PSX logs best day since Aug last; foreign buying at play

Pakistan stocks market gained more than one percent on Wednesday to close at the nine-month high of 35,317.56 points as foreign buyers moved to fill up blue-chips inventory, dealers said.

PSX member Zafar Moti told The News that the market rose on foreign buying, which increased massively despite declining oil prices and political uncertainty.

Foreign portfolio investment amounted to $4.84 million only on Monday and Tuesday.

The Pakistan Stock Exchange’s (PSX) benchmark KSE 100-share Index closed up 420.26 points, or 1.20 percent, to 35,317.56 points.

The highest index of the day remained at 35,440.13 points, while the lowest level of the day was recorded at 34,897.30 points.

KSE 30-share Index increased 299.39 points, or 1.47 percent, to 20,616.73 points.

Volume climbed 41.6 percent to 279 million shares and value surged 87 percent at Rs17.2 billion.

Market capitalisation improved to Rs7.30 trillion as against Rs7.23 trillion. Of a total of 386 companies, 218 closed up, 145 in ended down and 23 remained unchanged.

Analyst Hammad Aman at Topline Securities said cement and banks led the index rally. This level was last observed in August 2015, Aman said.

There was a rally in Habib Bank Limited, MCB Bank Limited, Oil and Gas Development Company and Engro Corporation.  Lucky Cement closed at its upper limit, contributing 66 points to the index.

Analyst Ahsan Mehanti at Arif Habib Corp said bullish sentiments, led by oil, cement and fertiliser scrips on strong economic outlook, continued in the post earning season.

Foreign inflows and expected favourable reviews from the International Monetary Fund and Asian Development Bank invited fresh institutional interest in cement and textile stocks.

Highest increase was recorded in Rafhan Maize SPOT. Its share value was up Rs349.67 to Rs9,099.67/share, followed by Mari Petroleum XD that rose Rs38.21 to Rs802.45/share.

Major decrease was registered in Siemens Pak. Its share price was down Rs39.26 to Rs1,043.74/share, followed by Sapphire Fiber that fell by Rs24 to Rs555/share.

Significant turnover was recorded in stocks of Pakistan Telecommunication Company Limited XD, TRG Pak Ltd, Sui Northern Gas Pipeline Limited, Bank of Punjab, K-Electric Ltd, Pak Elektron, TPL Trakker Ltd, Oil and Gas Development Company Limited, Sui Southern Gas Company and Engro Corp.

PTCL XD remained the volume leader with 23.71 million shares with an increase of nine paisas to Rs14.90/share. It was followed by TRG Pak Ltd with 22.29 million shares with an increase of 87 paisas to Rs36.12/share. 

Shares’ turnover in the future contracts increased to 54.94 million shares from 38.14 million shares traded in the previous session.