Stocks lifeless in lacklustre trade

Stocks closed little changed on Thursday in lacklustre trade, as recent weakness in so-called momentum names appeared to abate while a lack of positive cues also weighed on the market.

Ahsan Mehanti at Arif Habib Corp said the market remained directionless as investors await outcome of the Supreme Court decision over JIT probe in the panama case hearings. “Concerns over dismal corporate results in fertilizer sector, foreign outflows and concerns over political uncertainty played a catalytic role in bearish close at PSX.”

The Pakistan Stock Exchange (PSX) benchmark KSE-100 shares shed 0.01 percent or 2.63 points to close at 45,905.76 points. KSE-30 shares index shed 0.17 percent or 40.51 points to close at 23,927.70 points. As many as 365 scrips were active of which 127 advanced, 219 declined and 19 remained unchanged.

The ready market volumes stood at 158.811 million shares as compared with the turnover of 175.731 million shares a day earlier. An analyst at Elixir Securities said equities closed little changed yet again after another session of lackluster and range-bound trading.

“General lack of interest was evident as turnover posted a gloomy figure with just under $40 million worth of shares exchanging hands on benchmark KSE100 Index, down 26 percent from last day.”

Market started on a weaker note and afterwards witnessed range-bound trading with benchmark index hopping in green and red multiple times till end of session.

United Bank (UBL), down 0.6 percent, closed marginally lower after the bank announced earnings in line with the market consensus. Mari Petroleum (MARI), up 1.0 percent, hand hit upper price limit intra-day on announcement of stellar results before succumbing to profit-taking. The company in a notice also announced acquisition of working interests in various development and exploratory blocks.

Going forward, analysts see lackluster trading with investors mainly tracking flows while domestic politics will continue to remain a drag until the Court announces Panama verdict.

Companies reflecting highest gains include Nestle Pakistan up Rs500 to close at Rs10700/share and Rafhan Maize up Rs350 to close at Rs7350/share.

Companies reflecting most losses include Archroma Pakistan down Rs38.57 to close at Rs732.97/share and JDW Sugar down Rs21.15 to end at Rs401.85/share.

Highest volumes were witnessed in Bank of Punjab with a turnover of 26.99 million shares. The scrip shed 21 paisas to close at Rs11.14/share. Azgard Nine was second with a turnover of 17.92 million shares. It shed 63 paisas to close at Rs13.73/share. Sui Southern Gas (SSGC) was third with a turnover of 8.748 million shares. It shed 86 paisas to finish at Rs42.77/share.