November 08, 2006	Wednesday	Shawwal 15, 1427

KARACHI, Nov 7: After having turned in highly volatile performance early, the KSE 100-share index on Tuesday managed to finish fractionally higher by five points but the underlying sentiment was shaky despite strong late institutional support at dips.However, the fractional rise reflects a major change in the investor psychology that has been trapped in the cobweb of positive and negative news but could not precisely decide how to react to quick developments.

Panic, therefore, prevailed active bouts of buying and selling followed by reports that the SECP’s interim forensic investigation findings on the market crash of 2005 are ready and will be presented to the National Assembly Committee shortly.The market’s highly erratic movements was also well-reflected in the KSE 100-share index, which hit the session’s low at 10,740.03 and the high at 11,078.51, before finishing reacted at 11,017.51, fractionally higher by 5.11 points. At one stage it was off by 338 points. But the KSE 30-share index suffered a fresh setback of 35.98 points at 13,508.42.

Most of the leading base shares including National Bank, OGDC, PTCL, MCB, Bank of Punjab, Pakistan Petroleum and Pakistan Oilfields staged smart recovery from early lows on active short-covering at the dips.

“Although some of the institutional traders rescued the market from a major crash after having covered positions in the leading base shares but the near-term outlook appears to be a bit bearish,” a leading stock analyst Faisal A. Rajabali predicts.He said the background news despite extension given by the SECP in the implementation of new risk management rules are positive but investors are a bit worried over the delay in an increase in the CFS to Rs55 billion already approved by the regulator.But Ashan Mehanti says the market will be back on the rails just in one go after the KSE implemented the raised CFS limit despite some leveraging problems and heavy selling in the cement sector.

However, the market seems to have ignored the reported terrorist threat on the country’s bourses by the end of the current month to destabilise the economy, some others said.

Minus signs again dominated the list under the lead of Pakistan Refinery and Bhanero Textiles, off Rs9.40 and 10, followed by Union Bank, Jahangir Siddiqui Capital Market, IGI Insurance, Artistic Denim, D.G.Khan Cement, Shell Pakistan, Atlas Honda, and Pakistan Refinery, which suffered fall ranging from Rs4 to 9.40.

Unilever Pakistan and Goodluck Industries managed to finish higher by Rs15 and 12. Other good gainers were Adamjee Insurance, Javedan Cement, Pakistan Petroleum, Pakistan Cables, and Nestle Pakistan, up by Rs3 to 5.

Trading volume rose to 192m shares from the previous 176m shares as losers held a strong lead over the gainers at 207 to 79, with 27 shares holding on to the last levels.

OGDC topped the list of actives on active short-covering at the overnight lows, up Rs2.25 at Rs139.75 on 35m shares followed by National Bank, off Rs3.15 at Rs271 after hitting the lowest at Rs262 on 21m shares, Pakistan Petroleum, 4.85 at Rs254.75 on 17m shares, PTCL, firm by Rs1.15 at Rs44.65 on 14m shares, Bank Of Punjab, lower 85 paisa at Rs101.70 on 13m shares, MCB, up Rs2.50 at Rs272.5 on 11m shares and D.G.Khan Cement, off Rs4.05 at Rs77.15 on 6m shares.

Other actives were led by Bank Alfalah, lower Rs1.20 on 11m shares, Calmate Telips, higher by Rs2.60 on 7m shares and Pakistan Oilfields, off Rs1.50 on 6m shares.

FORWARD COUNTER: National Bank led the list of actives on this counter, off Rs3.85 at Rs272.90 on 19m shares, followed by OGDC, up Rs1.60 at Rs140.25, on 17m shares, and Pakistan Petroleum, higher by Rs3.95 at Rs255.95 on 11m share.

MCB followed them, up Rs2.50 at Rs274 on 10m shares and Bank of Punjab, lower Rs1.10 at Rs102 on 5m shares.

DEFAULTER COS: Crescent Standard Bank came in for modest selling and was marked down by 15 paisa at Rs4.60 on 0.847m shares, followed by Unity Modaraba, steady by five paisa at 55 paisa on 0.453m shares, and Crescent Modaraba, up 15 paisa at Rs1.40 on 0.199m shares.

Among the other actives, Nazir Cotton was notable, up 10 paisa at Rs1.60 on 0.109m shares.