KARACHI, Jan 16: Selective support on Tuesday figured prominently on the blue chip counters as leading investors covered positions at the lower levels amid market talk of higher corporate announcements and payouts, overshadowing the likely negative impact of petroleum price cut on the oil shares.
It appears to be a judicious blend of both local and foreign buying but the local investors followed the latter and rode the bandwagon anticipating higher capital gains in the coming weeks.
The KSE 100-share index posted a fresh good gain of 83.07 points on active follow-up support in the leading base shares, notably PTCL, MCB, and National Bank but the broader market stayed a bit weak. The KSE 30-sharer index also rose by 99.59 points at 13,291.04 points.
However, the leading oil shares confidentially digested the negative fallout of about three to seven per cent cut in prices of petrol and diesel to provide relief to the general consumers. PSO, a oil marketing giant, rose by Rs6.95 at Rs6.95 at Rs316.20 and so did Attock Petroleum, higher Rs6.75.
The finish of the index at the session’s high of 10,590.59 indicates that the run-up could be sustained in the coming sessions also on the strength of corporate announcements from the banking and some other sectors whose financial years closed on Dec 31, 2006.
The leading index-based shares, notably MCB, PTCL, National Bank and OGDC finished with fresh gains, some of them with bigger ones, contributing significantly to the run-up of the index to new year highs.
For the second session in a row, the hereto relatively dormant PTCL came in for fresh strong support apparently by the new management and led the list of most actives, analyst Hasnain Asghar Ali said adding “indications are that it is heading to surpass its base price and to stay well above it.”
Reports that the government has taken the issue of low trading volumes on the bourses also attracted support from some of the inactive investors on the perception that ”it could provide an active bait for the foreign funds,” analyst Ashraf Zakaria said.
Although minus signs dominated the list, Nestle Pakistan and Lakson Tobacco managed to finish with good gains of Rs15 and 22, followed by Mirpurkhas Sugar, ICI Pakistan, United Bank, National Bank, Premier Sugar, National Refinery, MCB, Attock Petroleum, PSO, and Treet Corporation, which posted gains ranging from Rs3 to 9.80.
Jahangir Siddiqui Capital and Fateh Textile fell by Rs9.85 and 22.60. Other prominent losers included EFU General and Life, Blessed Textiles, United Sugar, Mitchell’s Farms, Pakistan Engineering and Colgate Pakistan, off by Rs3.10 to 9.
Trading volume fell to 167m shares from the previous 174m shares as losers held a strong lead over the gainers at 178 to 134, with 39 shares holding on to the last levels.
PTCL again topped the list of actives, up Rs1.95 at Rs51.35 on 36m shares, followed by MCB, higher by Rs6.60 at Rs268.65 on 16m shares, OGDC, firm by 80 paisa at Rs118.90 on 14m shares, National Bank, up Rs3.75 at Rs261.25 also on 14m shares, Pakistan Petroleum off 65 paisa at Rs245.35 on 8m shares and Bank of Punjab, lower 35 paisa at Rs107.55 on 6m shares.
Other actives included WorldCall Telecom, steady by 25 paisa on 7m shares, KESC, up 30 paisa on 6m shares and Lucky Cement, off 80 paisa on 5m shares.
FORWARD COUNTER: PTCL also led the list of actives on this counter, up Rs1.85 at Rs51.35 on 12m shares, followed by MCB, higher by Rs5.40 at Rs268.10 on 9m shares, and National Bank, up Rs3.70 at Rs262.30 on 8m shares.
OGDC followed them, higher by 85 paisa at Rs119.25 on 5m shares and Pakistan Petroleum, lower by Rs1.55 at Rs246.45 on 4m shares.
DEFAULTER COS: Active trading was again witnessed on this counter as Zeal-Pak Cement came in for fresh short-covering, up five paisa at Rs4.40 on 0.399m shares followed by Nimir Chemical, firm by 10 paisa at Rs3 on 0.239m shares and Norri Textile, up15 paisa at Rs4.05 on 0.247m shares.
