Stocks maintain steady trend, gain another 34 points
By Our Staff Reporter
KARACHI, April 8: Stocks on Thursday remained in a bullish frame of mind as despite profit-selling at the fag-end of the session on selected counters at the inflated levels
, the on-balance finish was on the higher side thanks to strong buying at the dips. The KSE index added another 34.97 point to the overnight gain at 5,345.01.
Bulk of the support originated from the financial institutions, though some of them later indulged in profit-selling but leading bulls are not inclined to entertain bearish ideas at this stage.
Although political scene is heating up in the backdrop of some recent developments including apex court verdict allowing Shahbaz Sharif to return to Pakistan and its implications to the ruling elite but having long-term view of the market investors remained active buyers at the dips.
"The sky may not be the limit but the current run-up reflects that bulls have burnt their boat and no one among them is inclined to miss the bandwagon," brokers said.
"I don't rule out the advent of foreign buying on selected MNCs", commenting on the market's journey beyond the index level of 5,000 "massive buying in some of the leading shares, notably OGDC, PTCL and Hub-Power indicates it is already here".
The KSE 100-share index virtually raced toward its new chart point of 5,400 and was last quoted around 5,345.01, up by 34.97 points over the overnight closing of 5,310.04, reflecting the strength of the leading base shares.
At one stage it was up by 55 points but late profit-selling in some of the leading shares pushed it down from the day's peak levels as bears fight back to get a foothold on the bandwagon after having received massive battering during the last three sessions.
Cement, energy, pharma, chemical, bank, insurance and low-priced shares on the other counters are leading the market advance irrespective of inflated levels.
In the absence of some other equally gainful avenues of investment, cheaper bank credits, an attractive bait of sell-off of state-owned units in the coming weeks and perception of a good national budget, investors are out to become millionaire overnight and the consequent price flare-up.
However, it is satisfying to note that "too many a rupee are not chasing too few a stock as float is free including from the carryover market where the volume has surged to new highs", some analysts said.
Leading gainers were led by Adamjee Insurance, Colgate Pakistan, Attock Refinery, Aventis Pharma and Parke-Davis, which posted gains ranging from Rs8.30 to Rs18.
Other prominent gainers were led by Nestle MilkPak, Dawood Hercules, Reckitt and Benckiser, and several others, which posted gains ranging from Rs5 to Rs6.65 amid active trading. Losers were led by Bata Pakistan, Clariant Pakistan, Al-Ghazi Tractors, Gatron Industries, National Refinery, Javed Omer and Treet Corporation, off by Rs4 to Rs10.
Trading volume fell from the overnight record figure of 908m shares to 648.398m shares but gainers and losers evenly matched at 200 to 201, with 53 shares holding on to the last levels.
OGDC again topped the list of most actives, up 35 paisa at Rs63.90 on 81m shares followed by PTCL, higher by 65 paisa at Rs41.75 on 73m shares, Sui Southern Gas, firm by 20 paisa at Rs37.55 on 44m shares, National Bank, up by Rs1.70 at Rs70.70 on 43m shares and Hub-Power, steady by 25 paisa at Rs37.75 on 41m shares.
Other actives were led by FF Bin Qasim, up 45 paisa on 36m shares, D.G.Khan Cement, higher by 25 paisa on 35m shares, Sui Northern Gas, firm by 50 paisa on 26m shares, POF, higher by Rs3.75 on 22m shares and MCB, up by Rs1.35 also on 22m shares.
FORWARD COUNTER: PTCL came in for active short-covering on its privatization reports, up by 60 paisa at Rs41.85 on 9m shares followed by Sui Northern Gas, higher by Rs1.45 at Rs71.65 on 6m shares, Hub-Power, steady 25 paisa at Rs38.10 also on 6m shares and FF Bin Qasim, up 30 paisa at Rs23.50 on 4m shares.
MCB and PSO were marked up by Rs1.60 and Rs2.05 at Rs55.25 and Rs287.35 on light turnover and so did some others.
DEFAULTER COS: Standard Bank came in for active selling at the higher levels and was marked down by 45 paisa at Rs8.90 on 0.802m shares, followed by Fidelity Bank, up by 30 paisa at Rs11 on 0.256m shares and S.S.Oil, unchanged at Rs17.70 on 0.116m shares.
DIVIDEND: Crescent Star Insurance, cash 10 per cent, right share 60 per cent.
BOARD MEETINGS: Trust Leasing, on April 14, Century Papers, Wazir Ali Industries, Merit Packaging, on April 15, Security Investment Bank, on April 16, International Industries, on April 22 and ICI Pakistan, on April 23.
