KARACHI, Aug 27: Stocks on Friday finished the weekend session on a higher note followed by renewed institutional buying at the lower levels aided by possible election of Shaukat Aziz later in the evening.
A final dividend of 30 per cent plus bonus shares of 50 per cent by board of directors of Pakistan Cables was well-received in the market as its share value rose by another Rs14.30 at Rs205.30 on 7,000 shares. It has already paid an interim dividend of 20 per cent. PICIC came out with an interim dividend of 12.5 percent.
After breaching through the barrier of 5,400 in the morning session, the KSE 100-share index finally finished with an extended gain of 12.90 points at 5,393.99 as compared to 5,381.09 a day earlier.
"It was the second welcome to the new prime minister, who had already made deeper inroads in the top business and stock barons during the last couple of years as a finance minister, the maiden being on his election victory", says a broker "the market may not fail him in the coming years.
The perception that his election in the parliament is sure as the ruling elite has a simple but solid majority in the house triggered fresh buying on selected counters despite weekend selling at the inflated levels.
What seems to have generated strong buying in some of the "safe havens" was reports that Shaukat Aziz has promised to a select gathering of top businessmen to give fresh incentives to investors to keep the bourses on the higher side.
"If that comes true, the index level of 6,000 point may not be that ambitious", predicts a leading stock analyst "there are some inhibiting factors also but the market has the potential to go alone sans negative fallout of the law and order situations".
All eyes are now focused on the fresh financial and economic initiatives Shaukat Aziz takes after he settles down in his new job, he said. The other aiding factor was above market dividend announcements, notably from the Pakistan Petroleum, final being 25 per cent in addition to an interim of 20 per cent.
The board meeting of some leading companies including National Bank, MCB, Bank Alfalah and some others are also due next week on Aug 29 and 30, and according to market talk their payouts could be fairly encouraging.
Despite late selling, the broader market managed to finish on the higher side indicating that the run-up could be sustained during the next week also. Plus signs again dominated the list under the lead of ICI Pakistan National Refinery, Pakistan Cables, Atlas Honda, up by Rs6.35 to Rs17.85 followed by EFU General, Shahtaj Sugar, Murree Brewery, Exide Pakistan, Abbott Pakistan, Glaxo-SKF, Pakistan Resource Insurance and Shell Pakistan, which posted gains ranging from Rs3 to Rs5.15.
Trading volume rose to 247m shares from the previous 169m shares as gainers maintained a fair lead over the losers at 193 to 134, with 43 shares holding on to the last levels.
The active list was topped by F.F.Bin Qasim, up by 40 paisa at Rs22.45 on 24m shares followed by Bank of Punjab, which announced bonus shares at the rate of 20 per cent, off 30 paisa at Rs67.75 on 22m shares, Askari Bank, higher by Rs1.40 at Rs82.15 on 21m shares, ICI Pakistan, sharply higher by Rs6.35 at Rs91.45 on 19m shares, and D.G.Khan Cement, steady 10 paisa at Rs57.25 on 13m shares.
Other actives were led by OGDC, lower 20 paisa on 11m shares, Maple Leaf Cement, up by 80 paisa on 10m shares, PTCL, easy five paisa also on 10m shares, Japan Power, up by 30 paisa on 10m shares and National Bank, lower 10 paisa on 9m shares.
FORWARD COUNTER: Pakistan Petroleum attracted selling at the higher level and eased by 40 paisa at Rs108.30 on 14m shares followed by PTCL, lower 20 paisa at Rs41.80 on 7m shares, OGDC, easy 15 paisa at Rs66.05 on 5m shares, Hub-Power, lower by one paisa at Rs31.18 also on 5m shares and F.F.Bin Qasim, higher by 31 paisa on 4m shares.
DEFAULTER COS: Crescent-Standard Bank came in for active buying and rose by 50 paisa at Rs12.10 on 1.706m shares followed by Biafo Industries, up by 75 paisa at Rs12.55 on 0.243m shares and Lafayette Industries, firm by 15 paisa at Rs4 on 0.215m shares.