KARACHI, Nov 10: Stocks on Thursday remained in a bullish frame of mind on active short-covering in PTCL and other pivotals triggered by positive reports about the Etisalat-PTCL deal.
The buying support, however, remained highly selective and was confined to oil and some leading bank and cement shares, although some of them came in for active profit-selling.
Market capital soared to a coveted level of Rs2,506.656bn after several months, up by Rs29.610bn as heavily capitalized shares ended further higher amid active trading.
The KSE 100-share index earlier was up by well over 250 points on positive news about the PTCL deal, but failed to sustain the level above 8,800 on mid-session selling and unconfirmed reports about the extension.
It finally finished with a fresh gain of 101.39 points or 1.17 per cent at 8,794.93, as compared to 8,693.54 on Tuesday. The highest and the lowest were touched at 8,840.26 and 8,693.54 respectively. The net rise over the last three sessions is over four per cent.
Market talk that the visiting Pakistan delegation led by Dr Hafeez Shaikh has agreed to some of the requests including another extension in the final payment period and downsizing of the staff by Etisalat, gave the much needed push to already buoyant market eyeing the completion of the deal.
All roads led to the PTCL amid rumours that the major irritants on the Etisalat deal had been removed and it would be completed after a “lot of give and take between the two parties”. During the last couple of sessions it had risen to Rs64 from Rs57.
But leading analysts warned day-traders and small investors to keep off and not to be party in a speculative fight between the bulls and bears until some official word on the PTCL issue was announced. PTCL share recovered another Rs2.30 at Rs63.90 on a massive volume of 105 million shares followed by active buying in the oil shares, notably OGDC, Pakistan Petroleum, Pakistan Oilfields and some banks notably MCB and National Bank.
“The rumours about the PTCL deal has proved a double-edged weapon for the market trend for the last about three months”, analysts said, adding “in between many investors made million of rupees while some received a massive battering”.
The market has never been that volatile as it is during the last couple of months after the PTCL deal has assumed the role of a trend-setter amid negative and positive news at the same time.
Siemens Pakistan and National Refinery were leading among the gainers, up by Rs19.65 and Rs12, followed by Thal, Quetta Textiles, MCB, Pakistan Petroleum, Pakistan Refinery, Millat Tractors, Pakistan Cables, Aventis, Zulfiqar Industries, Shezan International and some others, up by Rs4.10 to Rs11.
Losers were led by Attock Petroleum and AKD Capital Market Fund, off Rs13.80 and Rs14.25 respectively. Other prominent losers included IGI Insurance, Mustehkam Cement, Unilever Pakistan, and Nestle MilkPak, off Rs4 to Rs13.75.
Trading volume rose further, reflecting investors’ confidence in the PTCL deal, to 481m shares from the previous 465m shares as gainers maintained strong lead over the losers at 198 to 137, with 53 shares holding on to the last levels.
PTCL topped the list of most actives, up by Rs2.30 at Rs63.90 on 105m shares followed by D.G.Khan Cement, off Rs1.05 at Rs98.95 on 31m shares, MCB, higher by Rs4.10 at Rs152.50 on 29m shares, OGDC, firm by 35 paisa at Rs111.10 on 24m shares, National Bank, higher by Rs2.05 at Rs164 on 24m shares, Pakistan Petroleum, up by Rs4.85 at Rs211.85 on 24m shares, and Pakistan Oilfields, higher by Rs1.50 at Rs409.10 on 18m shares.
Other actives were led by Fauji Cement, lower 40 paisa on 24m shares, Bank of Punjab, up by 65 paisa on 18m shares and PSO, higher by Rs1.75 at Rs421.50 on 16m shares.
FORWARD COUNTER: PTCL was also actively traded on the cleared list, up by Rs2.15 at Rs64.15 on 25m shares followed by Pakistan Petroleum, up by Rs3.55 at Rs212.55 on 14m shares, and National Bank, higher by Rs1.70 at Rs165.10 on 11m shares.
MCB also rose by Rs3.15 at Rs152.75 on 10m shares, D.G.Khan Cement, off Rs2.10 at Rs99.25 on 9m shares, some others also rose modestly on light turnover.
DEFAULTER COS: Active trading was witnessed on this counter where about three dozen shares came in for trading under the lead of Dandot Cement, Suzuki Motorcycles, Central Forest and Morafco Industries, which posted gains ranging from Re1 to Rs3.15. Ghandhara Industries on the other hand attracted selling and fell by Rs2.40. All others were fractionally traded. DIVIDEND: PICIC, bonus shares at the rate of 20 per cent.
KARACHI, Nov 10: Stocks on Thursday remained in a bullish frame of mind on active short-covering in PTCL and other pivotals triggered by positive reports about the Etisalat-PTCL deal.
The market has never been that volatile as it is during the last couple of months after the PTCL deal has assumed the role of a trend-setter amid negative and positive news at the same time.
