05 August 2004	Thursday	18 Jamadi-us-Saani 1425

KARACHI, Aug 4: Stocks on Wednesday extended the overnight run-up as investors made fresh covering purchases at the lower levels aided by an attractive bait of capital gains.

Most of the leading shares have attained attractively lower level during the previous week's sell-off and needed correction, which came in the form of renewed covering purchases. Market talk of higher dividend, notably from the auto sector where shares of all the leading assemblers rose sharply higher amid active trading.

The KSE 100-share index breached through the barrier of 5,300 and finished with an extended gain of 46.53 points at 5,309.05 as compared to 5,262.52 a day earlier. It touched the day's highest bid at 5,325.

The market recovery was led by OGDC, which came in for active short-covering at the lower levels and rose sharply higher enabling the index to move further higher. The idea of strong institutional-led covering purchases may well be had from the fact that hoax call of bomb in the building of the Lahore Stock Exchange did not scare local brokers who remained active buyers till the closing bell.

Apart from some technical factors, central bank's decision to mop up Rs50 billion at 2.18 per cent and an attractive bait of capital gains at the current lower levels were some of the fresh stimulants, brokers said.

"The institutional-led rally is expected to be sustained during the next couple of sessions despite fears of law and order as investors has decided to go by the market positive fundamentals rather than the external factors", they added.

The market has already digested one of the major shocks including the attack on the finance minister and the Balochistan chief minister and survived bear onslaught, some other said.

Plus signs again dominated the list under the lead of Arif Habib Securities, Jahangir Siddiqui Bank, Crescent Steel, Noon Sugar, Shams Textiles (r), Atlas Battery, Shell Pakistan, Al-Ghazi Tractors, Millat Tractors, Murree Brewery, Atlas Honda, Honda Atlas and Lakson Pakistan which posted gains ranging from Rs5 to Rs10.75. But the largest rise of Rs45.95 was recorded in Javed Omer.

Losers were led by Security Papers, Haroon Oils, Gatron Industries, Colgate Pakistan, Aventis and Nestle MilkPak, off Rs3.75 to Rs14. ICI Pakistan, BOC Pakistan, Pakistan Refinery, Abbott Lab, Nishat Mills and Colgate Pakistan followed them, falling by Rs2 to Rs6.50

Trading volume fell to 264m shares in the absence of leading sellers anticipating further increase in share values from the previous 318m shares but gainers maintained a strong lead over the losers at 206 to 118, with 31 shares holding on to the last levels.

The active list was again topped by Fauji Fertilizer Bin Qasim, easy 20 paisa at Rs21.80 on 26m shares followed by OGDC, higher by Rs1.10 at Rs63.90 on 25m shares, MCB, up by Rs2.60 at Rs53.75 on 20m shares, Lucky Cement, firm by 60 paisa at Rs40.35 on 18m shares, D.G.Khan Cement, lower 25 paisa at Rs56.90 on 17m shares, National Bank, up by 35 paisa at Rs72.35 on 16m shares and PTCL, higher by 45 paisa at Rs43.20 on 15m shares.

Other actives were led by Bank of Punjab, up by 40 paisa on 15m shares, Hub-Power, higher by 90 paisa at Rs31.75 also on 15m shares and TRG Pakistan, up by 55 paisa on 12m shares.

FORWARD COUNTER: Pakistan Petroleum came in for active support ahead of balloting on its IPO and rose by Rs1.25 at Rs107.50 on 22m shares followed by OGDC, higher by Rs1.10 at Rs64 on 8m shares, F.F.Bin Qasim, easy 10 paisa at Rs22 on 5m shares, PTCL, higher by 50 paisa at Rs43.35 on 3m shares and Hub-Power, up by 85 paisa at Rs31.75 also on 3m shares.

Others also rose under the lead of Pakistan Oilfields and PSO, up Rs1.35 and Rs1.95 at Rs209.75 and Rs258.20 on light volume.

DEFAULTER COS: Crescent-Standard Bank led the list of actives, up by 85 paisa at Rs10.65 on 1.054m shares, while all others were modestly traded mostly on the higher side in sympathy with the ready counter.