Stocks end up 1.89pc on strong earnings outlook

Stocks on Thursday kept moving on the recovery path as investors shrugged off oil woes and fresh buying lifted the benchmark Index up nearly two percent, dealers said. 

Analyst Ahsan Mehanti at Arif Habib Corp said stocks continued to recover, led by select shares on strong earnings outlook.

“Foreign inflows, government development commitments in federal budgets, and subdued noise over panama case ahead of Eid holidays, played a catalytic role, ignoring slump in global crude prices,” Mehanti said.

The KSE 100-share Index of Pakistan Stock Exchange gained 1.89 percent or 857.85 points to close at 46,332.31 points. KSE 30-share Index was up 2.13 percent or 503.53 points to end at 24,176.05 points.

As many as 383 shares were active; of which 259 increased, 106 decreased and 18 remained unchanged. The ready market volumes stood at 294.87 million shares as compared to 346.468 million shares a day earlier.

Elixir Securities said equities extended gains and closed up on the last working day of the week before Eid holidays. The market will resume operation from Thursday. 

Market kicked off on a positive note and steadily increased during the day as notable index names across major sectors inched up on healthy institutional buying. Habib Bank (up 2.8 percent), Lucky Cements (rising 4.3 percent), Engro Corp (increasing 3.4 percent), Fauji Fertilizers (climbing 5.0 percent) and Dawood Hercules (jumping 5.0 percent) were among the top five movers.

Moreover, K-Electric (up 2.2 percent) closed higher and dominated volume chart after churning most volumes since early February. Amreli Steels hit the upper price limit after the National Tariff Commission slapped 24 percent anti-dumping duty on import of Chinese steel billets.

Analysts said the market next week will be guided by multiple factors, including direction of foreign flows and global crude performance, while investors will keep following developments on ongoing investigation related to Panama case.

Companies, reflecting highest gains, included Millat Tractors up Rs63.03 to close at Rs1,399.07/share and Hinopak Motor that rose Rs49.58 to end at Rs1,370.83/share.

Companies, with most losses, included Rafhan Maize down Rs250 to end at Rs6,850/share and Honda Atlas Cars that fell Rs31.46 to close at Rs827.66/share.

Highest volumes were witnessed in K-Electric with a turnover of 68.234 million shares. The share gained 15 paisas to close at Rs7/share.

TRG Pakistan was the second with a turnover of 15.762 million shares. It shed 65 paisas to end at Rs42.07/share. Bank of Punjab (R) was the third with a turnover of 14.889 million shares. It inched down one paisa to finish at Re0.05/share.