Bulls return to PSX as benchmark index gains 912 points

August 22, 2019

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The benchmark index shot up 3 per cent on back of rumors that Pakistan might exit the FATF grey list. — AFP/File
The benchmark index shot up 3 per cent on back of rumors that Pakistan might exit the FATF grey list. — AFP/File

The Pakistan Stock Exchange (PSX) on Thursday witnessed a bullish trend with the benchmark KSE-100 index gaining 912 points to close up 2.9 per cent.

The benchmark index closed at 31,884 points after hovering in the green throughout the day on the back of rumors that "Pakistan might exit the FATF grey list".

The market had opened on a positive note at 30,973 points and bullish sentiments prevailed in the market through to the end of the session. The benchmark hit a day's high of 31,913 points near the end of the session, while the market opening remained the day's low.

As many as 176 million shares of indexed companies changed hands during the session. The market value of the shares traded clocked in at Rs6.9 billion.

According to a JS Global report, "The local bourse closed positive on the rumors that Pakistan might exit the FATF grey list."

"Market participation was seen in the oil exploration and production (E&P), Cement and Fertilizer sectors," the report said, adding that among the E&P companies, Oil and Gas Development Company's (OGDC) shares gained value by 5pc, Pakistan Petroleum Limited (PPL) by 4.3pc, and Pakistan Oilfields Limited (POL) by 5pc as oil prices edged higher in the international market after a drawdown in United States crude inventories.

"In Cements, Fauji Cement Company Limited (FCCL) shares gained value by 7pc, Maple Leaf Cement Factory Limited (MLCF) by 5.2pc, Pioneer Cement Limited (PIOC) by 5.1pc, D.G. Khan Cement Company Limited (DGKC) by 5pc and Cherat Cement Company Limited (CHCC) by 5pc. In Banks, United Bank Limited (UBL) shares gained value by 2.3pc, Bank Alfalah Limited (BAFL) by 5pc and Habib Bank Limited (HBL) by 1.5pc."

The report said that major contribution to total market volume came from Worldcall Telecom Limited (WTL) — up 27pc, K-Electric Limited (KEL) —up 13pc, Bank of Punjab (BOP) — 9pc and Unity Foods Limited (UNITY) — up 2pc.

Market analysts are expecting a positive momentum at the bourse in the days to come.