KARACHI, Oct 5: Stocks on Tuesday suffered mild reaction as investors liquidated long positions amid fears of heavy floatation from the Carryover Trade (COT) in the shape of clearing.

But there was no dearth of buyers, notably at the decline and bulk of the selling was absorbed both at the rise and the dip amid active two-way trading.

In an expanded trading volume, the KSE 100-share index suffered a fall of 33.93 points at 5,233.28 as compared to 5,267.21 points a day earlier as all the leading index shares shed their extra weight under the lead of PTCL, OGDC and PPL.

There is nothing in the news to suggest that the current run-up is over as most of the basic fundamentals continue to be bullish, some negative news from the carryover market did trigger a good bit of selling on a number of overvalued counters, analysts said.

"Some of the best dividend news are due during the current week and there is no reasons to believe that bears could have a field day," they said adding "a good part of the dividend-driven rally is just around."

Board meetings of some leading telecom companies are due during the next couple of days and analysts predict some of them could spring pleasant surprises for the investors.

Earning reports aided by higher sales from the cement sector are fairly encouraging and the current bull-run on this sector reflects that investors are encouraged to buy them at the inflated levels followed by reports of a major breakthrough on exports to Dubai and some Middle East destinations.

However, reports of shutdown of the DG Khan Cement unit for annual maintenance for about three months caused selling in it despite rumours of bonus shares, dealers said. But on the other hand Hub-Power was back on the rails after having fallen sharply lower on reports of a substantial progress on the repairs of its three generators and their early re-commissioning, they said.

Leading gainers were led by Askari Bank on rumours of bonus share followed by Jahangir Siddiqui Bank, Noon Textiles, Ghandhara Diesel, Ferzsons Lab, National Refinery and Shell Pakistan, which posted gains ranging from Rs2.25 to Rs5. But the largest rise of Rs13.65 was recorded in AKD Securities on post-dividend buying.

Losers were led by Wyeth Pakistan, which shed a good part of the overnight gain of Rs77, off Rs55 followed by Atlas Honda, Dawood Hercules, Gatron Industries, Millat Tractors, Pakistan Engineering, Pakistan Services and Treet Corporation off, Rs3.45 to Rs10.

Trading volume rose to 276m shares from the previous 243m shares as losers held a fair lead over the gainers at 188 to 141, with 41 shares holding on to the last levels.

DG Cement topped the list of actives, off Rs1.05 at Rs55.95 on 36m shares, followed by Askari bank, higher by Rs2.25 at Rs86 on 33m shares, OGDC, easy 65 paisa at Rs63.95 on 23m shares, PTCL, lower 50 paisa at Rs43.25 on 21m shares, PPL, off 70 paisa at Rs119.90 on 18m shares, National Bank, lower five paisa at Rs70.15 on 15m shares and Hub-Power, firm by also five paisa at Rs30.15 on 12m shares, Fauji Cement, lower by 40 paisa on 11m shares and KSEC whose pre-bidding meeting due on Oct 7, up 30 paisa on 8m shares.

FORWARD COUNTER: PPL led the list of actives, up 10 paisa at Rs119.90 on 18m shares followed by DG Khan Cement, off Rs1.10 at Rs50.20 on 7.234m shares, PTCL, lower 50 paisa at Rs43.40 on 5.367m shares and Hub-Power, up 10 paisa at Rs30.35 on 3.506m shares. Some others were also actively traded.