KARACHI, Feb 23: After a brief interruption, stocks on Thursday were back on the rails boosted by reports of new oil and gas finds in the NWFP province and higher corporate payouts by the banking sector.
Massive buying in OGDC followed by other stakeholders in the new discovery led the snap rally as most of them finished around the higher ceiling rates ably assisted by leading bank shares ahead of their board meetings. Among the positive external factors, the proposed investment deal with US announced by President Bush and a number of trade and commerce agreements with China were also positive developments.
The KSE 100-share index fully recovered the overnight loss and was quoted higher by 165.25 points at 11,609.37 as compared to 11,444.12 a day earlier, reflecting the strength of leading base shares. Traded value also rose by Rs44.501bn at Rs3,308.986bn.
OGDC, Pakistan Petroleum and Pakistan oilfields remained in strong demand throughout the session being the chief beneficiary of the new oil and gas discovery in Tal block.
Although the exact amount of reserves is still to be determined, initial findings reflect positive results and there could be a major breakthrough, analysts said.
Under the lead of National Bank aided by reports of unloading of its 5.83 stake in Bank al-Jazira, which at one stage hit the widely speculated level of Rs300 followed by Bank of Punjab and Faysal Bank, also performed credibly well and aided the prevailing buying euphoria.
Askari Bank’s final dividend of 15 per cent plus bonus shares and United Bank’s 25 per cent cash and an identical amount of bonus shares has also raised hopes of outstanding payouts by their counterparts.
“The market sentiment was further boosted ahead of board meetings of some leading companies, notably PTCL, OGDC, Faysal Bank, D.G.Khan Cement, Nishat Mills and PICIC whose boards may come out with good results”, they said.
But on the other hand PTCL share failed to react favourably to reports that its management will be handed over to Etisalat during the next two weeks after the payment of $1.14 billion, official sources said.
Pakistan Oilfields and Unilever Pakistan topped the list of gainers, up by Rs29.80 and Rs40 followed by Central Insurance, Gatron Industries, Shell Pakistan, National Foods, Mari Gas, Jahangir Siddiqui Capital Markets, Pakistan Petroleum, Ferozsons Lab, Rafhan Maize, Millat Tractors and Attock Petroleum, which posted gains ranging from Rs6.10 to Rs16.10.
Losers were led by Nestle Pakistan and Wyeth Pakistan, off Rs20 and Rs90 respectively. Other prominent losers included Bhanero Textiles, Thal, Treet Corporation and Colgate Pakistan, off Rs9.90 to Rs15.
Trading volume soared to 114m shares owing to massive buying in OGDC ahead of its board meetings and rumours of a higher interim dividend, up by Rs4.75 at Rs152.75 on 114m shares followed by D.G. Khan Cement, firm by Rs1.70 at Rs143.70 on 51m shares, Bank of Punjab, up by Rs2.90 at Rs126.50 on 48m shares, National Bank, higher by Rs3.35 at Rs294.80 on 41m shares, Pakistan Petroleum, higher by Rs14.30 at Rs300.80 on 39m shares, Pakistan Oilfields, up by Rs29.80 at Rs625.80 on 28m shares and Faysal Bank, higher by Rs3.80 at Rs89.80 on 26m shares.
Other actives were led by MCB, off Rs1.85 on 32m shares, Lucky Cement, firm by 35 paisa on 24m shares and PTCL, easy 10 paisa also on 24m shares.
FORWARD COUNTER: OGDC was also actively traded on this counter, up by Rs5.10 at Rs156.40 on 18m shares followed by its February settlement, higher by Rs4.60 at Rs152.85 on 14m shares and PTCL, March and Februray settlement, off 30 and 28 paisa at Rs68.05 and Rs66.65 respectively on 12m and 10m shares.
Pakistan Petroleum rose by Rs14.32 at Rs300.82 on 8m shares. Some others also showed sharp gains on light trading.
DEFAULTER COS: Dandot Cement again came in for active support and rose by 50 paisa at Rs13.60 on 0.751m shares followed by Indus Fruits, higher Re1 at Rs5.80 on 0.278m shares and Quice Foods, up by Re1 at Rs7.35 on 0.122m shares. Others showed fractional changes on light turnover.
DIVIDEND: Askari Commercial Bank, cash 15 per cent, bonus shares 33 per cent, Mari Gas, interim 20.98 per cent, Bata Pakistan cash 40 per cent, Pakistan Services, interim 15 per cent.