November 24, 2006	Friday	Ziqa'ad 2, 1427

KARACHI, Nov 23: Stocks on Thursday rebounded from the recent lows aided by a judicious blend of both local and foreign buying in the leading oil and banks shares ahead of OGDC share offering, and belated welcome to positive forensic probe report.

The KSE 100-share index recovered 221.00 points at 10,867.11, adding Rs57bn to the market capital at Rs3,015bn amid higher volume.

It appears to be the maiden post-probe report rally, which could lead the market to new highs in the coming sessions based on technical factors including its oversold position, analysts said.

Brokers and investors welcomed the clean bill by the forensic experts about price manipulation and demonstrated that in normal working conditions they could work miracles.

The upgrading of Pakistan bond rating by Moody’s and reports of book building process of OGDC leading to its share float of around 15 per cent were contributory aiding factors.

The massive recovery of 2.7 per cent by 100-share index reflects that bulls are now out to push it its next target of 11,000 points before the year is out aided partly by revival of foreign demand. The KSE 30-share index rose by 239.11 points at 13,541.36 points.

A leading analyst said foreign buying was also evident on the oil sector, notably OGDC aided by its GDSs issue and PSO followed by news of its sell-off, while Pakistan Petroleum and Pakistan Oilfields attracted strong buying at the lower levels in sympathy. Most of them ended around their upper locks.

“The market has been in a highly oversold position owing to fears about the probe reports and needed correction and that came in the form of heavy covering purchases,” analysts said.

The future share business outlook appears to be positive based on strong fundamentals, but the prevailing political depressant including MMA’s threat of en masse resignation as protest against the approval of Women Protection Bill could take its toll, they said.

Plus signs forced a decisive lead over the minus ones under the lead of Attock Petroleum and Sanofi Aventis, up by Rs12.20 and Rs12.45. Other leading gainers were led by Askari Bank, Allied Bank, National Bank, MCB, Central Insurance, OGDC, Pakistan Petroleum, Pakistan Oilfields, Pakistan Cables, Mari Gas and National Refinery, up by Rs3.95 to Rs10.

Sapphire Fibre and Dawood Hercules led the list of prominent losers and fell by Rs4 and Rs6 respectively, followed by Pak-Suzuki Motors, KSB Pumps, Atlas Insurance, Honda Atlas and Jahangir Siddiqui Fund, off Rs2.50 to Rs4.

Trading volume rose to 246m shares from the previous 158m shares as gainers topped losers at 212 to 105, with 41 shares holding on to the last levels.

OGDC topped the list of actives, higher by Rs5.70 at Rs134.70 on 36m shares followed by Bank of Punjab, up by Rs2.80 at Rs105.95 on 21m shares, National Bank, sharply higher by Rs6.10 at Rs270.30 on 18m shares, PTCL, firm by Re1 at Rs49.50 on 14m shares, Faysal Bank, off 95 paisa at Rs65.60 on 12m shares and Pakistan Oilfields, higher by Rs9.45 at Rs354.95 on 9m shares.Other actives were led by Bank Alfalah, up by Re1 on 11m shares, Pakistan Petroleum, up by Rs6.85 on 8m shares and D.G. Khan Cement, higher by Rs1.85 on 9m shares.

FORWARD COUNTER: OGDC also led the list of actives on this counter, higher by Rs6.10 at Rs134.30 on 8m shares and its November contract, up by Rs5.68 at Rs134.52 on 7m shares, and National Bank, both its November and December settlements, higher by Rs5.50 and Rs5 a Rs273 and Rs270 respectively on 5m and 4m shares, and Bank of Punjab, higher by Rs3.25 at Rs107.25 on also 4m shares.

DEFAULTER COS: Norrie Textiles came in for renewed support and was quoted higher by Re1 at Rs4.90 on 0.483m shares but on the other hand Crescent Investment Bank came in for modest profit-selling and was marked down by five paisa at Rs6.05 on 0.469m shares followed by Unity Modaraba, easy five paisa a 70 paisa on 0.173m shares.