Volume high, KSE index hits new peak

Stocks rose in strong volume on Friday, with the benchmark index closed at a record high as gains in small and mid-cap stocks more than made up for losses in blue-chip shares.

Analyst Faisal Bilwani at Elixir Securities said equities closed positive with benchmark KSE100 index settling at a new all-time high, helped by buying frenzy in second and third tier stocks. “Activity skyrocketed with the KSE All-Share stealing the show as trading volumes made a new record of 850 million shares, being highest in over ten years (most since March 2005),” Bilwani said.

The Pakistan Stock Exchange's (PSX) benchmark KSE 100-share Index gained 0.33 percent or 147.33 points to close at 40,363.68 points. The highest index of the day remained at 40,473.89 points while the lowest level of the day was recorded at 40,216.35 points. KSE-30 Index, however, shed 0.21 percent or 48.28 points to close at 22,553.89 points.

Turnover surged 60 percent or 319 million shares to 850.50 million shares, trading value rose to Rs16.65 billion against Rs11.42 billion.

Market capitalisation expanded to Rs8.12 trillion from Rs8.09 trillion. Out of 430 companies’ active in the session, 285 recorded in green, 129 in red, while 16 remained unchanged.

Dealers said the day kicked off on a positive note with side-board plays opening gap up and leading early gains, while activity in blue-chip stocks namely cements and financials remained relatively thin in absence of major triggers. Oil stocks rebounded despite weaker global crude on reported institutional buying, while auto sector was mostly at the upper price limits after better than expected monthly sales data.

Analyst Hammad Aman at the Topline Securities said WorldCall Telecom led the volumes with over 114 million shares traded during the day. The stock gained 50 percent since a public announcement regarding acquisition of the majority shares of the company.

Upbeat in sales figures renewed investors’ interest in auto stocks, which led Indus Motors, Millat Tractor, Hinopak Motor and Honda Atlas Cars to close at their upper limit of five percent.

Highest increase was recorded in shares of Indus Motor Co XD, which rose by Rs62.96 to Rs1,322.31/share, followed by Hinopak Motor that increased by Rs53.12 to Rs1,115.54/share. Major decline was noted in shares of Unilever Foods XD, which fell by Rs150 to Rs5,100/share, followed by Island Textile that decreased by Rs35.64 to Rs1,279.91/share.

Significant turnover was recorded in stocks of WorldCall Telecom, Bank of Punjab, NIB Bank Limited, Silk Bank Limited, Lotte Chemical, Pakistan International Airlines, Pace (Pak) Ltd, Dewan Cement, Azgard Nine and TRG Pak Ltd.

WorldCall Telecom remained the volume leader with 114.89 million shares with an increase of 76 paisas to Rs2.83/share. It was followed by Bank of Punjab with 69.51 million shares with an increase of 97 paisas to Rs12.28/share.

Shares’ turnover in the future contracts increased to 49.86 million shares from 40.14 million shares traded in the previous session.