KARACHI: The stock market kept its upward momentum with the KSE-100 index closing with a gain of 124 points (0.30 per cent) at 41,769.

The proceedings remai­ned choppy as investors traded all day between hopes and apprehension on political developments. The bulls began their charge right from the start and carried the index to intraday high by 411 points before succumbing to selling pressure as news of heavy gas tariff proposed by the Oil and Gas Regulatory Autho­rity created nervousness.

Investors believed that it would eat into the profit margins of several sectors including cement, textile and fertiliser. On top of it came the judgement by special court that handed down retired General Musharraf the death penalty in treason case.

As the investors jettisoned shares, the index dropped to intraday low by 619 points. Due to the efforts of traders and major participants who tried to calm the market, the index made some recovery but an uneasy feeling persisted all through the day, which saw it dip in and out of the red.

Individuals and insurance companies were major buyers while banks and brokers lightened their portfolio. Foreigners supported the market through purchase of stocks worth $2.73 million.

Market volatility led to 15pc higher volume at 412.3m shares while traded value also increased by 26pc to reach $113.6m, as against $90.3m. Stocks that contributed significantly included Fauji Foods, Hascol (right issue), Unity Foods, JS Company and TRG Pakistan, which formed 34pc of turnover.

Sector-wise, exploration and production stocks rallied despite negative triggers with both Oil and Gas Development Company and Pakistan Petroleum trading on upper circuits. Banking followed suit and showed price gains.

Among scrips, major movers in the index were PPL, higher by 5pc, OGDC 5pc, Habib Bank 3.1pc and Dawood Hercules 5pc. On the flip side, major laggards were Fauji fertiliser, down 2.9pc, Hub Power 1.9pc, Pakistan State Oil 2.3pc and Lucky Cement 1.6pc.

Published in Dawn, December 18th, 2019