KARACHI, Jan 18: Stocks on Wednesday again showed bullish trend despite profit-selling in some of the blue chips at the inflated levels, the on balance trend remained uppishly inclined amid active follow-up support at the dips. The KSE index rose by 69 points at 10,235.17, adding Rs20 billion to the market capital.

The market, however, gave a guarded reaction to the president’s announcement that Bhasha and Munda dams would be built first and work could possibly be started on them by the next month and other dams including Kalabagh dam would be built later on.

The prevailing tension on the Kalabagh issue was expected to be fading during the next couple of weeks after the president’s announcement as the issue was deferred.

The KSE 100-share index maintained its upward drive on renewed buying in bank and cement shares boosted apparently by the president’s announcement on the dam issue, defusing the tension over the Kalabagh issue.

It finally finished with a fresh gain of 69.26 points at 10,235.17 as compared to 10,165.91 a day earlier but well below the day’s peak level of 10,278.38 on late selling.

Indications are that it may surpass its previous career-best level of 10,303, achieved in March 2005, during the current week as major investor worry over the dam issue was removed by the president’s address to the nation on Tuesday.

But some others said that another market irritant relating to Balochistan situation was still there but was overshadowed by positive feelers from the corporate sector.

“The market is in a highly overbought position and may undergo further corrections”, some analysts predict “but it is pretty difficult to say about the percentage fall in the index”.

The consensus among the analysis is, however, that it could fall from the current highs after having surpassed the last year’s all-time high of 10,303 points.

Although the current flare-up in National Bank is tamed as it is in the process of consolidation phase, Bank of Punjab and Askari Bank have assumed their role, keeping the banking sector still a “best buy”.

PTCL, Lucky Cement and D.G.Khan Cement came in for stray profit-taking at the higher levels but found willing buyers even at the highly inflated levels. But on other hand OGDC came in for renewed support compensated the loss of PTCL, D.G.Khan Cement and some others in the index.

Plus signs again dominated the list under the lead of Wyeth Pakistan and Siemens Pakistan, up by Rs24 and Rs47.25, Fazal Textiles, Arif Habib Securities, Artistic Denim, Pakistan Oilfields, Dawood Hercules, Engro Chemical, Pakistan Services, Gillette Pakistan and Treet Corporation, which posted gains ranging from Rs7 to Rs16.

Zulfiqar Industries and National Refinery were prominent among the losers, off Rs6.50 and Rs19.90. Other losses were fractional barring Faisal Spinning, Otsuka Pakistan, Pakistan Gum & Chemicals, Berger Paints, Bata Pakistan, Attock Petroleum and HinoPak, off Rs3.10 to Rs4.85.

Trading volume was maintained on the higher side at 530m shares as compared to 579m shares a day earlier as gainers topped losers by 191 to 173, with 45 shares holding on to the last levels.

OGDC topped the list of most actives, up by Rs2.80 at Rs125.70 on 67m shares followed by Bank of Punjab, higher by Rs5.60 at Rs118.55 on 52m shares, National Bank, firm by 85 paisa at Rs231.35 on 44m shares, Lucky Cement, steady 40 paisa at Rs100.60 on 33m shares, D.G.Khan Cement, off Rs2.40 at Rs118.95 on 32m shares, PTCL, lower 45 paisa at Rs67.60 on 25m shares, MCB, firm by 20 paisa at Rs197 on 19m shares and Askari Bank, higher by Rs5 at Rs138.50 on 16m shares.

Other actives included Fauji Fertilizer Bin Qasim, lower 20 paisa on 28m shares, Fauji Cement, unchanged on 24m shares and some others, which also rose sharply higher but on light turnover.

FORWARD COUNTER: Bank of Punjab topped the list of actives on this counter, higher by Rs5.65 at Rs119.15 on 20m shares followed by National Bank, up by Re1 at Rs232.50 on 17m shares and Lucky Cement, firm by Re1 at Rs101 also on 16m shares.