09 February 2005	Wednesday	29 Zilhaj 1425

KARACHI, Feb 8: The KSE 100-share index continued to set new record each session and breached through the barrier of 7,100.00 points at 7,155.00, up 63.69 points and analysts said it could well prove a takeoff point for its upward thrust to the next target of 8,000.

There could be two opinions about the massive rise of 12 per cent in the index since January this year but as long as the general investor and bargain-hunters are in the arena lured by an attractive bait of higher dividend and capital gains, there may not be an immediate reversal, some analysts predict.

Stocks, therefore, rose further higher on across-the-board buying in all the pivotals under the lead of energy and bank shares followed by reports of higher corporate earnings and market talk of enhanced dividend and bonus shares.

Along with energy and bank shares, cement sector also joined the race to set new records both in terms of price flare-up and individual turnover figures but some analysts doubt whether or not the persistent rise is genuine or speculative.

Some say being in a highly overbought position, it needs technical correction but bulls are not inclined to look back and continue to target the two leading index shares - OGDC and PTCL - to keep it moving to new highs.

Some others claim an attractive bait of privatization, notably of PTCL before June continue to inspire a judicious blend of both local and foreign buying and it may not be that easy to pull it down from the current levels.

"The KSE 100-share index seems to have become more expensive during the current run-up as it has risen by 12 per cent or 750 points during the first six weeks since Jan 1, 2005", but "as long as bulls don't loosen their grip on the leading base shares the retreat may not be possible".

Bulls seem to be eyeing the index level of 8,000 is not very distant future, although the march towards the new target will be progressive, technical corrections here and there notwithstanding, they are expected to cash in on the corporate dividend wave.

Plus signs dominated the list under the lead of Pakistan Services, Aventis, International Industries, Pakistan Refinery, Lakson Tobacco, Fetah Textiles and AKD Securities, which posted gains ranging from Rs9.25 to Rs30.

Berger Paints, Honda Atlas, Colony Textiles, National Refinery and PSO were among the other notable gainers, up by Rs3.15 to Rs6.75.

Losers were led by Indus Dyeing, Sapphire Fibre and Sapphire Textiles, Ferozsons Lab, Gillette Pakistan, and Shell Pakistan, off Rs3.90 to Rs5.

Trading volume rose to 684m shares from the previous 521m shares as gainers maintained a fair lead over the losers at 188 to 174, with 52 shares holding on to the last levels.

PTCL was again massively traded, up by Rs1.50 at Rs65.55 on 140m shares followed by OGDC, up by 35 paisa at Rs88.10 on 96m shares, Hub-Power, higher Rs1.20 at Rs34.50 on 94m shares, Lucky Cement, up by Rs2.15 at Rs44.85 on 69m shares and D.G.Khan Cement, sharply higher by Rs2.10 at Rs58.95 on 45m shares.

Other actives were led by MCB, up by Rs2.15 at Rs75.45 on 40m shares, PSO, higher by Rs6.75 at Rs332.25 on 37m shares, National Bank, firm by 40 paisa on 24m shares, Bank of Punjab, up by 85 paisa on 18m shares and Bank Alfalah, higher by Rs1.10 on 11m shares.

FORWARD COUNTER: PTCL again led the list of actives, up by Rs1.35 at Rs65.80 on 47m shares followed by OGDC, firm by 30 paisa at Rs88.40 on 23m shares, PPL, lower 50 paisa at Rs148.20 on 22m shares and Hub-Power, up by Rs1.10 at Rs34.70 on 19m shares.

PSO and Lucky Cement also showed gains of Rs6.60 and Rs1.90 at Rs334.85 and Rs45.35 respectively, while Engro Chemical fell by Rs1.85 at Rs128.95 on selling at the higher level.

DEFAULTER COS: Trading on this counter was relatively dull as barring Unity Modaraba, which fell by five paisa at Rs1.40 on 0.111m shares, all others were modestly traded.

BOARD MEETINGS: Muslim Commercial Bank, Dawood Capital Management, Dawood Money Market Fund, Pakistan Oilfield and Agriautos, on Feb 14, Attock Petroleum, Pakistan Papersack, Rafhan Maize, Hydari Construction, Guardian Modaraba, Dawood Investment Bank, Bawany Air Products, on Feb 15, Cherat Papersack, on Feb 16, Cherat Cement on Feb 17, Escort Bank, on Feb 21, Meezan Bank, on March 3.