Stocks breach through 30,000 level
KARACHI: After the year’s heaviest monthly fall in August, the market opened on Monday with the bulls in complete command. The KSE-100 index climbed to intraday high by 506 points but later retraced some of the gains to close up by 385 points (1.3 per cent) at 30,057.
Due to some technical ‘glitch’, the start of trading was delayed by 35 minutes, which was compensated by providing additional time of 15 minutes according to rules. Buying was seen across the board and mainly in exploration and production, banking, cement and steel sectors.
The main reason behind the surge in index was attributed to resolution of a host of measures approved by the Securities and Exchange Commission of Pakistan over the weekend that helped investors take a positive view on equities. Besides, expectation of lower inflation reading going forward that hints at reduction in State Bank policy rate rekindled hopes.
Reports of divestment of big stocks Oil and Gas Development Company and Pakistan Petroleum that had dampened investors’ sentiments last week also subsided. E&P was the leading gainer with both OGDC and PPL closing higher.