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Tuesday October 26, 2021

Stocks turn flat in choppy trade

October 13, 2021
Stocks turn flat in choppy trade

Stocks on Tuesday closed flat following choppy trade as investors wait for important security decisions as well as for companies to file their earnings due this week, traders said.

Pakistan Stock Exchange (PSX) benchmark KSE 100-share index inched slightly up 0.12 percent or 53.73 points to close at 43,883.08 points level. The index closed at 43,829.35 points level in the previous session.

Intraday high was 44,047.12 points, while the lowest level of the day was recorded at 43,149.21 points.

Analyst Ahsan Mehanti at Arif Habib Corp said, “Stocks showed recovery led by selected scrips across the board ahead of quarter end financial results due this week on reports of surge in exports and fresh SBP curbs in dollar buying to stall falling rupee.”

Speculations on likely release of $1 billion International Monetary Fund (IMF) under the extended fund facility this month, approval of $3.6 billion Saudi deferred payment facility, and surging global crude oil prices played a catalytic role in the bullish close, he added.

KSE-30 shares index, however, closed down by 12.55 points or 0.07 percent to 17,217 points against 17,229.55 points.

Number of traded shares increased 178 million to 404.91 million shares, compared to 226.57 million shares traded during the last session. Traded value rose to Rs15.60 billion from Rs8.27 billion.

Market capital slightly climbed up to Rs7.686 trillion from Rs7.678 trillion previously. Out of 535 companies active in the session, 217 gained, 302 lost, while 16 remained flat.

Analyst Haris S Khan at Topline Securities said the index witnessed a volatile session, with an intra-day low of 43,149 (down 1.55 percent) and an intra-day high of 44,051 (up 0.51 percent) to eventually close the day at 43,883 points level.

“Sentiments remained choppy as the delay in the ISI chief notification kept the investors cautious,” he said. “Moreover, higher international oil prices kept concerns alive over inflationary pressures and further monetary tightening by the SBP.”

Commercial banks continued to see investor interest, as the sector closed up on average 2.20 percent for the day. Habib Bank, United Bank, Bank Al Habib, Bank of Punjab (BOP) and Bank Alfalah cumulatively added 175.79 points to the benchmark.

On the other hand, TRG alone dragged the index lower by 89.81 points and closed the day at 141.09, down 5.46 percent for the day.

The highest gainers were Sapphire Textiles, up Rs40 to close at Rs1,070/share, and Abbott Lab, up Rs19.96 to close at Rs777.96/share.

Companies posting the highest declines were Wyeth Pak Ltd, down Rs42.40 to end at Rs1,607.60/share, and Pak Tobacco, down Rs42.33 to end at Rs1,149.67/share.

Market remained directionless during the session and closed flat with a slight increase in the benchmark index, while KSE-30 witnessed a decline, an analyst said. WorldCall Telecom remained the volume leader with 51.14 million shares. It shed 4 paisas to close at Rs2.21/share. It was followed by Telecard Limited with 27.58 million shares. Its scrip shed 72 paisas to end at Rs16.55/share.

Stocks that recorded significant turnover included Treet Corp, Unity Foods Ltd, BOP, Kot Addu Power, Hum Network, TRG Pak Ltd, TPL Corp Ltd and Byco Petroleum.

Shares’ turnover in the future contracts increased to 129.39 million shares from 97.32 million shares in the previous session.