KSE-100 index gains 198 points amid earnings rally

KARACHI: Stocks maintained a positive trend for the second consecutive session on Tuesday. The benchmark KSE-100 index slightly increased by 198 points, driven by earnings reports.

The Pakistan Stock Exchange’s (PSX) benchmark KSE 100 Index increased by 197.98 points, or 0.17 per cent, to 114,528.09 points, up from the 114,330.10 points recorded in the last session. The highest index of the day remained at 115,889.60 points, while the lowest level was recorded at 114,178.56 points.

Ahsan Mehanti, an analyst at Arif Habib Corp, said, “Stocks closed higher in the earnings season rally at PSX amid robust financials in fertiliser, cement, oil and banking scrips.”

He further said that expectations for a cut in industrial power tariff, thin inflation for Feb 2025, privatisation of SOEs and positive IMF review talks next week played a catalyst role in the bullish close at the PSX.

The KSE-30 index increased by 86.46 points or 0.24 percent to 35,698.95 points against 35,612.49 points.

Traded shares increased by 40 million shares to 495.984 million shares from 455.533 million shares. The trading value rose to Rs29.362 billion from Rs25.888 billion. Market capital expanded to Rs14.129 trillion against Rs14.104 trillion. Of 444 companies active in the session, 169 closed in green, 223 in red, and 52 remained unchanged.

Analyst Naveed Nadeem at Topline Securities said the KSE-100 index showed an upward trend, supported by local fund buying, as reported by NCCPL. It reached a high of 115,890 points before closing at 114,528 points, gaining 198 points or 0.17 per cent.

The rise was largely driven by BAHL, MCB, OGDC, MLCF and MARI, which together contributed 296 points to the overall gain. In contrast, FFC, HUBC and TRG contributed a loss of 146 points to the index.

The highest increase was recorded in Hoechst Pakistan Limited, which rose by Rs194 to Rs3,194 per share, followed by The Thal Industries Corporation Limited, which increased by Rs34.70 to Rs386.04 per share. A significant decline was noted in Rafhan Maize Products Company Limited, which fell by Rs42.75 to Rs9,323 per share. Pakistan Services Limited followed this, closing lower by Rs25.17 to Rs1,080.21 per share.

Looking ahead, analysts anticipate a close above 115K this week, which could set the stage for a move toward previous highs. The current market setup suggests limited downside risk, with signs of upside acceleration gaining traction.

Fauji Cement remained the volume leader with 61.091 million shares, which closed lower by Rs1.01 to Rs41.46 per share. Maple Leaf, with 33.825 million shares, followed it, which closed higher by Rs2.09 to Rs51.13 per share.

Other significant turnover stocks included At-Tahur Ltd, K-Electric Ltd, Pak Elektron, B O Punjab, Al-Shaheer Corp, Aisha Steel Mills, WorldCall Telecom and Kot Addu Power.

In the Futures Market, 334 companies recorded trading, 150 of which increased, 178 decreased and 6 remained unchanged.