March 22, 2006	Wednesday	Safar 21, 1427

KARACHI, March 21: A massive activity of 114m shares in OGDC boosted the stock trading on Tuesday but some of the leading investors played on both sides of the market and appear to be unsure about its future direction. Late selling in some of the leading shares at the inflated levels weakened the broader market, but some analysts said the market was passing through a consolidation phase and its future direction was on the upside owing to the presence of selective foreign buying in some oil shares.

However, there are two opinions about the market’s march above the 11,000 index level for the near-term in the backdrop of bad news from Balochistan and tribal areas.

The KSE 100-share index posted a fresh gain but finished well below the day’s peak level on late selling in some of the pivotals, although it managed to stay above the barrier. The net rise was of 97.46 points at 11,129.77 as compared to the previous 11,032.31. The day’s highest and lowest were touched at 11,222.64 and 11,009 points, respectively.

Although broader market turned weak on late selling, heavy buying in OGDC, which holds a weightage of 22 per cent in the index, did not allow it to fall from the current highs. OGDC posted a fresh rise of Rs5.60 at Rs150.80.

Investors appear to be in two minds about its future direction as reflected by massive either-way movements in a session. On Monday, for instance, it showed a movement of 400 points and on Tuesday over 200 points.

Above analysts’ predictions cash dividend and bonus shares by some of the leading insurance shares, which enjoy tax exemption, was another supporting factor in a market which appears to be in an indecisive mood after having crossed the barrier of 11,000 points.

The takeover of the PTCL a couple of days earlier by Etisalat and its management’s plan to buy its remaining shares continued to inspire fresh buying in its share, which was still trading at the lower level, brokers said.

But bulk of the buying remained confined to OGDC, Pakistan Oilfields and some other leading oil shares and blue chips on the other counters, some of which have attained lower levels in the previous week’s sell-off, they added.

Leading gainers were led by Pakistan Services and Colgate Pakistan, up by Rs12 and Rs14.80, respectively. Other good gainers included National Bank, Attock Petroleum, Mustehkam Cement, Pakistan Oilfields, National Foods, EFU General and EFU Life Insurance, which posted gains ranging from Rs6 to Rs9.85.

Unilever Pakistan and Dawood Hercules were prominent among the losers, off Rs20 and Rs18.70, respectively, followed by MCB, National Refinery, Abbott Lab, Gillette Pakistan and Treet Corporation, off Rs6.25 to Rs16.

Trading volume fell to 398m shares from the previous 477m shares as losers forced a strong lead over gainers at 209 to 150, with 38 shares holding on to the last levels.

OGDC again topped the list of actives, higher by Rs5.60 at Rs150.80 on 114m shares, followed by Lucky Cement, firm by one rupee at Rs115.00 on 29m shares, PTCL, easy five paisa at Rs62.90 on 28m shares, National Bank, higher by Rs6.65 at Rs284.45 on 23m shares, DG Khan Cement, up 70 paisa at Rs150.50 on 22m shares, Pakistan Petroleum, lower 50 paisa at Rs251.00 on 13m shares, and Pakistan Oilfields, up Rs6.85 at Rs589.90 also on 13m shares.

Other actives were led by Sui Southern Gas, up Rs1.70 on 15m shares, Fauji Cement, lower 25 paisa on 14m shares, and Fauji Fertilizer Bin Qasim, steady five paisa also on 14m shares.

FORWARD COUNTER: OGDC was also actively traded on this counter as a section of leading investors continued to build up long positions. It was quoted further higher by Rs6.10 at Rs151.55 on 36m shares, followed by National Bank, higher also by Rs6.l0 at Rs285.50 on 14m shares, and Pakistan Petroleum, easy 10 paisa at Rs251.90 on 13m shares.

MCB, led the list of other actives, off Rs6 at Rs221.75 on 11m shares, Lucky Cement, unchanged at Rs115 on 11m shares, and some others also rose but on light turnover.

BOARD MEETINGS: Central Insurance on March 24; Reliance Insurance on March 27; Singer Pakistan and Security Investment Bank on March 28; Shaheen Insurance on March 29.