KARACHI: The KSE-100 index roared past the 35,500 level to close at 35,694 on Wednesday, as it gained another 321.54 points (0.91 per cent).

The nine-day buying streak that was triggered on June 26 following the cut in SBP policy rate by 100bps has sent the index scurrying up by 1,756 points or 5.1pc.

Led by banking and cement sectors, the market maintained its northward trajectory with the index settling near the intraday high of 330 points, indicating that the bullish run may be far from over.

Investors were emboldened by the slowdown in new virus related cases in the country, that were surpassed by recoveries.

Economically, things had started to look up as after the reduction of trade deficit, the SBP also came up with banking sector data that showed 12pc and 40pc yearly improvement in deposits and investments in FY20. On the other hand, advances recorded minor rise of 1pc as the lockdown in trade and industrial activity to combat Covid-19 had reduced need for fresh advances.

Speculations on the upcoming quarterly results enabled investors to accumulate stocks of corporates with possible improved performance.

Foreigners sought exit with the sale of shares worth $3.07 million. The liquidity was mopped up mainly by the mutual funds and individuals. The volume was slightly lower from the earlier day at 318m shares while traded value improved to Rs13 billion, indicating investors’ focus on blue chips. TRG was the leader with 38m shares traded.

Among banks, Habib, United, Bank of Punjab and National surged while cement sector saw rise in prices of Cherat, DG Khan, Maple Leaf and Fauji.

Technology sector, least impacted by the pandemic, saw Avanceon and Netsol close at their upper circuits.

Published in Dawn, July 9th, 2020