KARACHI, March 30: Stocks on Thursday recovered from the overnight lower levels on strong short-covering in the oil and some other selected shares but most of the blue chips finished with clipped gains on late-selling.

Although evidence was lacking some analysts claim of presence of foreign buying on the oil sector at the current lower levels as was reflected by smart recovery in OGDC, which has been an envy of foreign buyers in the recent past.

It was, therefore, essentially an OGDC-led rally, which alone contributed 70 per cent of the gain because of its heavy weightage in the index and judiciously assisted by the other heavy weights, analysts say, adding “but on the other hand leading trend-setters in the bank sector failed to sustain the early run-up on late selling, limiting the index’s run-up”.

The KSE 100-share index showed a smart recovery on active short-covering in the leading base shares and finished higher by 154.27 points or 1.35 per cent at 11,568.54 as compared to 11,434.37 a day earlier. The fact that it stood above 11,400.00-level reflected it was maintaining its upward march.

However, rollover of March positions into the ruling April contracts still haunt some of the investors fearing some negative fallout until the process is fully completed, brokers said.

Once a clear signal comes from the forward counter, investors are expected to be back in the market and would lift prices sharply higher from the current levels on active covering purchases, they added.

But apart from the leading trend setters, notably banks and cement shares, the current standoff on the oil sector did worry investors who could not precisely decide whether or not to ride the bandwagon at the current lower levels, some others said.

“The rollover week is fading out without any significant event, although status quo was maintained, which in a way reflects the market’s inherent strength,” analyst said, adding “the next week could be more productive.”

MCB again performed well just on the heels of overnight run-up amid perceptions that the spilt of the National Investment Trust (NIT) into six independent entities before its sell-off could benefit most of the banks which have stake in it. Both MCB and National Bank failed to hold on to the early gains.

Plus signs again dominated the list under the lead of Siemens Pakistan and Wyeth Pakistan, up by Rs35 and Rs36.50, followed by Arif Habib Securities, Adamjee Insurance, Bhanero Textiles, IGI Insurance, Pak-Suzuki Motors, Dawood Hercules and Colgate Pakistan, up by Rs6 to Rs14.20.

Prominent losers were led by Noon Pakistan and EFU General fell by Rs10 and Rs10.95 on late selling. Others saw factional declines barring Atlas Honda, Packages and Thal Jute, which fell by Rs3.35 to Rs4.

Trading volume showed a sharp contraction owing perhaps to problems on the forward counter and fell to 371m shares from the previous 421m shares but gainers held a strong lead over the losers at 171 to 145, with 53 shares holding on to the last levels.

OGDC topped the list of most actives, sharply higher by Rs6.45 at Rs161.45 on 86m shares followed by Fauji Fertilizer Bin Qasim, steady by Rs1.30 at Rs41.75 on 38m shares, D.G.Khan Cement, easy 55 paisa at Rs153.90 on 30m shares, MCB, lower 10 paisa at Rs229.75 after hitting the day’s peak of Rs234.10, Lucky Cement, up by Rs2.10 at Rs124.00 on 24m shares, Pakistan Petroleum, up by Rs3.10 at Rs275.10 on 22m shares National Bank, lower by 60 paisa at Rs283.50 on 12m shares.

Other actives were led by Fauji Cement, lower 15 paisa on 12m shares, Sui Southern Gas, up by 55 paisa on 11m shares and Nishat Mills, higher Rs1.80 on 10m shares.

FORWARD COUNTER: OGDC was also actively traded on the cleared list, up by Rs6 at Rs162 on 18m shares, followed by PTCL, fractionally down by two paisa at Rs65.50 on 9m shares.