KARACHI, Jan 25: Stocks on Friday were back on the rails and finished partially recovered followed by active short-covering at the lower levels by all and sundry amid an actively traded session.

Unlike the previous sessions, the rally appears to be genuine as it was supported by heavy buying in the leading base shares, notably OGDC, Attock Refinery, Arif Habib Securities and has more than one reasons for its extension during the next week also.

But in technical terms, it was a repeat performance of the previous weekend session when the index posted a robust rise of 200 points, raising hopes that the worst may be over but the current week’s erratic movements tell a different story.

Worries about the political situation are there but investors seem to have decided to go by the market fundamentals sans speculative trading in an apparent effort not to take undue risks until the national elections.

The KSE 100-share index recovered a good part of the early week losses and was last quoted at 13,856.36, up 137.20 points or one per cent as compared to 13,719.16 a day earlier as some of the leading base shares ended higher.

“The dividend-linked long overdue rally seems to have manifested itself that, too, at the weekend session,” analyst Ahsan Mehanti said adding: “Oil sector may play a pivotal role in sustaining it.”

Pakistan Petroleum’s interim dividend of 50 and 30 per cent on ordinary and preference shares is said to be in line with the analysts’ predictions and could well prove a prelude to some still better working results.

Abbott Lab’s final 30 per cent may be on the lower side of the market expectations but the management has the reasons to maintain it around it owing to some problems being faced by the pharma industry, some others said.

But a five per cent cash and 10 per cent bonus shares by a brokerage house signals that the earning of this sector for the last year ending Dec 31, 2007, may be on the higher side owing to unexpected windfalls, they added.

The next month could give the market the needed push as dividend announcements by the banking, oil and fertiliser sector are due and are expected to evoke strong selective support despite election irritants, they said.

Leading gainers were led by Dawood Hercules and AKD Capital, up by Rs19.25 and 16.60 followed by IGI Insurance, EFU Life, PSO, Shell Pakistan, KSB pumps, Engro Chemical, Packages, Bata Pakistan and Fazal Textiles, up by Rs7 to 16.

Prominent losers included Siemens Pakistan and Lakson Tobacco, off by Rs84.90 and Rs20. Others fell fractionally barring BOC Pakistan, Berger Paints, Abbott Lab, Gillette Pakistan, JS Global and Arif Habib Ltd, which suffered fall ranging to Rs6 to 13.65.

Trading volume rose to 252m shares as compared to 186m shares a day earlier as gainers held a strong lead over the losers at 180 to 93, with 53 shares holding on to the last levels.

NIB Bank topped the list of actives, up 95 paisa at Rs23 on 59m shares followed by OGDC, higher by Rs2.25 at Rs120.25 on 16m shares, Arif Habib Securities, firm by Rs2.20 at Rs177.50 on 13m shares, Engro Chemical, sharply higher by Rs8.20 at Rs277.70 on 9m shares, Netsole, up Rs3.35 at Rs136.85 on 7m shares and Attock Refinery, higher by Rs6.20 at Rs275.80 on 6m shares.

Other actives were led by TRG Pakistan, firm by 60 paisa at Rs13 on 13m shares, followed by Javed Omer, up Rs2.90 at Rs135.30 on 11m shares, Fauji Fertiliser Bin Qasim, steady by 45 paisa at Rs41.20 on 7m shares and Pervez Ahmed Securities, up 70 paisa at Rs59.90 on 6m shares.

FORWARD COUNTER: Sui Southern Gas came in for active support and led the list of actives on this counter, up one rupee at Rs29 on 9m shares followed by PTCL January and February settlement, higher by 44 and 25 paisa at Rs38 and 38.25, respectively, on 6m and 8m shares.