KARACHI: Stocks exte­nded the winning streak for fourth day in a row on Wednesday when the KSE-100 index gained 155.64 points (0.39 per cent) and closed at 40,057.85 –– crossing the 40,000-mark for the first time after 36 sessions.

Investors’ enthusiasm was fuelled by the widely held belief that the economic package to be announced in the evening on Wednesday would contain many positive measures for the stock market.

The index opened in the positive territory and made an intraday high of 296 points. The session remained choppy through much of the later part of the day until the final hour when investors were seen taking positions in automobiles and banks in anticipation of positive incentives in the upcoming mid-term budget.

Moreover, the State Bank of Pakistan (SBP) signed an agreement with Abu Dhabi Fund for Development for $3 billion to be deposited in the SBP account.

The volume increased 31pc to 178.9 million shares, from 136.8m while traded value, rose 8pc to $52.8m from $49m. Stocks that contributed significantly include K-Electric, Bank of Punjab, TRG Pakistan, Pak Elektron and Nimir Resins, which formed 31pc of total turnover.

Banking sector saw heavy volume where Habib, United, National Bank and MCB cumulatively contributed 72 points to the index. Other gaining sectors included autos, increasing by 32 points, oil and gas marketing companies 27 points, power 20 points and pharma 12 points. Meanwhile, fertiliser was the worst performer as it chipped away 41 points.

Major contribution to the index upside came from Habib Bank, up 2.20pc, Hub Power 1.15pc, United Bank 1.20pc, Engro Corporation 0.67pc and Oil and Gas Development Company 0.57pc, adding 109 points.

Published in Dawn, January 24th, 2019