August 21, 2003	Thursday	Jumadi-us-Sani 22, 1424

KARACHI, Aug 20: Stocks on Wednesday posted fresh widespread gains as institutional traders continued to build-up long positions in most of the pivotals as no one among them is inclined to miss an attractive bait of quick capital gains in a bull market.

The market’s buoyant outlook was well-reflected in the KSE 100-share index, which rose by another 83.52 points followed by heavy buying in PTCL and Hub-Power and some leading second-liners.

Both the index and the market capitalization broke their previous all-time high records and stood at their new career-best levels of 4,388.57 and Rs969.343bn, respectively.

Trading volume swelled to its third career-best level at 702m shares, previous single-session figure being around 990m shares, bulk of which was again shared by PTCL and Hub-Power.

After briefly breaching the barrier of 4,400 at one stage, it finally closed around 4,388.88 as compared to 4,305.05 a day earlier, reflecting the strength of leading base shares.

“As the market capitalization is progressively rising to the crucial level of $20bn (current $18bn), the interest of foreign investors is manifesting itself in a bigger way though on selected counters,” analysts said.

Some of the leading western investors have indicated to their local counterparts that they could enter the local bourse in a big way, making it a permanent investment base after it attains the required depth of $20bn in terms of its total market capitalization.

“The regular inflow of the dollar at the still attractively levels most the leading equities still hold could push the index beyond the 5,000-point level after the foreign funds make debut,” market sources said.

Massive persistent buying in these two pivotals reflects the presence of strong foreign, notably Dubai-based support as both have the potential to rise further from the current levels on the strength of their earnings.

Floor brokers said some of the weak-holders did take profit during the mid-session fearing a showdown between the government and the opposition when the National Assembly starts its session, but selling was well-absorbed at the decline.

Meanwhile, the KSE has given provisional listing rights to the newly-floated company — Pakistan International Container Terminal. Trading in its share started at Rs20 against its face value of Rs10 and it ended lower by five paisa at Rs19.95 on 2,500 shares.

This will be the third company that sought listing on the KSE during the current year, the other two being Ittehad Chemicals and T.R.G. Pakistan, which were well-received in a bull market and it followed them.

The largest gain of Rs90 in Wyeth Pakistan followed by Fazal Textiles, PSO, Shell Pakistan, International Industries, Millat Tractors, Glaxo-SKF, BOC Pakistan, Javed Omer and Siemens Pakistan, up Rs7 to Rs19.

Lakson Tobacco, which came out with a handsome final dividend of 85 per cent (interim 20 per cent already paid), and 20 per cent bonus shares remained in strong demand and finished with a sharp gain of Rs10.05 at Rs144.40.

Losers were led by IGI Insurance and Al-Ghazi Tractors, off Rs10 each followed by Tri-Pack Films, Pakistan Papers Products and EFU General, which fell by one rupee to Rs3.20.

Trading volume soared to 702m shares from the previous 668m shares as all the leading volume leaders turned in massive activities. Gainers maintained a strong lead over the losers at 247 to 113, with 52 shares holding on to the last levels.

PTCL topped the list of most actives, up one rupee at Rs37.90 on 143m shares followed by Hub-Power, firm by five paisa at Rs44.90 on 85m shares, Fauji Cement, higher one rupee at Rs13.40 on 55m shares, National Bank, rose by Rs1.45 at Rs40.40 on 41m shares, and PSO, up Rs8.40 at Rs297 on 28m shares.

Other actives were led by FFC-Jordan Fertilizer, up 60 paisa on 31m shares, KESC, firm by 50 paisa on 24m shares, D.G. Khan Cement, higher Rs2.85 on 21m shares, PIAC, steady by 60 paisa on 19m shares and Lucky Cement, up Rs1.60 on 18m shares.

CLEARED LIST: PSO also came in for strong support on the forward counter and rose by Rs7 at Rs297.50 on 7m shares followed by MCB, Engro Chemical and Nishat Mills, up Rs1.70, 1.95 and Rs3 at Rs53.25, 95.95 and Rs43.35, respectively.

PTCL led the list of actives, higher one rupee on 16m shares followed by Hub-Power, easy 15 paisa on 9m shares, FFC-Jordan Fertilizer, up 60 paisa 4m shares and Sui Northern Gas, lower 55 paisa on 3m shares.

DEFAULTER COMPANIES: Standard Bank came in for strong support and rose by 65 paisa at Rs7.15 on 759m shares followed by Mehr Dastgir Textiles, unchanged at Rs7 on 0.500m shares and Financial Link Modaraba, easy 15 paisa at Rs3.65 on 0.146m shares.

BOARD MEETINGS: American Life Insurance on Aug 25; KASB Bank, Parke-Davis and Metropolitan Bank on Aug 26; and Bank Al-Habib on Aug 28, 2003.