KARACHI, July 5: The KSE 100-share index on Thursday briefly broke through the barrier of 14,000 points boosted by positive news from the Islamabad Lal Masjid front and new oil and gas discoveries but failed to sustain it on late selling. It ended with a fresh rise of 73 points at 13,942.
However, late selling by some of the leading bulls was technical and indications are that the weekend session could witness a major breakthrough on this front.
“One should now look beyond this level as in future stock trading investors are expected to play well above this level on the strength of corporate earnings after the Lal Masjid issue is resolved.
Earlier in the session, it steadily rose to hit its career-best level at 14,002.97 but failed to sustain it on late selling in some of the leading base shares and ended with a clipped gains of 72.97 points at 13,942 but its junior partner fell by 12.66 points at 17,053.84 points.Analysts said it should have sustained the newly established all-time peak level but despite surrender of well over 1,200 students of the Lal Masjid seminary the issue is still unresolved. “Fears of army action any time after the deadline is over could well send jitters on the market and that was perhaps why investors played safe.”
However, it now appears to be a foregone conclusion that investors will play beyond the index level of 14,000 after the Lal Masjid issue is amicably resolved, they added.
Higher payout of Rs6.20 per cent unit by the NIT will have a positive impact on its broad portfolio holders and that could cause a fresh buying euphoria linked to higher dividend, some others said.
Much of the activity again remained confined to the oil sector, notably Pakistan Petroleum and OGDC partly on reports of new oil finds and partly to higher world prices followed by cement shares on reports that combined exports of this sector have swelled by well over 100 per cent during the second half of the last fiscal.
Second tier stocks, notably Fauji Cement, Bosicor Pakistan, Telecard and WorldCall Telecom followed them and ended further higher amid active trading as most of them ensured higher capital gains at the current lower rates.
Top gainers were led by JS & Co and Shell Pakistan, up Rs29.90 and 22.90, followed by Arif Habib Ltd, Javed Omer, Shell Gas, Shell Pakistan, Shezan International, Treet Corporation, Pak-Suzuki Motors, and Pakistan Services, which rose by Rs10.35 to 20. There were several other good gainers also.
Prominent losers included Colgate Pakistan and Bata Pakistan, off by Rs10 each. They were followed by MCB, Atlas Insurance, Pakistan Resource Co, Gatron Industries, Mirpurkhas Sugar, Attock Petroleum, Pakistan Engineering, HinoPak, Clover Pakistan, Colgate Pakistan and Bata Pakistan, which suffered fall ranging from Rs5.20 to 10.
Trading volume showed modest rise at 383m shares as compared to 360m shares a day earlier as gainers held a strong lead over the losers at 243 to 126, with 40 shares holding on to the last levels.
Fauji Cement topped the list of actives, up one rupee at Rs21.70 on 34m shares followed by Hub-Power, firm by 40 paisa at Rs37.60 on 25m shares, Bosicor Pakistan, steady 15 paisa at Rs20.35 on 24m shares, Arif Habib Securities, sharply higher by Rs6.10 at Rs127.50 on 19m shares, Pakistan Petroleum, up by Rs2.70 at Rs271.20 on 16m shares, OGDC, steady by 35 paisa at Rs121 on 16m shares and Telecard, up one rupee at Rs14.50 on 11m shares.
Other actives were led by TRG Pakistan, lower by 85 paisa on 16m shares, D.G.Khan Cement, off Rs1.35 on 9m shares and WorldCall Telecom, lower 15 paisa on 8m shares.
FORWARD COUNTER: Telecard led the list of actives on this counter, up one rupee at Rs14.65 on 6m shares followed by Lucky Cement, off by Rs2.70 at Rs135.30 on 4m shares and Pakistan Petroleum, higher by Rs2.80 at Rs272.80 on 4m shares.
D.G.Khan Cement followed them, lower by 70 paisa at Rs118.60 on 3m shares and Maple Leaf Cement, up 25 paisa at Rs25.20 also on 3m shares.
DEFAULTER COS: Japan Power again led the list of actives on reports of management change and rose by one rupee at Rs8.75 on 7.146m shares followed by Nimir Chemical, steady by 15 paisa at Rs5.65 on 4.302m shares and Zeal Pak Cement, firm by 10 paisa at Rs5.60 on 0.482m shares.
Other actives included Asset Investment Bank, steady by 15 paisa at Rs5.10 on 0.332m shares, Crescent Standard Modaraba, up 35 paisa at Rs1.85 on 0.261m shares and Norrie Textiles, lower by 10 paisa at Rs2.60 on 0.242m shares. S.S.Oils and Quice Foods were also actively traded on the higher side.