KARACHI: The Pakistan Stock Exchange (PSX) on Tuesday snapped the post-election losing streak in a volatile session a result the benchmark KSE 100-share index managed to close in the green.
Topline Securities Ltd said the benchmark KSE-100 index swung in both directions as investors were still not clear who would form a new government as a result the the index plunged by 1,452.14 points to 59,613.18 in initial trading. However, the news of some progress on the formation of a PDM-style government boosted market sentiments and helped the index to recover the lost ground gaining 589.34 points to 61,654.65 intraday.
The market opened on a negative trend where mainly Oil and Gas Development Company and Pakistan Petroleum opened at the lower lock on the back of the news that IMF is not on board with the energy ministry’s tariff rationalisation and circular debt management plan.
Similarly, the cement sector witnessed a resurgence, with Pioneer Cement Ltd, Maple Leaf Cement and Fauji Cement Company registering gains of 3.19pc, 3.09pc, and 2.98pc, respectively, culminating in a positive close.
Allied Bank Ltd announced its 2023 result, where the bank posted earnings per share of Rs36.07 and a cash payout of Rs4 per share.
Ahsan Mehanti of Arif Habib Corporation said stocks showed recovery after MSCI, a provider of global indices for passive investments, added 19 companies to its Frontier Small Cap Index in its latest quarterly index review.
He said the reports of IMF’s disapproval of the caretaker government’s proposals for power tariff rationalisation and resolve of circular debt crises did dent the market sentiments.
As a result, the KSE-100 index closed at 61,226.93 points after adding 161.61 points or 0.26 per cent from the preceding session.
Stocks contributing significantly to the traded volume included Pakistan K-Electric (65.82m shares), WorldCall Telecom Ltd (30.09m shares), Pakistan Refinery Ltd (28.60m shares), Pakistan Petroleum Ltd (18.64m shares) and Cnergyico PK Ltd (18.12m shares).
Foreign investors remained net buyers as they picked shares worth $0.17m.
Published in Dawn, February 14th, 2024
