KARACHI: It was another trading day at the stock market devoid of investor interest. The KSE-100 index closed flat in the red with a loss of 30 points (0.07 per cent) at 40,154.

Traders said the 40,000 level had proved strong resistance around which the market had been moving for the last several sessions.

The trading was choppy as the generally disinclined investors burst into a short span of activity on the declaration of financial results of some major corporates: Engro Corporation; Pak Suzuki Motor Company and Hub Power declared numbers.

The index blew hot and cold between intraday high and low by 241 and 119 points.

Oil and gas exploration companies contributed most positive points to the index as shares in OGDC, Pakistan Oilfields and Pakistan Petroleum all closed in the green. Conversely, major spoiler of the market was the index heavyweight banking which turned red as investors wondered over the next SBP monetary policy in the face of mixed signals.

Fertiliser giant Engro Corporation announced results that stirred up activity in the sector. The investors’ showed no appetite for cement stocks for the second day in the absence of any major leap in the construction activity. Interest continued in Sui Companies as the government had to initiate work on new pipeline projects after the verdict of the Supreme Court on the Gas Infrastructure Development Cess (GIDC). Some Independent Power Producers hit their upper circuits following the finalisation of memorandum of understanding with the government committee.

The volume declined 7pc over the earlier day to 427.2 million shares while traded value also declined by 10pc to $110.4m. Sectors contributing to the positive performance included fertiliser, higher by 63 points, exploration and production 40 points and oil and gas marketing companies 10 points. On the flip side, cement, down 25 points, technology 23 points, autos 21 points, power 20 points and banks 20 points ate away most points.

Published in Dawn, August 20th, 2020