KARACHI: The overnight reaching of a consensus between PML-N and PPP on the formation of a coalition government, dubbed PDM 2.0, brought clarity on the political front to a greater extent as a result the benchmark KSE 100-share index staged a robust rally to settle above 61,000 level on Wednesday.
Topline Securities Ltd said the stock market maintained a positive trend throughout the session reaching an intraday high of 61,621 and a low of 60,907 points as optimist investors began strengthening their positions hoping the power-sharing formula of the next government would end the uncertainty.
This upward movement was driven by Oil and Gas Development Company Ltd, Lucky Cement, Pakistan Petroleum Ltd, United Bank Ltd and TRG Pakistan, collectively contributing 322 points to the index’s rally. Ahsan Mehanti of Arif Habib Corporation said reports of reduction in profit rates on the national savings schemes and surging Pakistan Eurobonds also boosted market sentiments.
As a result, the KSE-100 index closed at 61,559.16 points after rallying by 1,094.91 points or 1.81 per cent from the preceding session.
The overall trading volume eased 0.45pc to 362.77 million shares. The traded value, however, soared 14.31pc to Rs12.49bn on a day-on-day basis.
Stocks contributing significantly to the traded volume included Bank of Punjab (35.43m shares), K-Electric (28.61m shares), WorldCall Telecom Ltd (21.42m shares), Cnergyico PK Ltd (18.30m shares) and The Searle Company Ltd (17.62m shares).
Shares registering the biggest increases in their share prices in absolute terms were Indus Motor Company Ltd (Rs53.66), Mari Petroleum Ltd (Rs45.11), Highnoon Laboratories (Rs37.90), Service Industries Ltd (Rs37.44) and Abbott Laboratories (Rs33.38).
Companies registering the biggest decreases in their share prices in absolute terms were Pakistan Services Ltd (Rs50.00), Thal Ltd (Rs9.46), Tata Textile Mills Ltd (Rs5.30), Gadoon Textile Mills Ltd (Rs4.40) and Ittehad Chemicals Ltd (Rs3.43).
Foreign investors remained net sellers as they offloaded shares worth $0.14m.
Published in Dawn, February 22nd, 2024
