0
KARACHI, Feb 13: The KSE 100-share index on Monday maintained its upward drive on fresh heavy buying in the leading base shares but the broader market was weak owing to active profit-selling in bank, auto and cement shares.
The oil shares again came in for massive speculative buying at the inflated levels and finished further higher under the lead of OGDC and Pakistan Petroleum, pushing the index and the market capital to new highs. The market capital added another Rs38.250bn to the previous total at Rs3,206.063bn.
After a correction of well-over 100 points earlier in the session, it ended with a fresh gain of 165.17 points or 1.5 per cent at 11,218.03 as compared to 11,052.86 at the last weekend as leading base shares rose further under the lead of PTCL, on reports of management transfer to Etisalat, OGDC, and Pakistan Petroleum, which together hold a weightage of 40 per cent aided by fresh oil and gas discoveries.
“The index is confidentially headed toward its new target of 12,000 points backed by strong foreign buying and higher corporate earnings”, analysts said ”there could be a brief interruption in its sustained run-up on technical grounds, but there is a strong possibility of hitting the target.”
“Based on the market last week’s performance, the next target now appears to be not elusive,” some others said “The talk of the presence of foreign buying on the oil counters did not allow punters to stay away.”
It is pretty difficult to pinpoint the presence of foreign buying in particular scrip as well as its intensity, indications are that it is here.
“Whether or not it is a long-term investment or would it outflow, after cashing in on the available margins is not clear but next few sessions will show how it will behave,” some others said.
According to market sources foreign asset management funds were awaiting the needed depth in the KSE before their entry, some analysts said. “The current market capital of about $50 billion seems to have net in them, not for capital gains alone but for long-term investment.”
The index is not rising but virtually galloping to its new chart level but no one is sure what next, brokers said adding there could by a massive correction before it rebounds.
Most of the leading shares, notably in the bank and oil sectors have already touched their saturation points and are beyond the purchasing power of the general investors but sympathetic rise in second liners, which ensure good capital gains are now getting much of the support from those who play safe.
Leading gainers were led by Sanofi-Aventis and Siemens Pakistan, up Rs15 to 57.95, OGDC, Jahangir Siddiqui Capital Market Fund, Mari Gas, Central Insurance, Berger Paints, Ferozsons Lab and Pakistan Petroleum, which posted gains ranging from Rs7.05 to 10.70.
Prominent losers were led by Nestle Milk Pakistan and Unilever Pakistan, off Rs20 and 60.00 respectively. Others to follow them were: Arif Habib Securities, Shell Gas, HinoPak, Clariant Pakistan, Colgate Pakistan, Shezan International, Treet Corporation, and Pakistan Services, which suffered decline ranging from Rs8.85 to 15.There were several other losers also.
Trading volume fell to 549m shares from the previous 602.010m shares as losers forced a strong lead over the gainers at 228 to 156, with 42 shares holding on to the last levels.
OGDC topped the list of most actives, higher by Rs7.10 at Rs148.80 on 82m shares followed by PTCL, up Rs1.85 at Rs68.05 on 65m shares, Pakistan Petroleum, higher by Rs10.30 at Rs245.80 on 38m shares, D.G.Khan Cement, off Rs2.25 at Rs139.75 on 35m shares, Maple Leaf Cement, higher by Rs2.25 at Rs49.25 on 34m shares, National Bank, up Rs270.30 on 25m shares, Bank of Punjab, lower 90 paisa at Rs124.25 on 15m shares.
Other actives included Fauji Cement, unchanged on 21m shares, Nishat Mills, lower Rs1.20 on 21m shares, and Sui Southern Gas, steady by 15 paisa on 20m shares.
FORWARD COUNTER: OGDC also led the list of actives on this counter, up Rs7.10 at Rs149.75 on 25m shares, followed by Pakistan Petroleum, higher by Rs10.75 at Rs247.15 on 19m shares and Maple Leaf Cement, firm by Rs1.85 at Rs49.45 on 15m shares.
Other actives included PTCL, up Rs1.95 at Rs68.40 on 10m shares and Fauji Fertiliser Bin Qasim, steady by 55 paisa at Rs43.50 on 10m shares. Some others were also actively traded on light turnover.
DEFAULTER COS: Service Fabrics came in for active buying and led the list of actives, up 45 paisa at Rs3.30 on 1.193m shares followed by Dandot Cement, lower 10 paisa at Rs12.80 on 0.342m shares. All others were modestly traded amid light turnover.
DIVIDEND: Kot Addu Power Co, interim cash at the rate of 40 per cent, BSJS Blanced Fund, interim, 17.50 per cent, ABAMCO Composite Fund, interim 17.50 per cent, and Tandlianwala Sugar mills, nil.
BOARD MEETINGS: Standard Chartered Modaraba, on Feb 15, Kohinoor Weaving Mills, on Feb 16, Attock Cement, Union Leasing, United Money Market Fund, and Imrooz Modaraba on Feb 17, Haroon Oils, on Feb 18, Faysal Bank on Feb 23, MCB, on Feb 24, and Sui Northern Gas, on Feb 25. Market at a glance: TONE: Mixed, total listed 662, actives 426, inactives 236, plus 156, minus 228,unc 42.
