KARACHI, Oct 24: Stocks on Wednesday maintained a bullish outlook as massive renewed buying in the pivotals under the lead of the PTCL pushed the KSE 100-share index to breach through the barrier of 1,400 points.

The index finally finished around 1,400.32 points as compared to previous 1,359.61 points, up 40.71 points or 3 per cent, adding Rs.8.475bn to the market capitalization at Rs.342.737bn.

“The index owes its strength to strong buying in the leading base shares, PTCL and Hub-Power, which together hold a weightage of 43 percent in it,” stock analysts at the W.E. Financial said.

However, the rally was broad-based and signalled the investor approval of the developing financial scenario and its likely impact on the economy and the capital market during the coming sessions.

Massive buying in the PTCL, ably assisted by Hubco, ahead of its board meeting tomorrow appears to be the chief stimulating factor for renewed run-up. The PTCL board may not consider the accounts but the market talk is that higher earnings could well mean a handsome dividend at a later stage.

It turned out to be a massive volume of l118m shares, up 85 paisa at Rs.18.15, as the brokerage houses signalled to their clients to have it below the Rs.20 level.

But Hubco was not inclined to take even a technical breather, as it has risen by over Rs.6 during the last couple of sessions, notably after the approval of 17 per cent interim dividend by its lenders. Market talk of a higher final dividend continues to inspire fresh speculative buying in it.

Other blue chips, still ruling at an attractively lower levels, also attracted strong support and rose appreciably under the lead of PSO, which surged by Rs.3.90 and Engro Chemical, which rose by Rs.4.75.

“The market is now in the tight grip of speculative forces and could rise to new peak levels as investors are not inclined to take a negative view of the war in Afghanistan,” stock analysts at the Moosani Securities said. “The next index level could be 1,450 as the current mood of the market reflects.”

A leading analyst at the Finex Securities said foreign aid packages, removal of economic sanctions and strong presence of both local and foreign support continued to inspire covering purchases from some of the leading genuine investors.

Plus signs again dominated the list under the lead of Shell Pakistan and Nestle Milk Pak, which posted sharp gains ranging from Rs.13.50 to 24 on active short-covering and the pressure on floating stock.

Other prominent gainers were led by the PSO, Pakistan Oilfields, BOC Pakistan, Engro Chemical, Murree Brewery and General Tyre, which rose by Rs.3 to 6.

Losers were led by Jahangir Siddiqi & Co, Sana Industries, Cherat Paper, Sapphire Textiles, Dawood Hercules and Lever Brothers, which suffered fall ranging between Rs.1.75 and 4, the largest being in Lever Brothers.

Trading volume rose further to 283m shares from the previous 279m shares as gainers maintained a strong lead over the losers at 132 to 61, out of 232 active, with 31 holding on to the last levels.

PTCL topped the list of most actives, up 85 paisa at Rs.18.15 on 118m shares followed by Hub-Power, also higher by 85 paisa on 106m shares, PSO, up Rs.3.90 at Rs.114.25 on 13m shares, Engro Chemical, higher by Rs.4.75 at Rs.57.60 on 11m shares and Fauji Fertilizer, up one rupee on 5m shares.

Other actives were led by Sui Northern, firm by 20 paisa on 5m shares, ICI Pakistan, higher Rs.1.20 on 4m shares, Nishat Mills, steady 35 paisa on 3m shares, Japan Power, firm by 35 paisa on 2.508m shares and Dewan Salman, up 40 paisa on 2m shares.

FUTURE CONTRACTS: PSO remained in strong demand on the forward counter in sympathy with its counterpart on the ready section and passed through emergence clearing, up Rs.4.10 at Rs.114.60 on 69,500 shares.

PTCL proved to be the most active scrip, up 75 paisa at Rs.18.15 on 2.959m shares followed by Hub-Power, higher Rs.1.10 at Rs.22 on 1.444m shares. others were also actively traded.

DEFAULTER COMPANIES: Activity on this counter was relatively slow where three ships came in for stray support under the lead of Colony Textiles, up 15 paisa at Rs.8.75 on 500 shares, followed by Saitex Spinning and Allied Motors, higher each 10 paisa on 500 shares.

DIVIDEND: Pakistan Papersack Corporation, cash 15 per cent for the year ended June 30, 2001.

BOARD MEETINGS: Ferozsons Lab, Polyron on Oct 29, Safa Textiles and Balochistan Wheels on Oct 31, and Pak Suzuki Motors Company on Nov 5, 2001.