KARACHI, Feb 2: Stocks on Thursday came in for renewed selling under the lead of major bank and cement shares at the fag-end of the session after bulls failed to sustain the initial gains but there were buyers at the dips on the undervalued counters. The KSE index shed another 31 points at 10,466.40.
However, the selling confined to most of the over-valued shares failed to cause major dents in the prevailing inflated level and pared only extreme gains owing to the presence of support at the dips.
The KSE 100-share index though managed to finish well above the session’s low of 10,429.22 posted fresh fall of 30.55 points to close at 10,466.40. It fluctuated either-way well over 115 points.
Over the last three sessions it has shed 60 points, which were too small a figure viewed in the perspective of its highly overbought positions, floor brokers said.
There was a strong speculation in the market that the index could pass through a downward adjustment of 200 points before resuming its upward march to its next target of 11,000 index level, they said adding ”but bulls are not inclined to join the selected band of bears.”
Market leaders, notably National Bank, MCB from the banking sector and D.G.Khan Cement from the cement counter did attract occasional profit-selling but only to rise further amid active trading.
“As all the leading shares are still ruling around inhibiting levels, investors have opted for low-priced among them, notably those holding potential of capital gains as was reflected by steep decline in the turnover figure,” analysts said.
Low-priced shares including PIAC, KESC, Telecard, Fauji Cement and Fauji Fertiliser Bin Qasim were leading among them and generally rose from the previous levels.
“ I don’t think the market could fall from the current peak levels as upcoming dividend announcements from some of leading companies are sustaining the upturn,” they said adding” and what after that is anybody’s guess.”
Among the prominent gainers, Clariant Pakistan and Dawood Hercules were leading, up Rs13.65 and 17.909, followed by Central Insurance, Attock Petroleum, Engro Chemical, Noon Pakistan, Zulfiquar Industries, Atlas Honda, and Muslim Insurance, which posted gains ranging from Rs6 to 8.60.
Losers were led by Unilever Pakistan and Wyeth Pakistan, off Rs44 and 100 respectively. Other prominent losers included Arif Habib Securities, Attock Refinery, Pakistan Refinery, PSO, Sanofi-Aventis, Gillette Pakistan and Colgate Pakistan, off Rs7.85 to 17.50.
Trading volume suffered a sharp fall at 497m shares from the previous 643m shares as gainers cut short the lead by the losers for the last three sessions at 171 to 188, with 42 shares holding on to the last levels.
Fauji Fertiliser Bin Qasim was actively traded, higher by Rs1.05 at Rs42.70 on 68m shares, followed by D.G. Khan Cement, lower Rs1.70 at Rs129.80 after hitting the day’s highest at Rs134.15, KESC, up 50 paisa at Rs13.20 on 24m shares, Dewan Salman, firm by 50 paisa at Rs19.70 on 24m shares, MCB, off Rs2.50 at Rs214.50 on 22m shares.
Other actives included Bosicor Pakistan, higher by Rs1.55 on 21m shares, Fauji Cement, firm by 40 paisa also on 21m shares and PIAC, up 65 paisa on 19m shares.
FORWARD COUNTER: Fauji Fertiliser Bin Qasim also led the list of actives on this counter and rose by 90 paisa at Rs42.90 on 19m shares followed by D.G.Khan Cement, off Rs1.80 at Rs131.20 on also on 19m shares and Telecard, higher by Rs1.10 at Rs23.60 on 13m shares.
Other actives were led by MCB, off Rs1.35 at Rs217 on 9m shares, and National Bank, lower Rs3.35 at Rs256.15 also on 9m shares and fertiliser shares under the lead of Engro Chemical on light volume.
DEFAULTER COS: Crescent Standard Bank and Dandot Cement came in for active short-covering at the lower levels and rose by 25 and 80 paisa at Rs11.85 and 11.80 on 0.664m and 0.684m shares respectively. Others were traded modestly.