Oil sector helps stocks close above session lows

KARACHI: Stocks on Thursday managed to close up in a listless trade as investors cautiously play awaiting political stability, dealers said.

Elixir Securities, in a report, said equities closed a little changed in a range-bound trade and on dull volumes. 

“Wednesday’s foreign net buying failed to induce local interest as political noise, lack of immediate triggers and upcoming Ashura (Muharram 9 and 10) days kept most participants at bay,” the brokerage added. 

The KSE 100-share Index of Pakistan Stock Exchange gained 0.17 percent or 72.72 points to close at 42,362.87 points. KSE 30-share Index rose 0.12 percent or 25.77 points to end at 21,629.27 points.

As many as 382 shares were active; of which 234 increased, 127 decreased and 21 remained unchanged. The ready market volumes stood at 140.399 million shares as compared with the turnover of 146.791 million shares a day earlier.

Analyst Ahsan Mehanti at Arif Habib Corp said stocks witnessed institutional interest despite political uncertainty. “Concerns remained over the Asian Development Bank’s warnings on economic challenges and ballooning current account deficit,” Mehanti added.

Higher global crude prices, foreign inflows, improving Pakistan-US relations, an expected continuation of European Union’s generalised scheme of preferences plus scheme and upbeat financial results supported the index to close the above session lows.

Oil was the only mainstream sector, which closed in black. Pakistan Oilfields, up 3.6 percent, was the star performer, led by an anticipation of a sizeable production from its recently announced hydrocarbon discovery.

Meanwhile, interest returned in National Bank of Pakistan with its stock seeing a relatively good trade after hitting limit down in the past three consecutive sessions in wake of a court’s decision in a pension liability case. The bank’s share was, however, down 2.1 percent. 

Analysts see listless trading to continue in the near-term with the Index consolidating in a range of 500 points. Companies, reflecting highest gains, included Rafhan Maize up Rs193 to close at Rs7,299/share and Nestle Pakistan that rose Rs99.51 to end at Rs12,999.50/share.

Companies, with the most losses, included Bata Pakistan down Rs50 to end at Rs2,900/share and Mari Petroleum that fell Rs25.18 to close at Rs1,501.32/share.

Highest volumes were witnessed in Bank of Punjab with a turnover of 12.309 million shares. The scrip gained 36 paisas to close at Rs9.60/share. Kohinoor Spinning was the second with a turnover of 10.395 million shares. Its share price was up 19 paisas to end at Rs6.30/share. TRG Pakistan was the third with a turnover of 7.35 million shares. Its stock value rose six paisas to finish at Rs37.1/share.