KARACHI, Aug 29: Active foreign and local buying in leading bank and some other blue chips on Wednesday triggered partly by some positive developments on the political front apparently leading to peace pushed the KSE 100-share index further higher but trading remained slow.

Some analysts said the speculative buying was based on Morgan Stanley report that foreign buying interest manifested itself in a bigger way at the current attractively lower level on the blue chips counters but a sharp fall in weekly SCRA figures tells a different story.

The index finished with an extended gain of 187.17 points or 1.5 per cent at 12,228.06, consolidated well above the barrier of 12,000 points and analysts said it could well be a launching point to its lost glory sans political uncertainty. The 30-share index rose by 298.14 points at 14,785.56 points.

“It is essentially dividend-based rally as a section of investors picked up only risk-free shares at the lower levels but there were no instances of genuine investment buying,” said a leading analyst Ahsan Mehanti adding there is, however, a loud whispering of foreign buying in MCB and National Bank.

MCB, National Bank, OGDC, Lucky Cement, Bank AlFalah, which together holds a weightage of over 50 per cent in the index, were again the centre of attraction and boosted the index up from the recent lows, he added.

“I doubt foreign investors are back in the market, analyst Ashraf Zakaria said “but some of the financial institutions as well as leading punters were there in a big way.”

But some other analysts think the rally appears to terribly inspired as those trapped in the high profile stocks before the massive retreat are trying to cover their positions after having pushed selective prices to their chart points.

However, the sustained run up was mostly welcomed as it came in the wake of tense political situation but low volume showed the interest is limited sans general investors.

Lakson Tobacco again came in for strong buying for the second day and rose by Rs27.50 followed by JS & Co, up Rs35.05. Other good gainers included Packages, Berger Paints, Ferozsons Lab, Millat Tractors, Indus Motors, Pakistan Engineering, Pakistan Resource Co, Adamjee Insurance, Arif Habib Ltd, and MCB, which posted gains ranging from Rs7 to 13.30.

Attock Petroleum and Unilever Pakistan were leading among the losers, off by Rs17 and 70 followed by Fazal Textiles, IGI Insurance, EFU Life, Central Insurance, and JS Global, off by Rs5 to10.85.

Trading volume showed a modest rise at 201m shares as compared to 127m shares a day earlier as gainers held a strong lead over the losers at 226 to 73, with 29m shares holding on to the last levels.

Lucky Cement topped the list of actives, up Rs4.45 at Rs112.75 on 13m shares, followed by National Bank, higher by Rs5.95 at Rs231.60 on 12m shares, Bank Al-Falah, firm by Rs1.20 at Rs45 on 11m shares, OGDC, up Rs1.20 at Rs107.40 on 10m shares, Fauji Fertiliser Bin Qasim, higher by Rs1.45 at Rs41.30 on 8m shares, D.G.Khan Cement, up Rs4.20 at Rs95.20 also on 8m shares and Arif Habib Securities, higher by Rs3.15 at Rs120.15 on 7m shares.

Other actives were led by Maple Leaf Cement, up 95 paisa on 11m shares, Pakistan Cement, steady by 35 paisa also on 10m shares and WorldCall Telecom, up 35 paisa on 11m shares.

FORWARD COUNTER: OGDC led the list of actives on this counter, up Rs1.9 paisa at Rs107.36 on 5m shares followed by Lucky Cement, higher by Rs4.40 at Rs112.90 on 4m shares and NCB, sharply higher by another Rs12.81 at Rs292.31 also on 4m shares.