KARACHI, July 6: Stocks on Thursday passed through a consolidation phase as leading brokerage houses and punters adjusted their positions ahead of National Investment Trust meeting on Saturday, amid rumours of higher payout.

The KSE 100-share index suffered a mild correction but not before touching the crucial level of 10,000 points, signalling that the bulls are around and intend to cash in on the higher payout by the National Investment Trust (NIT).

After briefly hitting the session’s peak level of 10,038.84, the KSE 100-share index finally ended partially reacted, off 20.25 points at 9,916.08 as compared to 9,936.33 on profit-selling in some of the leading base shares.

Among the leading base shares which suffered fall included National Bank, Pakistan Petroleum, MCB and Bank of Punjab, but selling was tactical to push their prices down and then to buy as bank shares were expected to be the chief beneficiary of the higher NIT dividend.

The reaction in part was also attributed to the current slowdown in the regional stock markets as some of the MNCs listed on the KSE have stakes in them.

“The index level of 10,000 is now not a taboo,” says a leading analyst “the rubicon has been crossed more than once and beyond it appears to be bull target if all goes well on the political front”.

High hopes were being attached to NIT board meeting amid market talk of Rs5.50 per unit final dividend as was being widely speculated by some of the brokers.

“The FY06 is billed one of the most profitable years for the financial institutions, notably for cash heavy ones including the NIT,” brokers said, adding its corporate portfolio is enormous having in its fold leading companies including the bank and oil giants”.

The post-NIT dividend market next Monday could be a bit different from the prevailing ones as it would give a clear indication about the future trend of the share business, they added.

Some of the leading brokers worried over the expected findings of the National Assembly committee which is meeting on Friday to have an overview of the March 2005 market crash. The crash reportedly wiped out $15bn from the market capital of small investors.

BOC Pakistan again came in for active support ahead of its board meeting and rose by Rs6.60, followed by Arif Habib Securities, up by Rs17.10. Other good gainers included Lucky Cement, Lakson Tobacco, Pakistan Cables, Abbott Lab and Clariant Pakistan, up by Rs3 to Rs5.20.

Losers were led by National Refinery and Wyeth Pakistan, off Rs8.75 and Rs25 followed by IGI Insurance, Jahangir Sidduqi & Co, Premier Sugar, Atlas Honda, Security Papers and Pakistan Hotels, off Rs4 to Rs6.00.

Trading volume showed a fresh modest rise at 222m shares from the previous 203m shares but losers managed to force a lead over the gainers at 124 to 112, with 40 shares holding on to the last levels.

National Bank led the list of actives, off Rs1.35 at Rs225.75 on 29m shares followed by D.G. Khan Cement, higher by Rs2.95 at Rs27m shares, OGDC, lower 65 paisa at Rs132.10 on 22m shares, Lucky Cement, higher by Rs5.20 at Rs109.60 on 20m shares, MCB, easy 10 paisa at Rs224 on 18m shares, Bank of Punjab, off Rs2.15 at Rs83.75 on 14m shares and Pakistan Petroleum, lower Rs2.30 at Rs213.50 on 14m shares.

Other actives included Fauji Cement, up by 55 paisa on 11m shares, Fauji Fertiliser Bin Qasim, steady by five paisa on 9m shares and Pakistan Oilfields, higher by Rs2.25 also on 9m shares.

FORWARD COUNTER: National Bank also came in for active selling on the cleared list and fell by Rs2.50 at Rs226.80 on 8m shares, MCB, steady by 20 paisa at Rs225.95 on 6m shares and D.G. Khan Cement, higher by Rs2.50 at Rs91 also on 6m shares.