KARACHI, Nov 12: The stock market on Monday welcomed the announcement of holding of national elections in the first week of January next as investors covered positions at the lower levels but sellers kept to the sidelines anticipating further boost in the share values in the coming sessions. The KSE 100-share index recovered 232 points at 13,656.

“The general elections before January 9 seems to have ended the one crucial phase of protracted political uncertainty on the perceptions that the future sailing may be normal despite fears of agitation by some of the opposition parties,” said analyst Ashan Mehanti.

In the prevailing euphoria, investors apparently ignored the other issues, notably lifting of emergency and the president’s uniform, he said.

The market’s buoyant mood was also well-reflected in the big rebound staged by the KSE 100-share index, which surged by 231.80 points or 1.73 per cent at 13,655.67 on strong short-covering by the local investors and institutional investors, adding Rs75 billion to the market capital at Rs4,170bn. Its junior partner was quoted higher by 298.86 points at 16,312.57.

The chief factor behind the return of the investors was the perception that the sanity would return to the stock trading after the general elections before January 15 as the future government would be well in place ending the current agitation and removing many other irritants, said Ashraf Zakaria.

He said the assumption that the reelection of the president for the second term appeared to be pretty certain and that could well mean the continuity of the current financial and economic policies sent a wave of optimism in the market leading to snap recovery.

“However, return of the foreign investors may be further delayed until the emergency was lifted as they would await fresh development on the political horizon,” some others said.“The current lower levels attained by most of the leading shares, however, provide attractive bait for any prospective investor having strong holding capacity to make fresh investment,” said a leading analyst, adding “but low volume figures showed leading among them are still in two minds about the future share market outlook”.

Plus signs dominated the list under the lead of Colgate Pakistan and Rafhan Maize Products, up by Rs32.40 and Rs100 respectively. Lakson Tobacco, JS & Co, JS Global, EFU General, Thal Jute, Attock Refinery, HinoPak, Dawood Hercules, Ferozsons Lab, Sanofi-Aventis, Wyeth Pakistan, BOC Pakistan, Clariant Pakistan, Sitara Chemicals and Packages, which posted gains ranging from Rs10.40 to Rs21.95.

Prominent losers were led by KSB Pumps and Unilever Pakistan, off by Rs13 and Rs97 respectively. Others fell fractionally barring Shield Corporation, Pak-Suzuki Motors, Siemens Pakistan, Quetta Textiles and Shell Gas, off by Rs3 to Rs13.Trading volume did not match the selective buying and was maintained at the weekend level of 220m shares, but gainers forced a strong lead over the losers at 255 to 82, with 29 shares holding on to the last levels.

TRG Pakistan led the list of actives, up by Re1 at Rs13.50 on 22m shares followed by OGDC, higher by Rs1.05 at Rs116.90 on 14m shares and National Bank, sharply higher by Rs9.25 at Rs239.25 on 14m shares.

Attock Refinery, up by Rs12.20 at Rs280.20 on 13m shares, Pakistan Petroleum, firm by Rs1.40 at 251.45 on 8m shares, Pakistan Oilfields, lower 30 paisa at Rs333 on 7m shares and Engro Chemical, up by Rs3 at Rs272 also on 7m shares.

Other actives were led by Arif Habib Securities, higher by Rs7.85 on 5m shares, Lucky Cement, up by Rs2.25 also on 5m shares and Zeal-Pak Cement, higher by 50 paisa on 5m shares.

FORWARD COUNTER: National Bank led the list of actives on this counter, higher by Rs10.40 at Rs240.50 on 5m shares followed by OGDC, up by Rs1.05 at Rs117.55 on 4m shares and MCB, higher by Rs9.05 at Rs355.05 also on 4m shares.