29 September 2004	Wednesday	13 Shaban 1425

KARACHI, Sept 28: Stocks on Tuesday suffered mild pruning at the higher levels under the lead of PTCL but underlying sentiment remained uppishly inclined thanks to active buying at the dips.

There is, however, nothing basically wrong with the broader market, which performed credibly sans stray profit-selling in some of the pivotals, bank and cement shares by the punters for technical reasons.

The early run-up was partly attributed to the extension of overnight rally and partly to the statement of the chief of Pakistan State Oil (PSO) that the oil giant "is ready for privatisation," analysts said.

Heavy buying in the energy sector followed by the statement took the entire market to new highs but late profit-selling by a section of investors at the inflated levels allowed the market to finish with clipped gains.

After early rising by well over 30 points, the KSE 100-share index finally ended with a fractional rise of 3.09 points at 5,128.13 as compared to 5,125.04 a day earlier.

"I don't think the current technical rebound is overdone," claims an analyst, "the market has more than one reasons to seek further higher levels on the strength of higher corporate announcements due before the current month is out."

The board meeting of the PTCL is due tomorrow and indications are that its management could spring a number of pleasant surprises followed by market talks of higher sales despite a number of relieves it has given to its subscribers during the last fiscal.

Being a heavy weight both in terms of massive capital base and higher weight age in the KSE index, it is capable of setting the market trend at least for the near-term, brokers said.

The current slow-down in the recent buying euphoria reflects that a section of investors indulged in tactical selling to push its price down before the board meeting and then to cover positions at the dips.

After early rising to Rs42.65 on active follow-up support later it came in for strong selling but there were buyers at each dip, which did not allow any major change in its value.

Cement shares follow it on an identical grounds as board meetings of some of them are due during the next couple of sessions but there was a relative quiet on the Sui Southern front whose board meeting is also due before the month is out.

After last three sessions' persistent run-up, losers forced a strong lead over the gainers, major losers being Siemens Pakistan and Wyeth Pakistan, off Rs20 and Rs42. Treet Corporation, Millat Tractors, Sapphire Fibre, Atlas Honda, and Packages followed them, falling by Rs3 to Rs8.45.

Berger Paints, on the other hand maintained its upward drive for the 10th session in a row on active buying followed by higher cash dividend and bonus shares. It rose by Rs9.05, while Javed Omer ended with an extended gain of Rs18.50.

EFU Life, Noon Sugar, International Industries, HinoPak Motors, Pakistan Engineering, HinoPak Motors, Ferozsons Lab, Murree Brewery BOC Pakistan and Gatron Industries followed them, up by Rs4.05 to Rs9.

Trading volume fell further to 253m shares from the previous 271m shares as losers held a strong lead over the gainers at 185 to 122, with 46 shares holding on to the last levels.

The most active list was topped by PTCL, lower 30 paisa at Rs41.85 on 48m shares followed by OGDC, up Rs1.20 at Rs61.80 on renewed buying triggered by reports of fresh oil discovery on 47m shares, Pakistan Petroleum, higher by Rs2.30 at Rs117.55, on 17m shares, MCB, up 65 paisa at Rs49.15 on 16m shares, DG Khan Cement, off one rupee at Rs56.45 on 12m shares, National Bank, off 80 paisa at Rs67.75 on 12m shares and PSO, off Rs1.65 at Rs247.75 on 8m shares.

Other actives were led by Fauji Cement, easy 10 paisa on 10m shares, Lucky Cement, lower 50 paisa on 8m shares and ICI Pakistan, up 85 paisa on 7m shares.

FORWARD COUNTER: Pakistan Petroleum again came in for strong support on reports of higher earnings and finished with an extended rise of Rs2.30 at Rs116.45 on 21m shares followed by PTCL, lower by 30 paisa at Rs41.85 on 9m shares, OGDC, up one rupee at Rs61.90 on 6m shares, PSO, off Rs1.45 at Rs249.30 on 3m shares and National Bank, lower 80 paisa at Rs68.05 also on 3m shares.

DEFAULTER COS: Quice Foods attracted selling at the higher levels and fell by five paisa at Rs4.75 on 0.500m shares followed by Metropolitan Steel, off 75 paisa at Rs11.10 on 0.349m shares. Asset Investment Bank on the other hand came in for active support at the lower levels and rose by 75 paisa at Rs5 on 0.214m shares. Others were fractionally traded.

DIVIDEND: Shezan International, cash 75 per cent, National Silk & Rayon,12 per cent, Fecto Cement, 10 per cent, Hashimi Can five per cent, Pak Leather Crafts, 7.5 per cnet, Polyron, Pakistan International Container Terminal, Sardar Chemicals, Dadabhoy Cement, Dadabhoy sack, Pakistan Engineering and Caravan East, all nil for the year ended June 30,2004.

BOARD MEETINGS: Al-Mal Securities, on Sept 29,Dewan Farooque Motors, Punjab Oils, Ghani Glass, Chakwal Cement, Tri-Star Mutual Fund, on Oct 2, Al-Abid Silk, Balochistan Glass, Tariq Glass, Pioneer Cement, and Nimir Chemicals, on Oct 4, Capital Asset Leasing, EMCO Industries, on Oct 5 and Prudential Investment Bank, on Oct 6.