April 26, 2006	Wednesday	Rabi-ul-Awwal 27, 1427

KARACHI, April 25: The stock market on Tuesday recovered from the previous lows as investors covered positions on bank, oil and cement sectors at lower levels, but the broader market stayed weak in the absence strong institutional support.

The KSE 100-share index posted a gain of 139.14 points at 11,941.82 as compared to the previous 11,802.68, reflecting the strength of leading base shares under the lead of OGDC, National Bank and Pakistan Oilfields.

The bull-bear standoff appeared to have reached its logical end as the former outwitted the latter on most of the fronts followed by the revival of selective foreign buying at lower levels.

The crucial level of 12,000 points is now not that elusive as a judicious blend of both local and foreign buying could push the index beyond it, an oversold market being the strong force behind the current rally, brokers said.

Investors carefully watched the developing situation on the political front after the meeting of two former prime ministers — Benazir Bhutto and Mian Nawaz Sharif — in London and its impact on the local politics during the month preceding national elections next year, some analysts said.

“But how the market and the corporate sector will react to the future implications of consensus politics is pretty difficult to assess at this stage,” they added.

Cement, oil and bank sectors, which have been the target of strong profit-selling for the last couple of sessions, came in for active short-covering and took along with them other blue chips on the higher side, they added.

National Bank was among the star performers, which rose by Rs12.15 at Rs272 on active institutional buying and so did OGDC, Pakistan Oilfields, and Pakistan Petroleum.

“The return of the bull market reflects that investors have ignored the worries related to the rollover week apparently on the perception that the squaring of positions is expected to be smooth,” predicts a leading analyst.

All the market leaders attracted strong support at the previous lower levels and finished fully recovered, recouping most of the losses under the lead of MCB, Bank of Punjab and Lucky Cement.

Leading gainers were led by National Bank and Unilever Pakistan, up Rs12.15 and Rs15, respectively, followed by Pakistan Oilfields, MCB, United Bank, EFU General, Gatron Industries and Pakistan Hotels, which posted gains ranging from Rs5.30 to Rs6.40.

Prominent losers included Dawood Hercules and Wyeth Pakistan, off Rs19 and Rs50. They were followed by Island Textiles, IGI Insurance, Jahangir Siddiqui Capital Markets, HinoPak Motors, Sanofi-Aventis and Ghandhara Industries, off Rs7.35 to Rs14.25.

Trading volume showed a modest rise at 257m shares but losers maintained a fair lead over gainers at 179 to 147, with 47 shares holding on to the last levels.

OGDC topped the list of most actives, higher by Rs1.50 at Rs163.90 on 40m shares, National Bank, sharply higher by Rs12.15 at Rs272.00 on 30m shares, MCB, up Rs6.50 at Rs253.90 on 17m shares, Bank of Punjab, firm by Rs4.10 at Rs86.55 on 15m shares, Lucky Cement, steady by Rs1.25 at Rs118.70 on 12m shares, Pakistan Petroleum, up Rs2.80 at Rs277 on 10m shares, and Pakistan Oilfields, higher by Rs5.30 at Rs683.80 on 7m shares.

Other actives included Fauji Fertiliser Bin Qasim, steady by 15 paisa on 11m shares, and Bosicor Pakistan, lower 40 paisa on 7m shares.

FORWARD COUNTER: OGDC also topped the list of actives on the cleared list and rose by Rs2.55 at Rs164.25 on 15m shares followed by National Bank, higher by Rs11.55 at Rs271.55 also on 15m shares, DG Khan Cement, higher by Rs1.50 at Rs120.95 on 7m shares and PTCL, up 30 paisa at Rs63.40 also on 7m shares.

DEFAULTER COS: Crescent-Chartered Bank was actively traded, up 60 paisa at Rs6.95 on 1.402m shares followed by Dandot Cement, off one rupee at Rs14.95 on 0.176m shares.

DIVIDEND: Fauji Fertiliser, cash interim at the rate of 22.5 per cent.