KARACHI: The stock market managed to break the four-day losing streak on Friday as the KSE-100 index recorded gain of 127.15 points (0.38 per cent) and close at 33,901.
It took off to a flat start but saw strong volatility throughout the day with the index at the intraday high of 162 points and low of 365 points.
Having lost considerable value in the four days of declining trend which had pulled the market in oversold position, investors set the economic and political worries aside. Moreover, the International Monetary Fund (IMF) Executive Board is scheduled to meet in Washington on July 3 to consider three-year ‘extended fund facility’ of $6 billion for Pakistan.
Investors seemed confident that the board would approve the deal struck after extended staff-level negotiations. Friday being the last closing day of FY19, companies also engaged in window dressing, particularly in the second session. Participants were also relieved by the recovery of the rupee against the dollar after days of local currency weakness.
The volume surged 58pc to 213.5 million shares, from 135m while traded value also increased by 42pc to $39.5m, as against $27.9m.
Sectors that contributed to this gain were cement, utilities, chemical and autos. Among banks, Habib and National Bank closed negative while Allied Bank and MCB closed in the green. Pakistan Petroleum, Oil and Gas Development and Pakistan Oilfields from exploration and production sector ended in red.
A rally was witnessed in the cement sector where Cherat closed near the upper circuit while Lucky, DG Khan and Fauji recovered some of the lost ground on the back of news that industry players might increase and pass on the price of Rs20 per bag due to federal excise duty.
Scrip-wise major gainers were Lucky Cement, up 1.96pc, Fatima Fertiliser 4.99pc, Fauji Cement 3.90pc, Millat Tractors 3.13pc, Pakistan International Bulk Terminal 3.30pc, Abbott Pakistan 4.41pc and Searle Company 1.66pc.
Published in Dawn, June 29th, 2019
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