KARACHI, Oct 30: The post-Eid holiday trading session on the stock market on Monday witnessed a volatile performance as investors played on both sides of the fence but the underlying sentiment remained uppishly inclined aided by higher corporate announcements and strong selective support.
After a week’s closure on account of extended Eid holidays, stocks resumed trading on a higher note as pent-up demand early came in a big way aided partly by higher earnings reports by some of the leading banks but mid-session selling in the leading cement shares allowed them to finish with clipped gains.
The KSE 100-share index finished the session, off 38.53 points at 11,528.27 after hitting the day’s highest and the lowest at 11,631 and 11,438, respectively, amid alternate bouts of buying and selling.
The KSE 30-share index fell by 38.89 points at 13,981.67 as compared to previous 14,020.56 points as leading oil, auto and cement shares came in for active profit-selling and ended sharply lower.
“The post-Eid holiday trading session was greeted by a judicious blend of both positive and negative news but late selling triggered by confusion whether or not the short-selling will be allowed in the November settlements carried the day,” leading analyst Ahsan Mehanti said.
But another leading analyst Faisal A. Rajabali said the market being in an overbought position needed correction and that came in the form of profit-selling at the highly inflated levels.
“But I don’t think the bull-run is over for the time being,” he said adding “the corporate announcement coming in, notably from the banks and some leading oil shares could keep the market in a good shape in the coming sessions.”
Some others said the market has already undergone the needed correction and it could stage a smart rally any time aided by higher corporate earning from the leading financial and industrial sectors.
Bank shares, notably MCB, National Bank and Bank of Punjab virtually raced toward their new chart levels followed by reports of EPS at 16.50, 19.75 and 10.50 and some of them finished around their upper locks of the circuit breakers.
Leading oil shares, notably OGDC and Pakistan Oilfields followed them on EPS of Rs2.87 and 9.35, respectively, but on the other hand active selling in the leading cement shares on reports of official efforts to reduce selling prices of the commodity did not allow the market to maintain a steady earlier posture, analysts said.
The renewed buying in the MCB is based on its GDR price on the London Exchange, which comes to Rs284 and investors followed the cue from London and pushed its prices to that level on the KSE, they added.
Pakistan Oilfields and Siemens Pakistan were leading among the gainers, up Rs47.20 and 48.90, followed by Pakistan Refinery, Thal, Mari Gas, Zulfiqar Industries, EFU General and Life, MCB, Arif Habib Securities, Adamjee Insurance, Sitara Chemical and Pakistan Oilfields, which posted gains ranging from Rs5 to 12.50.
Prominent losers were led by PSO and Shell Pakistan, off Rs11 and 22.50, respectively. Others, which fell sharply lower were: Packages, Gillette Pakistan, Bata Pakistan, Indus Motors, Jahangir Siddiqui and Co, Lucky Cement, Lakson Tobacco, Attock Petroleum and Dawood Hercules, off Rs5 to 8.
Trading volume rose to 285m shares from the previous 236m shares but losers forced a comfortable lead over the gainers at 164 to 140, with 22 shares holding on to the last levels.
OGDC, topped the list of most actives, off Rs3.20 at Rs152.80 on 42m shares followed by National Bank, firm by 15 paisa at Rs293.60 on 27m shares, Bank of Punjab, higher by Rs4.70 at Rs100.45 on 22m shares, MCB, up Rs.7.20 at Rs281.45 also on 22m shares, Bank Alfalah, higher by Rs. 2.40 at Rs50.65 on 18m shares, PTCL easy 15 paisa at Rs43.60 on 16m shares and Pakistan Oilfields, sharply higher by Rs12.50 on 14m shares.
Other actives were led by Fauji Fertiliser Bin Qasim, up Rs1.30 on 19m shares, PICIC, higher by Rs3.15 at Rs66.85 on 13m shares and Pakistan Petroleum, off Rs2.95 on 12m shares.
FORWARD COUNTER: Pakistan Petroleum came in for active selling ahead of its board meeting and fell by Rs3.45 at Rs261.75 on 6m shares, followed by MCB, higher by Rs6.55 at Rs280.85 also on 6m shares, and PICIC, up Rs3.10 at Rs66.70 on 5m shares.
OGDC followed them, off Rs3.05 at Rs153 on 5m shares and National Bank, steady by 35 paisa at Rs293.50 on 4m shares. Others stayed mixed amid light volume.
DEFAULTER COS: Crescent Standard Bank was actively traded on renewed support but was quoted unchanged at Rs4.85 on 1.365m shares. Others were modestly traded mostly on the lower side.
DIVIDEND: Central Insurance, cash 15 per cent, Engro Chemical, second interim 30 per cent, Fauji Fertiliser Bin Qasim, second interim 7.5 per cent, Shell Gas LPG, interim bonus shares, 20 per cent, Arif Habib Securities, bonus shares at the rates 122.222 per cent.
