July 13, 2007	Friday	Jamadi-us-Sani 27, 1428

KARACH, July 12: Stocks on Thursday staged a decisive rebound as investors made strong covering purchases under the lead of some foreign funds on the perception that the market has already absorbed the negative fallout of the Lal Masjid killings and the future sailing could be smooth.

This was also well reflected in the performance of the KSE 100-shares index, which consolidated itself well above the barrier of 14,000 at 14,131.28, up by 163.88 points or 1.17 per cent, adding Rs60bn to the market capital at Rs4,183bn.

The free float 30-share index also rose by 171.46 points at 17,130.48 points.

“The index’s march to its new target seems to have begun,” analyst Faisal A. Abbas said, adding “its near-term target appears to be around 14,500 if all goes well with the external background news”.

The perception that the negative fallout of the Lal Masjid military operation may not cause a major law and order situation again lured some of the shaky foreign investors and their lead was actively followed by the punters.

Analysts said backed by higher interim working results for the half year ended June 30, 2007 and strong selective foreign buying linked to some more acquisitions in the banking sector, investors made strong covering purchases on the perception that the peace may be around after the and of a major depressant.

“The market has the potential to rise further higher as too many a rupee are chasing a too few a stock on some of the counters,” said Ashraf Zakaria.

Analyst Ahsan Mehanti observes that after having absorbed the shock of Lal Masjid tragedy the market has demonstrated that it will like to follow its positive corporate background news rather than any other external negatives.

Oil shares led the market advance followed by leading shares, notably National Bank, Javed Omer, Arif Habib Securities, Lucky Cement, Fajui Fertiliser Bin Qasim and some others also actively traded. Some of the under valued shares also rose on large volume.

Prominent gainers were led by Siemens Pakistan and Colgate Pakistan, up by Rs55 and Rs18.90, followed by Javed Omer, Arif Habib Ltd, EFU General, Pakistan Resource Co, Mari Gas, Sanofi-Aventis, National Refinery, Millat Tractors, Colgate Pakistan and Attock Petroleum, which posted gains ranging from Rs10 to Rs18.85.

There were several other shares which rose by Rs6 to Rs9.90. Losers on the other hand were mostly fractional and leading among them included Unilever Pakistan and Nestle Pakistan, off Rs44 and Rs20 respectively. PSO, Shell Gas, Pak-Suzuki Motors, Bata Pakistan, Zulfiqar Industries, Dreamworld and Shezan International, which fell by Rs3 to Rs11.55.

Trading volume rose to 464m shares from the previous 370m shares as gainers held a strong lead over the losers at 299 to 88, with 33 shares holding on to the last levels.

TRG Pakistan led the list of actives, firm by 15 paisa at Rs16.60 on 25m shares followed by Pak PTA, steady by 10 paisa at Rs6.90 on 24m shares and WorldCall Telecom, firm by 10 paisa at Rs19.35 on 20m shares.

Arif Habib Securities, sharply higher by Rs7.50 at Rs.157.65 on 16m shares, Javed Omer, higher by Rs.11.95 at Rs294.40 on 15m shares, Saudi Pak Bank, firm by 55 paisa at Rs28.90 on 13m shares and National Bank, up by Rs6.35 at Rs267.35 also on 13m shares.

Nishat Mills followed them, up by Rs6.10 on 14m shares, Dewan Salman, firm by Re1 on 13m shares and Fauji Fertiliser Bin Qasim, up by 30 paisa on 12m shares.

FORWARD COUNTER: After rising to Rs408.40 in early trading, PSO came in for active selling later on reports of delay in its sell-off date and ended lower by Rs3.75 at Rs395.35 on 5m shares followed by Fauji Fertiliser Bin Qasim, up by 70 paisa at Rs43.30 also on 5m shares and Lucky Cement, higher by 60 paisa at Rs132.50 also on 5m shares.

National Bank followed them, higher by Rs5.80 at Rs268.25 on 4m shares and Telecard, steady by 10 paisa at Rs14.30 also on 4m shares.

DEFAULTER COS: Active trading was again witnessed on this counter as a section of investors made fresh commitments in some of the current actives under the lead of Japan Power, which was quoted higher by 95 paisa at Rs10.40 on 8.519m shares.

Nimir Chemicals, firm by 20 paisa at Rs5.30 on 4.979m shares and Crescent Standard Modaraba, higher by Re1 at Rs3 on 3.849m shares and Quice Foods, higher by Re1 at Rs6.20 on 1.292m shares.

Zeal Pak Cement also came in for active support and rose by 25 paisa at Rs6.55 on 1.258m shares followed by Asset Investment Bank, higher by Re1 at Rs6.50 on 0.632m shares.

BONUS SHARES: Meezan Islamic Income Fund, 4.4 per cent, Meezan Islamic Fund, 26.61 per cent, AKD Opportunity Fund, cash at the rate of Rs5 per unit, AKD Index Tracker Fund, cash 6 per cent, Bawany Air Products 40 per cent right shares.