Stocks end flat in directionless trade

Stocks closed flat in thin, directionless trade on Thursday as many investors sat on the sidelines in the absence of any market moving news, dealers said.

Arif Habib Limited said market remained range bound and moved within a narrow band of 140 points. “Blue chips were in the red once again and sectors such as steel, cement, banks, fertiliser and E&P stayed muted,” the brokerage said in a post market note.

Pakistan Stock Exchange (PSX) benchmark KSE-100 shares index inched up 0.2 percent or 87.35 points to close at 43,495.07 points. KSE-30 shares index gained 0.07 percent or 14.22 points to close at 21,677.51 points. As many as 381 scrips were active of which 206 advanced, 147 declined and 28 remained unchanged.

The ready market volumes stood at 220.44 million shares as compared with the turnover of 198.432 million shares a day earlier.

Zain-ul-Abedin at Elixir Securities said equities closed with marginal gains after a range-bound and lackluster trading session. “Market opened on a dreary note and continued to witness extremely low activity during the day that led to benchmark index recording lowest turnover in almost three months at $24 million.”

Reports of amnesty scheme, to be announced by the end of this month, failed to stir interest among participants who continued to track institutional flows in key sectors for direction. Volumes were most focused in small cap speculative plays with stocks to the likes of Lotte Chemical Pakistan, which surged 3.9 percent, leading the volumes chart.

Dealers said upcoming result related buying was witnessed in some index names wherein Pakistan Oilfields, up 1.1 percent, Engro Fertilizer, up 1.0 percent, Oil & Gas Development Company, up 1.1 percent and Habib bank Limited gained 1.13 percent.

Going forward, analysts see volatile market mainly guided by flows where activity in index names is expected to pick up near day's end due to FTSE re-balancing

Companies reflecting highest gains include Bata Pakistan up Rs95.17 to close at Rs2,995.17/share and Colgate Palmolive up Rs49.13 to close at Rs3,149.13/share.

Companies reflecting most losses include Rafhan Maize down Rs50 to close at Rs7,700/share and Service Industries down Rs17.8 to end at Rs739.2/share.

Highest volumes were witnessed in Lotte Chemical with a turnover of 34.7 million shares. The scrip gained 38 paisas to close at Rs10.15/share. Nimir Resins was second with a turnover of 13.49 million shares. It gained 97 paisas to close at Rs10.20/share. Fauji Foods was third with a turnover of 14.46 million shares. It gained 75 paisas to close at Rs29.39.