April 18, 2006	Tuesday	Rabi-ul-Awwal 19, 1427

KARACHI, April 17: The KSE 100-share index on Monday maintained its upward drive boosted by fresh heavy buying in the leading oil shares under the lead of OGDC but the broader market was a bit weak on late profit-selling.

It was a judicious blend of both local and foreign buying in the oil shares ahead of board meetings of leading among them and rumours of higher interim payouts, the weakness of the broader market however reflects that a correction is overdue in the backdrop of an extended run-up. The negative fallout of the duty-free import of cement plus freight subsidy could take its toll in the sessions to come, some brokers fear.

The index posted a fresh sharp rise of 136.94 points or 1.13 per cent at 12,273.77 as compared to previous 12,138.83 as leading base shares rose further higher.

Massive buying in OGDC on new oil finds actively participated by the other index heavy-weights, notably Pakistan Petroleum, Pakistan Oilfields and National Bank fuelled the run-up as some of them closed well above their upper locks.

“Essentially, it was the OGDC day being massively heavy weight, which rose by Rs6.10 and added more than a half of the points in the total rise in the index”, analysts said and added “others followed them in the same pattern and causing the continuation of the bull-run”.

Pakistan Petroleum followed it on its sell-off news, while Pakistan Oilfields rose further ahead of its board meeting.

“The situation is fraught with heavy financial risks at least for the near-term despite reports of higher interim corporate earnings,” some others said. “Duty-free import of cement plus 60 per cent subsidy on freight could knock out the bullish cement sector from the list of trend-setters having negative impact on the broader market”.

Lucky Cement, Fauji Cement, Pakistan Cement, Dewan Cement and some others remained under pressure on persistent selling after the news of free cement import reached the market to ease the local prices, which had risen sharply higher despite government warning to the producers.

The oil sector could keep the index in a positive mood but it could not take along the entire market for longer period and there are technical implications for similar situations,” they added.

Nestle Pakistan and Unilever Pakistan were leading among the gainers, up by Rs15 and Rs91, followed by National Bank, Adamjee Insurance, OGDC, Pakistan Oilfields, Shell Pakistan, Siemens Pakistan, Thal and Pakistan Petroleum, which posted gains ranging from Rs5.10 to Rs14.10.

Losers were led by Treet Corporation and Rafhan Maize, off Rs17.65 and Rs37 respectively. Others, which followed them included Pakistan Resource Company, Mari Gas, Cherat Cement, Pakistan Engineering, Clariant Pakistan, Gillette Pakistan and AKD Securities, off Rs4.70 to Rs12.85.

Trading volume soared to 441m shares from the previous 323m shares but losers held a strong lead over the gainers at 205 to 160, with 42 shares holding on to the last levels.

OGDC topped the list of most actives, sharply higher by Rs6.10 at Rs168.80 on 112m shares followed by Pakistan Petroleum, higher by Rs14.10 at Rs296.10 on 39m shares, D.G. Khan Cement, steady by 15 paisa at Rs133.55 on 25m shares, Lucky Cement, off Rs1.85 at Rs127.70 on 22m shares, Pakistan Oilfields, higher by Rs7.05 at Rs710.70 also on 22m shares and National Bank, up by Rs6.46 at Rs266 on 19m shares.

Other actives were led by Fauji Cement, lower 90 paisa on 21m shares, Nishat Mills, up by Rs1.25 on 16m shares, Pakistan Cement, easy 40 paisa on 12m shares and Dewan Cement, off Rs1.50 on 10m shares.

FORWARD COUNTER: OGDC also led the list of actives on the cleared list, up by Rs6.30 at Rs169.50, on 39m shares, D.G.Khan Cement, lower 70 paisa at Rs134.20 on 20m shares, and Pakistan Petroleum, higher by Rs14.15 at Rs298 on 17m shares.

Other actives included National Bank, up by Rs10.80 at Rs268.80 on 16m shares and Pakistan Oilfields, up by Rs5.75 at Rs714 on 12m shares.

DEFAULTER COS: Dandot Cement again came in for active support and rose by 10 paisa at Rs14.60 on 0.823m shares followed by Crescent Standard Bank, off 45 paisa at Rs8.25 on 0.178m shares and Unity Modaraba, unchanged at Rs0.90 on 0.109m shares. Others were modestly traded.

DIVIDEND: Fayzan Modaraba, interim at the rate of 3.5 per cent and TRG Pakistan, right shares 60 per cent.

BOARD MEETINGS: Imrooz Modaraba, Al-Meezan Mutual Fund, Al-Meezan Islamic Fund and Meezan Balanced Fund, on April 18, PICIC Commercial Bank, United Bank, on April 19, Soneri Bank, Dawood Investment Bank, Rafhan Maize Products and HinoPak Motors, on April 20.