KARACHI, Sept 30: Stocks on Thursday finished with an extended gain as predictions of higher dividend continued to inspire fresh covering purchases by all and sundry on selected counters under the lead of PTCL and OGDC.

The KSE 100-share index put on a fresh gain of 21.37 points at 5,217.65 amid brisk trading.

Bulk of the support again originated from the institutional traders and leading punters apparently by way of long-term investment not for quick gains as was reflected in the firm trading pattern, brokers said

The market may witness stray profit taking at the weekend session but the near-term outlook appears a bit bullish on the strength of anticipated higher dividend by some of the leading companies.

The signs of buying euphoria created by a higher cash dividend of 50 per cent or Rs5 share by PTCL a day earlier did, however, not fade as it continued to evoke sympathetic covering purchases on allied sectors.

The KSE 100-share index early rose by 40 points in anticipation of higher dividend by Sui Southern Gas whose board meets here on Thursday (Sept 30) but till late in the evening there was no official word on the payout.

The KSE 100-share index confidently broke the barrier of 5,200 and sustained it at 5,217.65, up 21.37 points over the day as compared to 5,196.28 a day earlier. Cement, bank stocks and some others whose board meetings are due during the first week of the next month came in for renewed support and generally tended higher amid active trading.

Reports of an investment deal with the US is a good omen for the market as some analysts predict it could open the way for the investors of that country to invest in local stocks and industry. But it is considered a long-positive factor as the market is currently guided by the corporate announcements most of which are well above their predictions.

Some of the relatively inactive shares came in for modest support and rose by Rs19 and Rs22 for Parke-Davis and Unilever Pakistan followed by Sapphire Fibre, Kohat Cement, Millat tractors, Pak-Suzuki, Ferozsons Lab, Crescent Steel, Aventis, Clariant Pakistan, Murree Brewery and Pakistan Engineering, up by Rs4 to Rs8.05.

While Siemens Pakistan finished with an extended fall of Rs20 and International Industries, off Rs7.30. Other losers included Javed Omer, Noon Sugar, Atlas Battery, Berger Paints and National Foods, off Rs4.60 to Rs6.75.

Trading volume was maintained on the higher side as the market has got out of the CVT limitations imposed on the traded turnovers, and stood at 370m shares, modestly lower than the overnight figure of 378m shares.

Advancing shares maintained a strong lead over the losing ones at 212 to 121, with 33 shares holding on to the last levels, out of the 366 actives. PTCL again led the list of actives but finished unchanged at Rs43.70 after hitting the highest and the lowest for the day at Rs44.20 and 43.55 respectively, reflecting a serious fight between the bulls and the bears over the future price outlook. It accounted for another 63m shares.

Other actives were led by OGDC, up 35 paisa at Rs63.05 on 38m shares, DG Khan Cement, higher by 60 paisa at Rs57.95 on 29m shares, Fauji Fertilizer Bin Qasim, steady 15 paisa at Rs19.80 on 26m shares, Fauji Cement, up 35 paisa at Rs15.50 on 25m shares, National Bank, firm 25 paisa at Rs69.20 on 19m shares and Pakistan Petroleum, lower 30 paisa at Rs122.20 on 15m shares.

Other actives included Lucky Cement, higher by Rs1.05 on 23m shares, Askari Bank, up Rs2.10 on 19m shares, MCB, firm by 70 paisa on 15m shares.

FORWARD COUNTER: Pakistan Petroleum came in for renewed support and rose by 25 paisa at Rs121.25 on 31m shares followed by PTCL, easy 20 paisa at Rs43.70 on 13m shares, OGDC, up 45 paisa at Rs63.25 on 6m shares.