KARACHI: Stocks kicked off the week on a positive note on Monday. The benchmark KSE-100 index increased by 983 points and surpassed the 114,000 level amid speculations about the earnings season.
The Pakistan Stock Exchange’s (PSX) benchmark increased by 982.77 points or 0.87 per cent to 114,230.06 points against 113,247.29 points recorded in the last session. The highest index of the day remained at 114,496.09 points, while the lowest level was recorded at 113,083.86 points.
Ahsan Mehanti, an analyst at Arif Habib Corp, said, “Stocks closed higher led by second- and third-tier scrips amid speculations in the earnings season and progressing government talks with the PTI.”
He said that surging global crude oil prices and an expected cut in the SBP key policy rate announcement this month played a catalyst role in the bullish close at the PSX. The KSE-30 index increased by 272.31 points or 0.76 per cent to 35,983.94 points against 35,711.64 points.
Traded shares increased by 22 million shares to 521.209 million shares from 499.846 million shares. The trading value rose to Rs28.287 billion from Rs24.825 billion. Market capital expanded to Rs14.362 trillion against Rs14.23 trillion. Of the 449 companies active in the session, 280 closed in green, 116 in red, and 53 remained unchanged.
Analyst Naveed Nadeem at Topline Securities said the bulls firmly took control of the trading session, propelling the market to impressive gains. The rally was fuelled by strong buying across sectors, underpinned by optimism over economic indicators and expectations of improved December quarter earnings. Notably, blue-chip stocks and high-volume sectors witnessed heightened investor activity following last week’s market pullback.
GAL from the auto sector continued its upward trajectory, closing at its upper circuit, driven by the successful launch of the new pickup truck, JAC T9 Hunter, which garnered significant attention from investors.
EngroH contributed negatively around 275 points to the KSE-100, as shares were transferred to investors on Monday following the merger. MARI, MTL, UBL, SRVI, and FFC remained the key contributors, collectively adding 620 points.
The highest increase was recorded in Unilever Pakistan Foods Limited, which rose by Rs499.99 to Rs21,400 per share, followed by Service Industries Limited, which increased by Rs126 to Rs1,542.18 per share. A significant decline was noted in JDW Sugar Mills Limited, which fell by Rs55 to Rs913.09 per share; Sapphire Textile Mills Limited followed it, which closed lower by Rs44.08 to Rs1,206 per share.
Brokerage Arif Habib Ltd said that the PSX began the week on a positive note, maintaining Friday’s lows and pushing through the 114,000 level. Analysts maintain a positive outlook for the week as long as the index remains above the 112,000 level, signalling the potential for continued upward momentum.
WorldCall Telecom remained the volume leader with 70.133 million shares, which closed higher by 3 paisas to Rs1.78 per share. Cnergyico PK, with 39.599 million shares, followed it, which closed higher by 27 paisas to Rs6.95 per share.
Other significant turnover stocks included Sui South Gas, Fauji Foods Ltd, K-Electric Ltd, Pak Elektron, Telecard Limited, Pace (Pak) Ltd, Pak Refinery and TPL Properties. In the futures market, 301 companies recorded trading, 261 of which increased, 39 decreased and one remained unchanged.