October 13, 2006	Friday	Ramazan 19, 1427

KARACHI, Oct 12: Stocks on Thursday turned in another sluggish performance as the weakness of the bank sector, notably MCB weighed heavily against the underlying sentiment, but larger fall was averted thanks to active short-covering in leading oil shares.Active buying in the leading oil shares, on reports of higher reserves, averted a major shakeout feared to be caused by hasty selling in the leading bank shares, brokers said.

A steep decline in the traded volume to 120m shares from about 200m shares daily in earlier sessions, however, reflects that pre-Eid holiday mood has gripped the market and many other lean sessions may be ahead for good reasons also.

After moving either-way amid wild movements, the KSE 100-share index finished with a fractional fall of 6.13 points at 10,880.20 as compared to 10,886.42 a day earlier, as some of the leading base shares, notably MCB and National Bank, suffered fresh pruning.

Oil shares, notably OGDC, Pakistan Petroleum and Pakistan Oilfields, performed well but the weakness of MCB and other leading shares weighed down the market halting covering purchases.

“Investors seem to be caught in the whirlpool of upcoming GDR issues of some leading banks just at the heels of MCB whose $150 GDR was well received on the London Stock Exchange and could not precisely decide to buy or sell,” analysts said.

GDR float of National Bank, Habib Bank, United Bank and some others are on the card and could follow the MCB amid market talk of positive response from the foreign investors more than MCB for many good reasons, they said.

“Reports that oil giant PSO and National Investment Trust will be privatised before the year is out failed to evoke positive response from the investors for some objective reasons and perceptions about the official privatisation plans after the annulment of Pakistan Steel sell-off,” floor brokers said.

Official reports about the cut in selling prices of petroleum products in sympathy with the world rates to provide relief to the consumers continued to have its toll for the second session, reflecting the weakness of this sector.

Leading gainers were led by Jahangir Siddiqui Fund and Lakson Tobacco, up each by Rs9, followed by Pakistan Oilfields, Pakistan Engineering, Huffaz Pipes, Honda Atlas, Arif Habib Securities and Zulfiqar Industries, up by Rs3.40 to Rs6.05.

Union Bank and Gillette Pakistan led the list of losers, off Rs5.45 and 6.50, respectively. Other prominent losers included MCB, Quetta Textiles, Attock petroleum, Atlas Battery, Pakistan Cables, Pak Datacom, and Colver Pakistan, which suffered fall ranging from Rs2.65 to Rs4.40.

Trading volume showed a sharp shrinkage at 119.798m shares as losers maintained a strong lead over gainers at 175 to 118, with 50 shares holding on to the last levels.

Faysal Bank led the list of actives, up Rs1.15 at Rs69.35 on 11m shares, followed by DG Khan Cement, lower 25 paisa at Rs97.50 also on 10m shares, OGDC, up one rupee at Rs136.85 on 8m shares, Pakistan Petroleum, up Rs2 at Rs244.25 also on 8m shares, MCB, sharply lower by Rs4.40 at Rs264.95 on 7m shares, National Bank, easy 90 paisa at Rs267.10 also on 7m shares, and PTCL, easy 20 paisa at Rs41.90 on 4m shares.

Other actives included Fauji Fertiliser Bin Qasim, lower 35 paisa on 6m shares, Pakistan Oilfields, higher by Rs1.85 on 5m shares, and Crescent Standard Bank, easy 10 paisa on 5m shares.

FORWARD COUNTER: DG Khan Cement led the list of actives on this counter, up 45 paisa at Rs88.65 on 5m shares, followed by Pakistan Petroleum, higher by Rs2.90 at Rs241.20 on 4m shares and Faysal Bank, up one rupee at Rs69.90 on 3m shares.

They were followed by Pakistan Oilfields, higher by Rs4 at Rs334.50 on 3m shares, and OGDC, higher by Rs1.05 at Rs137.50 on 2m shares.

DEFAULTER COS: Crescent Standard Bank came in for strong selling and was marked down by 10 paisa at Rs5.20 on 4.485m shares, followed by Unity Modaraba, steady by five paisa at 70 paisa on 0.547m shares, and Norrie Textiles, higher by 75 paisa at Rs6.40 on 0.546m shares.