0
KARACHI, Sept 18: Stocks on Wednesday extended the previous rally but failed to sustain the early run-up owing to active selling in leading base shares, including PTCL and PSO. The KSE 100-share index showed a fractional rise of 0.69 point at 1,962.77.
But the broader market performed well under the lead of energy shares, notably oil refiners allowing most of the blue chips on other counters to finish with fresh good gains.
After early touching the day’s best bid of 1,970.00 points, the KSE 100-share index finished fractionally higher by 0.69 point at 1,962.77 as compared to 1,962.08 a day earlier as leading base shares eased on selling.
The index moved both ways throughout the session as bulls and bears remained locked in a battle of wits to tilt the balance in their respective favours but it remained a no-win situation till the close.
“Active mid-session sell-off in PSO for not any bearish reasons halted the market’s sustained upward drive,” brokers said, adding “we don’t think bears could outwit bulls in the developing scenario.”
PSO, which led the Tuesday’s market advance fell with the same speed on active selling as it did rise but there was no negative news, which could cause the price decline.
Refinery shares on the other hand came in for renewed strong support under the lead of National, Pakistan and Attock refineries followed by active short-covering ahead of dividend announcements.
Stock analysts said it now appeared pretty difficult to predict about the direction of the market as owing to inconsistency in the financial support general investors are not inclined to take long positions even on the blue chip counters.
“Dividend-related selective rally could emerge any day but whether or not it could be sustained is unclear at this stage,” they added.
Among the top gainers, Pakistan Refinery, Shafiq Textiles, Rafhan Maize, Attock Refinery and Wyeth Pakistan were leading, up Rs3.35 to Rs11.
Other leading gainers were led by Orix Leasing, Bank Al-Habib, Mari Gas, Artistic Denim, Pakistan Refinery, HinoPak Motors, Cherat Papers, Packages and Transpak Corporation, up by Rs1.50 to Rs3.35.
Losers were led by Al-Ghazi Tractors, Siemens Pakistan, Millat Tractors, Unilever Pakistan and PSO, falling by Rs1.30 to Rs3.50. Askari Leasing, Engro Chemical, Murree Brewery, Al-Ghazi Tractors and some others also fell by one rupee to Rs1.30.
Trading volume showed a modest increase at 89m shares as compared to 77m shares a day earlier as advancing shares held a fair lead over the losers at 134 to 111, with 71 holding on to the last levels.
PSO led the list of actives, off Rs3.50 at Rs188.25 on 21m shares, PTCL, easy 10 paisa at Rs19.50 on 8m shares, MCB, steady by five paisa at Rs26.25 on 6m shares, Engro Chemical, off Rs1.15 at Rs61.10 on 5m shares, Dewan Salman, up 20 paisa at Rs15.00 on 5m shares and Hub-Power, up 20 paisa at Rs27.40 on 4m shares.
Other actives were led by ICI Pakistan, up 25 paisa on 5m shares, D.G. Khan Cement, higher 30 paisa also on 5m shares, Fauji Fertiliser, up 45 paisa on 4.709m shares and Chakwal Cement, unchanged on 4m shares.
FORWARD COUNTER: Bulk of the selling remained confined to PSO in sympathy with the ready section. It ended sharply lower by Rs3.90 eroding the overnight gain at Rs188.35 on 9.056m shares.
Hub-Power on the other hand came in for active support at the lower level and rose by 15 paisa at Rs24.20 on 4.744m shares followed by PTCL, lower by 20 paisa at Rs19.50 on 3.157m shares.
DEFAULTER COMPANIES: Active trading was again witnessed on this amid reports of mergers and management changes. Suzuki Motorcycles came in for strong support on reports of higher sales and rose 25 paisa at Rs4.50 on 27,500 shares followed by Custodian Modaraba, higher Rs1.10 at Rs3.80 on 21,500 shares.
Saitex Spinning and National Modaraba were also actively traded. While the former fell by 35 paisa at Rs1.15 on 5,000 shares National Modaraba rose by five paisa at Rs0.55 on 5,500 shares. All others were modestly traded.
DIVIDEND: Orix Investment Bank cash 15 per cent; Allwin Engineering, final nil five per cent interim already paid; Battery cash 10 per cent, bonus shares at the rate of five per cent; Askari Leasing, nil for the year ended June 30, 2002.
BOARD MEETINGS: Metropolitan Assurance on Sept 19; Equity Modaraba, Sitara Energy on Sept 21; Javed Omer, Goodluch Industries, Abbott Lab, Genertech Pakistan, Paramount Modaraba, EMCO Industries on Sept 23; Interfund Modaraba, Pakistan House International, Long-Term Venture Capital Modaraba, Ferozsons Lab, Pioneer Cement, Modaraba al-Mali, Modaraba al-Tijarah, Grays of Cambridge, Burma Oil, Elite Capital Modaraba, on Sept 24; National Development Leasing Corporation, Haroon Oils, Fecto Cement, Pakistan Synthetics, Spencer & Co Pakistan on Sept 25; Amin Fabrics on Sept 26; and Caravan East Fabrics on Sept 27.
