KARACHI: The stock market remained dull on Friday in the absence of progress reports regarding ongoing negotiations with the International Monetary Fund and Chinese authorities for a bailout package to tide over the balance of payment crisis.

The KSE-100 index closed on a flattish note, up 21.50 points (0.05 per cent) at 41,388.88.

Activity remained thin also due to the Friday factor, when investors generally remain cautious and avoid taking fresh positions ahead of the weekend. Investor sentiments were also impacted by decline in other markets and the fall in global oil prices.

The volume decreased 2pc to 220 million shares while the traded value increased by 9pc to Rs8.88 billion. Stocks that contributed significantly included Bank of Punjab, Siddiqsons Tin Plate, K-Electric, TRG Pakistan and Engro Polymer and Chemical, which together contributed 40pc to the total turnover.

Selling pressure was evident from activity in steel, banks and exploration and production (which bore the brunt of declining oil prices). United Bank and Lucky Cement continued to remain under selling pressure as both face the risk of being excluded from the MSCI Emerging Market index in their semi-annual review due on Nov 13. Both the stocks showed significant flows, apparently from foreign investors.

The National Clearing Company Ltd data showed major selling from mutual funds at the value of $1.43m, which was mainly absorbed by the individuals who bought equity worth $2.73m.

According Arif Habib Ltd, sectors contributing positively to the index included fertiliser, higher by 55 points, oil and gas marketing companies 35 points, cement 25 points and textiles 22 points while exploration and production took away 101 points and banks shed 30 points.

Major gainers were Dawood Hercules, up 3.27pc, Pakistan State Oil 1.91pc, Kohinoor Textil Mills 5pc, Bank Al Habib 1.03pc and Fauji Fertiliser Bin Qasim 4.25pc, adding 82 points. On the flip side, Habib Bank, down 1.72pc, Pakistan Petroleum 1.78pc and Oil and Gas Development Company 0.76pc took away 91 points.

Published in Dawn, November 10th, 2018