Stocks ended up on Thursday after three sessions of losses as blue-chip shares gained on an upbeat start to the earnings season, dealers said.
Ahsan Mehanti at Arif Habib Corp said in an emailed comment that stocks showed recovery led by blue chip autos, engineering and cement scrips on expectations ahead of corporate results.
“Oil stocks remained under pressure on weak global crude prices and dismal annual earnings of Pakistan Petroleum Ltd (PPL). Concerns over foreign outflows, global equities selloff and ballooning current account deficit invited intraday profit taking.” However, investor speculations in second and third tier value stocks in the late session rally of the earnings season played a catalytic role in positive close.
The Pakistan Stock Exchange KSE-100 shares index gained 0.76 percent or 371.61 points to close at 49,013.82 points. KSE-30 shares index gained 0.44 percent or 114 points to end at 26,300 points. As many as 421 scrips were active of which 289 advanced, 116 declined and 16 remained unchanged. The ready market volumes stood at 456.497 million as compared to 330.624 million shares a day earlier.
Nabeel Haroon at JS Global said positivity prevailed in the market and steel sector scrips gained to close on their respective upper circuits on the back of the news that NTC has imposed definitive anti-dumping duties against dumped imports of cold rolled coils/sheets in the range of 13-19 percent. “Power Cement gained 5.22 percent on the back of announcement that the company intends to increase production capacity up to 3.37 million tons annually by start of CY19 with a fresh investment of around Rs25 billion.”
Overall investor interest was seen in the cement sector, as the sector gained to close 1.3 percent higher than its previous day close. Cherat Cement (CHCC) up 5.0 percent and D.G Khan Cement (DGKC) up 1.27 percent were major gainers of the aforementioned sector. Textile sector gained as investors weighed in the impact of textile package on the companies’ bottom line in the sector going forward. Nishat Mills (NML) up 5.0 percent and Nishat Chunian (NCL) up 2.88 percent were major gainers of the sector. Moving forward, analysts recommend investors to see any dip in the market as an opportunity to buy.
Companies reflecting highest gains include Wyeth Pakistan up by Rs83.5 to end at Rs4832.5/share and Ghandhara Industries up Rs53.85 to end at Rs1131.63/share.
Companies reflecting highest losses include Bata Pakistan down Rs210.10 to Rs3992.20/share and Sanofi Aventis down Rs125.61 to end at Rs2596.39/share.
Highest volumes were witnessed in Bank of Punjab with a turnover of 32.774 million shares. The scrip gained 13 paisas to close at Rs17.91/share. K-Electric Limited was second with a turnover of 29.852 million shares. It gained 03 paisas to end at Rs9.45/share. Dost Steels was third with a turnover of 22.46 million shares. It gained 62 paisas to finish at Rs14.12/share.