Banks give stocks a boost
KARACHI: Led by the financial sector, the stock market built the upside momentum, consistent with the earlier day. The index closed up 363.54 points (0.85 per cent) near its all-time high at 43,270.9.
After a sluggish start due to the Friday factor and in line with trend in regional markets, investors’ began building fresh positions, which carried the KSE-100 index up by 401 points, easily breaking through the 43,000-level resistance.
Dealer Imran Ali at Invest & Finance Securities contended that the bullish spree was supported by local liquidity inflows as concerns over foreign sell-off subsided, with mixed interest in main and sideboard stocks.
Banks outperformed the market, with Habib Bank recording gains of 2.88pc, MCB Bank 2.31pc, United Bank 1.85pc and Bank Alfalah 4.95pc. Together, the four banks contributed 167 points to the index gains. “The sector was likely supported by institutional and foreign buying,” dealer Abra Juma on sales desk at Global Securities said.
While the exploration and production and oil-marketing companies took a breather after the heavy gains on Thursday, cement and pharmaceutical sectors contributed to the day’s rally. Searle Company Ltd rose 4.14pc, GlaxoSmithKline 5pc, Abbott Laboratories 1.32pc, Highnoon Laboratories 1.06pc and Ferozsons 0.39pc.