April 19, 2007	Thursday	Rabi-us-Sani 01, 1428

KARACHI, April 18: The KSE 100-share index on Wednesday confidently added another about 200 points to the barrier of 12,000 aided by heavy buying in the oil and banking shares on reports of higher earnings and dividend, signaling that the best is yet to come.

The decisive journey beyond the index level of 12,000 was led by OGDC followed by reports of new oil and gas discovery in the central Sindh concession area around Sanghar and actively followed by the other leading oil shares for obvious reasons, brokers said.

Volume figure soared to year’s peak level of 453m shares so far, reflecting the intensity of the foreign fund buying euphoria that too in a highly overbought market.

Although the best single-session volume record is well above a billion shares, the current expansion after several lean trading months indicates the return of a genuine bull-run despite negative political factors.

After hitting the session’s peak of 12,204.04 at one state on early strong foreign and local buying, the index finally reacted to finish with a net rise of 186.52 points or 1.55 per cent at 12,189.29 points.

Analysts said the current rise in the index above the 12,000 points was based on some positive fundamentals, notably the start of the corporate result season and the index may not falter half way technical corrections here and there notwithstanding.

At the current levels both leading oil and bank shares have potential to rise to its pre-dividend levels and that is happening now supported by active short-covering, they added.

“It appears to be the beginning of a rally inspired by positive corporate results,” a stock analyst Muhammad Sajid said, adding “most of the leading companies whose financial years ended March 31, 2007 are said to be coming out with pleasant surprises”.Sudden burst of activity in OGDC on strong foreign and punter buying on new oil find pulled the market out of Tuesday’s sluggishness, Pakistan Petroleum, National Bank and Bank of Punjab followed them evoking prompt support from the others. Active support in National Bank was also attributed to reports that its management plans to float GDR worth $250m by the end of the current year.

Plus signs dominated the list under the lead of National Refinery and Pakistan Services, up by Rs13.90 and Rs14, followed by National Bank, Pakistan Petroleum, Al-Ghazi Tractors, Pakistan Cables, HinoPak, Indus Motors, Pakistan Cables, Thal Jute, IGI Insurance, MCB, Pakistan Refinery and Arif Habib Securities, which were quoted higher by Rs6.40 to Rs11.75.

Unilever Pakistan and National Foods which fell by Rs25 and Rs11.15 were prominent among the losers. Others fell fractionally barring Dawood Hercules, off Rs4.15.

Trading volume swelled to 452.704m shares from the overnight’s 326m shares as gainers topped losers by 210 to 104, with 37 shares holding on to the last levels.

OGDC topped the list of most actives, sharply higher by Rs4.35 at Rs124.55 on 59m shares followed by D.G. Khan Cement, steady by Rs1.30 at Rs100.50 on 47m shares, Bank of Punjab, higher by Rs2.40 at Rs106.25 on 42m shares, Askari Bank, easy 35 paisa at Rs90.75 on 33m shares, Pakistan Petroleum, higher by Rs7.85 at Rs265.80 on 28m shares, National Bank, up by Rs6.40 at Rs250.80 on 28m shares and Bank Alfalah, steady by 35 paisa at Rs55.55 on 17m shares.

Other actives were led by Fauji Fertiliser Bin Qasim, firm by 30 paisa on 22m shares, TRG Pakistan, up by 35 paisa on 14m shares and Lucky Cement, higher by 85 paisa on 13m shares.

FORWAED COUNTER: OGDC also actively traded on this counter and rose by Rs4.05 at Rs124.65 on 18m shares followed by Bank of Punjab, higher by Rs2.90 at Rs105.80 on 13m shares and National Bank, up by Rs6.50 at Rs265.75 on 6m shares.

National Bank followed them, up by Rs6.10 at Rs251.60 on 8m shares followed by Bank Alfalah, up by 55 paisa at Rs55.70 on 8m shares and Askari Bank, off 50 paisa at Rs91 also on 8m shares.

DEFAULTER COS: Nimir Chemical came in for active support and rose by 25 paisa at Rs2.80 on 0.963m shares followed by Norrie Textiles, lower 25 paisa at Rs3.50 on 0.634m shares and Zeal Pak Cement, lower 25 paisa at Rs5.45 on 0.575m shares, Quice Foods and Japan Power were also quoted higher by five and 20 paisa at Rs3.70 and Rs4.20 on 0.156m and 0.152m shares respectively.

DIVIDEND: Rafhan Maize Products, cash interim at the rate of Rs30 per share or 300 per cent book closure from May 10 to 18, 2007.