September 06, 2006	Wednesday	Sha'aban 12, 1427

KARACHI, Sept 5: Stocks on Tuesday lacked normal trading interest as investors played safe apparently awaiting the return of sanity to trading terribly disturbed by some of the negative external factors on the political front.

Dividend announcements by Attock Cement and Ecopack at 50 per cent cash and 40 per cent bonus respectively and some others were on the higher side of the analyst predictions but weakness of the oil sector overshadowed their positive impact on the market, brokers said.

Selective support, however, emerged on a number of counters at the lower levels but the underlying sentiment remained shaky in the absence of strong financial support.

The KSE 30-share index fell by 141.97 points at 12,476.53, while 100-share index suffered a fresh decline of 124.12 points at 10,001.79 but managed to finish at the coveted level of 10,000-level after at one stage having fallen below the benchmark at 9,954.17 points.

Barring some leading cement shares, which rose modestly on reports of higher exports, oil shares fell on selling followed by steep decline in world oil prices below $70 per barrel but leading banks did not follow them despite profit-selling at the higher levels.

Negative news followed in quick succession but all have technical undertone and mostly related to brokers and not the general investors who are surprised over the market easy performance, stock analyst Zia Javaid said.

In the backdrop of existing ban on short-selling in the ruling September contract, the rumoured ban on in-house financing could terribly limit brokers manoeuvring options, says a leading analyst Ashan Mehanti.

What worried leading brokerage houses who reportedly indulge in massive in-house financing that annual audit of their inventories could land them in trouble and the consequent selling, some others said.

Analysts also attributed renewed selling to reports that the Securities and Exchange Commission of Pakistan (SECP) had asked the leading brokers to fully cooperate with ongoing probe into the market crash of 2005 and June 2006 and provide needed data on the issue to the committee.

Among the prominent gainers Bata Pakistan and Fazal Textiles were leading, up by Rs5 to Rs6. Other gainers were led by Javed Omer, PICIC, Javedan Cement, Ferozsons Lab, Colgate Pakistan, BOC Pakistan, Packages and Bata Pakistan, up by Rs3 to Rs5.

Atlas Honda and Sanofi-Aventis fell by Rs10.65 and Rs13, followed by Arif Habib Securities, Shell Pakistan, PSO, Pakistan Petroleum, National Foods, National Refinery, Pakistan Oilfields and AKD Securities, which suffered fall ranging from Rs5 to Rs10.40.

Trading volume fell to 161m shares from the previous 180m shares as losers maintained strong lead over the gainers at 165 to 96, with 35 shares holding on to the last levels.

National Bank led the list of actives, unchanged at Rs228.50 on 20m shares followed by MCB, up by Rs1.25 at Rs223.50 on 18m shares and D.G. Khan Cement, lower 35 paisa at Rs93.90 on 16m shares.

Pakistan Petroleum, off Rs3.20 at Rs238.10 also on 16m shares, OGDC, lower Rs2.75 at Rs126.50 on 11m shares and PTCL, easy 55 paisa at Rs41.75 on 7m shares.

Other actives were led by PICIC, sharply higher on sell-off reports, higher by Rs3.05 on 14m shares, Lucky Cement, easy by 10 paisa on 8m shares, WorldCall Telecom, up by 20 paisa on 6m shares and Pakistan Oilfields, off Rs9.10 also on 6m shares.

FORWARD COUNTER: MCB led the list of actives on this counter, up by Re1 at Rs225 on 5m shares, followed by National Bank, steady by 35 paisa at Rs230.85 also on 5m shares and Pakistan Petroleum, off Rs4.85 at Rs238.10 on 4m shares.

PICIC on the other hand came in for active support and rose by Rs3.20 at Rs65.30 on 4m shares and D.G. Khan Cement, off Rs1.35 at Rs94.75 on 3m shares.

DEFAULTER COS: Activity on this counter was relatively slow owing to partly to active selling in the ready counter. Prices showed fractional changes but there was no large volume in any of the shares, reflecting lack of general support.

DIVIDEND: First Punjab Modaraba, cash 15 per cent, Attock Cement, 50 per cent, Ecopack, bonus shares at the rate of 40 per cent and Gammon Pakistan, right share, 100 per cent.

BOARD MEETINGS: Sigma Leasing on Sept 8, Lucky Cement on Sept 9, Balochistan Wheels, Karam Ceramics, Rafhan Maize, Saif Textiles on Sept 11, Callmate Telips on Sept 12, Jahangir Siddiqui & Co on Sept 13, Salfi Textiles, Tata Textiles, Island Textiles on Sept 14 and Siddiqsons Tinplate on Sept 16.