investors seem to have decided to go along the general market perceptions based on positive economic fundamentals and are ignoring the developing political storm, they said.

“The Monday’s cut in profit rates of National Saving Schemes seems to have given the needed push to stock trading as the lure of capital gains will not allow moneyed people to stay away,” they added.

However, much will depend on the future performance of the market and how far will it be able to sustain those investors who will opt for the share business after withdrawing their savings from the official schemes.

“The current rates of capital gains in the share business are much higher than those of banks and the national saving schemes,” says a leading floor broker “for the last six weeks since early January investors in the share business have become much richer than those who had a stake in the saving schemes.”

Plus signs again dominated the list under the lead of Glaxo-SKF, Javed Omer, IGI Insurance, Shell Pakistan, Siemens Pakistan and Wyeth Pakistan, which posted gains ranging from Rs9.30, 19.25, 19.40, 23.75 and Rs29 respectively.

Other good gainers included most of the ICP Mutual funds, Adamjee Insurance, Pakistan Resource Co, Lakson Tobacco, HinoPak Motors, Artistic Denim and many others, which rose by Rs4 to Rs6.

Leading losers were led by PSO, Pakistan Oilfields, Atlas Honda, Clariant Pakistan, Atlas Battery, Crescent Steel and Gatron Industries, off Rs1.35 to Rs4.65.

Trading volume fell from the overnight total of 349m shares to 302m shares as gainers maintained a strong lead over the losers at 215 to 108, with 52 shares remaining unchanged from the previous levels.

FFC-Jordan Fertilizer topped the list of most actives, up 20 paisa at Rs14 on 50m shares followed by Bosicor Pakistan, higher by Rs1.15 at Rs22.95 on 32m shares, PTCL, firm by 20 paisa at Rs28.80 on 25m shares, National Bank, up Rs1.15 at Rs29.05 on 24m shares and Maple Leaf Cement, lower 25 paisa at Rs17.05 on 23m shares.

Other actives were led by Hub-Power, unchanged on 12m shares, Adamjee Insurance, up Rs4.05 also on 12m shares, D.G. Khan Cement, off 45 paisa on 11m shares, PSO, lower by Rs1.95 on 9m shares and Dewan Salman, up 20 paisa on 8m shares.

FORWARD COUNTER: FFC-Jordan Fertilizer also led the list of actives on the forward counter and rose by 10 paisa at Rs14 on 9m shares, its merger with the parent company is said to be the chief motivating force behind the current buying spree.