KARACHI, March 18: Stocks on Friday again turned in a highly volatile performance as leading investors played on both sides of the fence indulging in alternate bouts of buying and selling but unlike the previous sessions there were buyers at the dips on selected counters. The KSE 100-share index shed another 137 points and eroded Rs38bn from the market capital at 9,499.42 and Rs2,590 billion respectively. A cash dividend of 15 per cent plus bonus shares at the rate of 20 per cent by the National Bank of Pakistan was not in line with the analysts’ predictions as much smaller banks than the banking giant has paid more both in the form of cash and bonus shares. EPS at Rs11 is also on the lower side of the market thinking. But on the other hand cash dividend and bonus shares by Reliance Insurance, Pakistan Gum & Chemicals and Unilever Pakistan at 13.128 per cent, cash 40 per cent plus bonus shares of 10 per cent and cash 160 per cent were on the higher side of the investor perceptions and were well-received. As a result, share value of National Bank has fallen to Rs145.35 (face value Rs10) on active selling during the last three sessions from Rs162.
The KSE 100-share index earlier in the session fell to the day’s lowest bid of 9,368.00 on active selling triggered by reports of clashes in Balochistan between the Pakistan Levies and the local tribesmen and a number of casualties on both sides.
It was down by 283 points but later active short-covering at the dips allowed it to rise to the day’s peak level of 9,651 but weekend selling again pushed it down to finish 137 points lower at 9,499.42.
Analysts said the market has absorbed the needed technical correction of about 800 points or 8.5 per cent during the last three sessions after having risen by 60 per cent during the last couple of weeks and is well on its way to a sustained recovery.
The fact that advancing shares managed to force a comfortable lead over the losing ones reflects that major decline has already been averted and the next Monday could witness the return of a renewed bull-run, they said.
Most of the leading oil shares including OGDC, PSO, Shell Pakistan, PPL and Pakistan Oilfields have already touched their recent lows despite application of successive circuit breakers to forestall further fall in them but of no use, brokers said.
“The market could regain what it has lost in index terms during the new trading week as bulls are not fools to miss an attractive bait the lower levels”, they added.
Energy shares remained under pressure and finished with extended fall under the of Pakistan Refinery, Pakistan Oilfields Attock Petroleum and PPL, which suffered fall ranging from Rs4 to Rs11.25 followed by Sitara Chemicals, Bata Pakistan Bank of Punjab, Nishat Mills, Gatron Industries, National Bank and Grays of Cambridge, off by Rs4.50 to Rs12.80.
Unlike previous two sessions when there was panic-selling, some of the leading shares managed to put on good gains under the lead of National Refinery, Shezan International, Unilever Pakistan and Wyeth Pakistan, up by Rs10 to Rs60.
Other prominent gainers included Arif Habib Securities, Indus Motors, BOC Pakistan, EFU General, Pakistan Gum & Chemicals and Glaxo-SKF, which posted gains ranging from Rs4 to Rs12.
Trading volume rose to 456m shares from the previous 257m shares as gainers managed to hold a comfortable lead over the losers at 156 to 111, with 33 remaining unchanged at the last levels.
OGDC, led the list of actives on renewed selling, off Rs8.80 at Rs167.90 on 102m shares followed by Pak PTA, steady by five paisa at Rs14.80 on 77m shares, Fauji Fertilizer Bin Qasim, off Rs1.80 at Rs35.05 on 35m shares, National Bank, down Rs7.60 at Rs145.35 on 33m shares and D.G.Khan Cement, off Rs2.30 at Rs70.50 on 29m shares.
Other actives were led by PTCL, up by Rs2.35 on 25m shares, PSO, sharply higher by Rs17.05 on 17m shares, Pakistan Oilfields off Rs4 on 14m shares, Sui Northern Gas, up by Rs1.05 on 12m shares and Dewan Salman, off Rs1.50 on 11m shares.
FORWARD COUNTER: PTCL led the list of actives, lower 40 paisa at Rs85 on 252m shares followed by OGDC, off Rs8.90 at Rs169.45 on 111m shares and PPL, lower by Rs14.55 at Rs277 on 81m shares.
PSO on the other hand came in for strong support at the lower levels and recovered Rs6.85 at Rs452.70 on 35m shares and National Bank, off Rs7.70 at Rs146.70 on 26m shares. Others also showed mixed trend.
DEFAULTER COS: Trading on this counter was insipid owing partly to weekend considerations and prices generally showed fractional either-way changes.
Crescent Standard Bank was an exception, which came in for renewed support and rose by 50 paisa at Rs18 on 0.340m shares.
