Daily Times

KARACHI: Pakistan equities closed marginally negative on Tuesday after witnessing range-bound activity as the index made an intraday low and high of -104 points & +184 points, respectively closing 48 points down.

Trading started on a positive note however due to lack of triggers in the broader market, mix trend was witnessed throughout the day. Market traded in the positive zone in the initial hours of the session but later traded sideways to close down 48 points negative. On the economic front, according to Economist Intelligence Unit (EIU), Pakistan may fail to persuade IMF for bailout owing to political resistance from both the US and China, adding more jitter to the market. Key sectors including E&Ps and Cements drove the market whereas Financials showed some respite at the bottom.

Retail plays led the volume charts with Lotte Chemical gained 2.75 percent churning over 33 million shares after it announced second quarter results at 0.65/share. Maple Leaf Cement (MLCF) gaining 5 percent and Fauji Cement Company Limited (FCCL0 gaining 5 percent led the gains in cement sector to close at their respective upper limits.

KSE-100 Index is likely to track political developments going forward as key government positions are expected to be decided in upcoming days, said Murtaza Jafar, an analyst at Elixir Securities.

Cement scrips closed near their respective upper circuits following an expected price hike in the south players by Rs10/bag. On the flip side, Habib Bank Limited (HBL), MCB Bank and United Bank Limited (UBL) closed in the red.

Major heavyweights namely, HBL, Engro, OGDC, MCB, UBL and FFC cumulatively contributed -95 points to the index. Traded volumes increased by 56 percent DoD to 239 million shares while value traded increased to $ 80 million.

An equity analyst expects the market to remain range bound with flows from local and foreign institutions directing the market.

Published in Daily Times, August 8^th 2018.