KARACHI, March 25: Stocks on Tuesday ran into technical selling on selected counters at the higher levels under the lead of cement and oil shares but the underlying sentiment remained uppishly inclined, thanks to the presence of support at the dips. The index was off by 60 points at 15,122.76, well above the barrier.
The oath-taking of the new prime minister was celebrated by the investors after pushing the index to its so far career-best level close to 15,300 points but late profit-selling by some punters halted its upturn for the time-being.
The notable feature was that some of the hereto inactive shares, like Huffaz Pipes, Atlas Battery and Exide Battery came in for strong support and finished sharply higher by Rs5.25 to Rs10.20, indicating an increase in investor portfolios, said a broker. The investor future market outlook is well-reflected in early rise of well over 100 points in the KSE 100-share index to welcome the new prime minister’s oath-taking and maintained its sustained upward drive to hit its new career-best level at 15,296.78 points.
But this level could not be sustained as bargain-hunters and day traders took profits at the higher levels and it ended with a decline 0f 59.62 points at 15,122.76. Its junior partner 30-share index also fell by 64.54 points.
However, it appears to be a technical adjustment and in no way reflects that investors are shaky to go beyond certain pre-determined buying limits, as the early sharp rise in the index shows.
Leading oil and cement shares came in for active profit-selling at the overnight steep rise and shed a part of them and finished reacted under the lead of OGDC, Lucky Cement and D.G. Khan Cement. However, fresh support to MCB Bank allowed the index to finish with clipped fall.
“The market may move either-way until the full transfer of power for obvious reasons,” said a leading analyst, adding: “Conflicting reports about some irritants did not allow the consolidation forces to come into full play.”
No one could deny the fact that the new government will have to chain the monsters of deficit financing and inflation to put the economy back on the sound footing but strong coalition government is capable of performing some good work if the unity in thought is judiciously maintained, some others said.
But what worries investors is inconsistency in market commitments of foreign investors and until they resume normal trading there could be jolts here and there until the new government is at work.
Minus signs dominated the list under the lead of Colgate Pakistan and Pakistan Engineering, off by Rs30 and Rs18, followed by Central Insurance, Attock Petroleum, Pakistan Oilfields, Attock Refinery, and Sanofi-Aventis, which fell by Rs4 to Rs12.
Hino Pakistan and Wyeth Pakistan managed to finish with gains of Rs26.70 and Rs105. Other good gainers were led by Javed Omer, MCB Bank, Dawood Hercules, Gillette Pakistan, JS & Co, Sapphire Fibres, Pakistan Resource Co, and EFU Life, which posted gains ranging from Rs4.55 to Rs24.23.
Trading volume fell to 215m shares from the previous 260m shares as losers held a strong lead over the gainers at 193 to 121, with 38 shares holding on to the last levels.
The active list was topped by WorldCall Telecom, easy by five paisa at Rs17.30 on 17m shares, followed by D.G. Khan Cement, lower by Rs2.25 at Rs110.05 on 15m shares, Bank of Punjab, up Rs1.30 at Rs66.95 on 11m shares, OGDC, off Rs1.25 at Rs134.80 also on 11m shares, Lucky Cement, lower by Rs2.45 at Rs.138.20 on 11m shares, MCB Bank, higher by Rs4.55 at Rs400.05 on 7m shares and Arif Habib Bank, easy 85 paisa at Rs26.60 also on 7m shares.
Other actives were led by Azgard Nine, up 40 paisa at Rs62 on 14m shares followed by JS Bank, higher by 85 paisa at Rs20 on 10m shares and Fauji Fertiliser Bin Qasim, lower by 55 paisa at Rs45.65 on 8m shares.
FORWARD COUNTER: Bank of Punjab came in for active short-covering at the lower level and led the list of actives, higher by Rs1.25 at Rs67.60 on 6m shares, and its March delivery rose by Rs1.11 at Rs66.95 on 5m shares and MCB Bank, higher by Rs4.87 at Rs400.87 also on 5m shares. National Bank was quoted lower by one rupee at Rs232.60 on 4m shares.
DEFAULTER COS: Trading activity on this counter was relatively slow as investors remained busy in the ready section indulging in alternate bouts of buying and selling.
Zeal Pak Cement was an exception, lower by 10 paisa at Rs3.90 on 0.310m shares followed by Norrie Textiles, up by 15 paisa at Rs1.80 on 0.307m shares and Unity Modaraba, easy by five paisa at Rs1.05 on 0.131m shares.
