Stocks on Thursday jumped in joy after finance minister confirmed a $2.3 billion financial assistance by a consortium of Chinese banks, amid bets the IMF bailout inflows are also around the corner, traders said.
Pakistan Stock Exchange's (PSX) benchmark KSE-100 Share Index gained 258.83 points or 0.61 percent to close at 42,716.97 testing a day high of 42,987.88 and a low of 42,458.14 points.
Analyst Ahsan Mehanti at Arif Habib Corp said stocks bounced back on record rupee recovery after the finance minister’s announcement of a $2.3 billion loan agreement with Chinese banks consortium and progress over the resumption of IMF bailout.
ECC approval for Rs149 billion payment to IPPs (independent power producers) and strong economic outlook amid imminent IMF accord gave stocks a needed lift, he said.
The KSE-30 index also climbed 94.55 points or 0.58 percent to 16,353.22 points compared with 16,258.67 points recorded in the last session. Trade volume increased 83 million shares to 349.488 million from 266.090 million shares. Trading value rose to Rs10.136 billion from Rs8.468 billion. Turnover in the futures contracts jumped to 216.535 million shares from 188.945 million shares.
Market capital expanded to Rs7.093 trillion from Rs7.050 trillion. During the session 235 companies advanced, 87 retreated, while 25 closed unchanged.
Topline Securities in a post-market note said equities witnessed a positive session after the IMF country representative acknowledged that significant progress had been made as far as budget 2022-23 goes.
“Discussions between the IMF staff and the authorities on policies to strengthen macroeconomic stability in the coming year continue, and important progress has been made over the FY23 budget,” said Esther Perez Ruiz, Resident Representative of the International Monetary Fund (IMF) to Pakistan in a statement.
Pakistan unveiled a Rs9.5 trillion ($47 billion) budget for 2022-23 this month aimed at tight fiscal consolidation in a bid to convince the IMF to restart much-needed bailout payments.
Sectors contributing to the performance included power (+74.8 points), banks (+52.2 points), technology (+26.4 points), OMCs (+25.9 points) and cement (+15.0 points).
HUBC, BAHL, MCB, SYS, and PSO added 105 points, cumulatively. On the flip side, HBL, FFC, and PPL witnessed some profit-taking as they lost 70 points collectively.
Bata (Pakistan), which jumped Rs150.33 to Rs2,166.83 per share, was the top gainer of the day, while Mehmood Textile, up Rs56.26 to Rs806.48 per share, was the second best performing stock.
Sapphire Fiber led the losers by falling Rs83.08 to Rs1,027.02/share, followed by Thal Industries Corp, which lost Rs21.74 to close lower at Rs268.25/share.
Arif Habib Ltd said stocks rallied across the board after a Chinese consortium of banks signed an RMB 15 billion ($2.3 billion) loan facility agreement, which boosted rupee against USD.
The IPP sector remained in the limelight; however, profit-taking emerged in the last trading hour.
Cnergyico PK was the volume leader with 37.401 million shares. The stock closed higher by 22 paisas to Rs5.78/share. It was followed by Pakistan Refinery with 29.344 million shares. The refiner gained 56 paisas to end at Rs19.54/share. K-Electric Ltd, Unity Foods Ltd, TPL Properties, Pak Elektron, WorldCall Telecom, Oilboy Energy (R), Telecard Limited, and Flying Cement also contributed to the volumes.
KARACHI: NdcTech has joined hands with CaterpillHERs to provide remote based education to female freelancers looking...
KARACHI: Gold prices in the local market increased by Rs1,500 per tola on Tuesday amid Rupee depreciation against the...
LAHORE: Zindigi, powered by JS Bank, has signed a memorandum of understanding with Parks & Horticulture Authority in...
By News DeskLondon: Norway’s Equinor is temporarily shutting down three oil and gasfields after workers went on...
LAHORE: Countries the world over have risen from the ashes despite possessing no material or natural resources. One...
KARACHI: The State Bank of Pakistan injected Rs1.186 trillion liquidity into the money market through an open market...