Karachi: Pakistan stock market during the week remained under pressure, especially during the first three days of bearish spell. Profit taking and political situation in Karachi played vital role in bring down the benchmark index from historical highs, above 40,000 level. However, recovery was witnessed in the days to follow with smooth execution on the Future roll over. Market recovered 525 points during the bullish spell. The benchmark Index closed at 39,927 points with 1.08 percent gains. Average daily volumes for the week witnessed also increased by 1 percent, with volumes clocking in at 232 million shares. On the other hand, average daily values for the week fell 22 percent, to Rs 10.1 billion ($96.8 million). The major volume leaders were K-Electric (99.48 million shares), TRG (63.37 million shares), DFML (51.75 million shares), SNGP (48.50 million shares) and AMTEX (44.53 million shares). During the week under discussion foreigners were net buyers of $1.9 million worth of shares. Oil & Gas Exploration sector witnessed net inflow of $7.3 million while Chemical sector witnessed net outflow of $10.3 million. Amongst the major sectors, Tobacco, Food & Personal Care and Oil & Gas Exploration sectors were up 6.2 percent, 2.3 percent and 1.3 percent respectively. On the other hand, Fertilizer and Insurance sectors were down, 3.3 percent, and 1.3 percent respectively, according to Topline Securities. Major result announcements came from Standard Chartered Bank which declared earnings of Rs 2 billion in 2Q2016, down 6 percent YoY. The result was accompanied by cash dividend of Rs 0.75 per share. Glaxosmithkline Pakistan announced its 2Q2016 earnings of Rs 364 million, up 14.2 percent YoY. Revenues of the company rose by 14.5 percent, to Rs 6.8 billion while gross margins of the company clocked in at 23.5 percent. Dawood Hercules announced 2Q2016 earnings and reported profit after tax of Rs 2.2 billion and EPS Rs 4.5, which was higher than expectations. Moreover, company announced interim cash dividend of Rs 9 per share, taking its total payout for the half year to Rs11.5 per share. Dividend was much higher than expectations as well. Key news flows that shaped the market movement during the week included government’s announcement that claimed tax refunds for which payment orders were issued till Apr 30,2016 would be settled by Aug 23, 2016, SSGC submitted its plan to the OGDC to s spend Rs 118.5billion on several of its ongoing and new projects for improving and upgrading its transmission and distribution network, including RLNG transmission projects over the next 5 years, ADB approved $810 million in multi tranche loans for Pakistan’s transmission system, funding rehabilitation in NTDC’s grid, July 2016 service deficit clocked in at $290 billion, a reversal from a surplus of $51 million last year, and due diligence for MCB acquisition of NIB nearing completion, AKD Securities report said. Analysts believe that the ongoing bullish spell will continue during the next week and market may test another highs above the 40,000 level. Foreign and local buying, political situation and development at international level will set the direction of stock market next week.