KARACHI, Feb 9: The KSE 100-share index on Friday confidently breached through the psychological barrier of 12,000 on strong early buying but failed to sustain it owing to late weekend selling in some of the pivotals. It reacted to close modestly lower by 22.14 points at 11,844.65.But indications are that it is expected to better the coveted all-time higher level of above 12,000 points established last year to a new peak aided by higher corporate news and strong foreign portfolio buying on selected counters.
After having risen throughout the week on strong dividend-linked buying, stocks suffered modest pruning on the overvalued counters but the underlying sentiment remained uppishly inclined indicating that the current bull-run is not overdone.
The KSE 100-share index, which has risen by about 300 points over the week and targeting its next chart point of 12,000, finished with a modest fall of 22.44 points at 11,844.65 as compared to 11,867.09 a day earlier. The KSE 30-share index fell by 110.37 points at 15,023.93.
While leading index shares fell under the lead of OGDC, National Bank, Pakistan Petroleum and some others, PTCL maintained its upward drive and ended further higher by Rs2.35 at Rs61.35 on 54m shares on strong foreign buying.
“A judicious blend of both strong local and foreign buying on selected counters kept leading out of the market who more than once tried to reverse the trend but selling was absorbed both at the decline and the rise,” analysts said.A leading analyst, however, warns that the market has entered the danger zone and a technical correction is overdue, which could be beyond the intra-day profit-selling. “Sell at the rise and buy at the fall was his advice to the stakeholders in the developing situation”.
But strong foreign portfolio investment both in equity and bond markets continued to inspire fresh speculative buying from all and sundry.
The general perception among the investors is that the technical correction is expected to follow by strong short-covering at the dips as line of action has already been drawn between the bulls and the bears for the next couple of weeks, brokers said.
Owing to weekend selling losers held a lead over the gainers but Rafhan Maize and EFU Life managed to finish higher by Rs60 and 11.40, followed by Arif Habib, National Refinery, PSO, Packages and National Foods and United Bank, up by Rs4 to Rs8.45.
Unilever Pakistan and Clariant Pakistan fell by Rs50 and Rs9.85 respectively. Other prominent losers including Arif Habib Securities, National Bank, Pakistan Oilfield, Pakistan Petroleum, Grays of Cambridge and Gillette Pakistan, off Rs4.80 to Rs9.50.
Total volume was maintained on the higher side at 454m shares as compared to 467m shares a day earlier as losers held a modest lead over the gainers at 166 to 124, with 40 shares holding on to the last levels.
OGDC topped the list of actives, off 45 paisa at Rs129.75 on 72m shares followed by National Bank, off Rs4.80 at Rs293 on 38m shares, Fauji Fertiliser Bin Qasim, lower 35 paisa at Rs33.45 on 24m shares, D.G. Khan Cement, easy 80 paisa at Rs83.50 on 21m shares, Bank Alfalah, lower 15 paisa at Rs51.75 on 18m shares and Pakistan Petroleum, off Rs4.95 at Rs270.55 on 16m shares.
Other actives were led by Pakistan Oilfields, off Rs4.05 on 16m shares, Kot Addu Power, up by 70 paisa on 14m shares and Bank of Punjab, off Rs2.25 on 13m shares.
FORWARD COUNTER: OGDC led the list of actives on this counter, easy 90 paisa at Rs130.10 on 12m shares followed by National Bank, off Rs5.25 at Rs294.20 on 14m shares and PTCL, up by Rs2.85 at Rs61.90 on 12m shares.
MCB came in for active selling at the higher levels and fell sharply lower by Rs7.85 at Rs311.90 on 7m shares and D.G. Khan Cement, lower 75 paisa at Rs84 on 5m shares.
DEFAULTER COS: Half a dozen shares came in for active bouts of buying and selling on this counter, leading among them was Zeal-Pak Cement, off 90 paisa at Rs6.30 on 1.405m shares followed by Crescent Standard Bank, easy 15 paisa at Rs4.85 on 0.810m shares.
Other actives were led by Nimir Chemicals, lower 10 paisa at Rs3 on 0.542m shares, Norrie Textiles, off 35 paisa at Rs2.10 on 0.457m shares and Japan Power, up by 25 paisa at Rs4.80 on 0.322m shares.