Stocks gain 487 points on foreign buying
KARACHI: The stock market staged a strong rally on the first trading day after a long weekend.
The KSE-100 index spiralled upwards by 487.63 points to close at 30,954.83, underpinned by positive expectations from the ongoing Financial Action Task Force meeting in Bangkok, higher international oil prices, uptick in urea prices, investors’ positive outlook of rate cut in the upcoming monetary policy and formation of stock brokers’ committee to consider the stock market situation.
On the political side, US President Donald Trump assured that his offer of mediation is still on the table and acknowledged that the tensions between Pakistan and India had cooled a bit.
The market started off on a firm note and the index propelled to intra-day high by 553 points. Share prices rose across the board except in the cement, steel and oil and gas marketing companies sectors.
Cement sector remained under pressure on account of profit booking as well as increase in international coal prices. Reports suggested the Fauji Fertiliser had increased urea prices, which pushed the price of its stocks up. Engro Fertiliser (EFERT) and Fatima Fertiliser also gained, while Fauji Fertiliser Bin Qasim Ltd close in the negative zone.