Stocks close high amid selling pressure

KARACHI: Pakistan equities, in the last trading day of the week, closed positive with benchmark KSE-100 Index settling at 43,809 level, up 0.3%.

The bourse remained in the red zone in the first half of the trading session, making a low of -393 points. However, it recovered after selling pressure eased off as volumes picked up in the second half making a high of +147 points.

On the political front, the interior minister has hinted that the US will not stop economic aid and has said about different lobbies working and wanting to introduce various bills in US Congress. On the economic front, SBP’s total liquid forex reserves declined by $172 million to $19.18 billion.

Moreover, China has agreed to accommodate the demands of Pakistani exporters in the amended Free Trade Agreement (FTA), which is expected to be signed in March according to the Ministry of Commerce.

Traded volumes plunged by 8% DoD to 226 million shares, while value traded dropped to $83 million.

Top volume stocks were ANL (+5.59%), ASL (+3.37%), FFL (+5%), LOTCHEM (+1.66%) and TRG (+2.54%). News flows of the Federal Board of Revenue (FBR) reviewing Regulatory Duty (RD) to provide relief on the import of tyres, especially for the vehicles engaged in public transport and goods transport had a negative impact on GTYR (-0.84%).

Selective banking stocks rallied where heavyweights such as MCB (+2.64%), UBL (+2.14%), HBL (+1.00%) and NBP (+0.14%) closed in the green. Steel stocks showed strength on Friday as ASL (+3.37%) and ISL (+2.25%) closed in the green due to newsflows in the market of increase in steel price. In the E&P sector, OGDC (-0.15%) and PPL (-0.61%) came under the hammer as the global oil prices fell for the sixth day due to concerns about a sharp rise in global supplies. A JS Research analyst expects market to remain volatile with flows from the local institutions and foreigners directing the market.

 Published in Daily Times, February  10th2018.