Daily Times

KARACHI: Local bourse witnessed another overwhelming trading session on Wednesday as investors’ incessant interest in cement scrips pushed Karachi Stock Exchange (KSE) -100 index up by 296 points.

The KSE-100-index increased to 44494.99 as compared to 44199.40 points of previous day, showing an increase of 295.59 points or 0.67 percent while KSE-30 index gaining 207.00 points closed at 23943.35 points. Nabeel Haroon of JS Research said volatility prevailed in the market as the index traded between an intraday high of 346 points and intraday low of 92 points to finally close at its new high of 44,495.

“This volatility was on the back of high profile case hearing in Supreme Court,” he said.’ “Pakistan Equities sailed further into un-chartered territory as gains in cements and select index names pushed benchmark KSE0-100 index near 44,500 level. Day kicked off on a positive note as Cement stocks drove early gains on reported local investors buying while select index names also followed suit and eked out modest gains,” said Elixir Securities’ analyst Ali Raza.

Exploration & Production (E&Ps) on the other hand traded in red from the word go as investors tracked dip in global crude and booked recent gains. Despite early surge, wider market didn’t stay green for long with court proceedings lading to anxiety and confusion that paved way for mid-day panic-selling as index nosedived into red.

Market recovered soon after and value buyers yet again made a strong entry given no major decision and possible formation of a judicial commission; a move that could possibly delay the outcome and ease anxiety among equity investors. “We see index to test key resistance level near 44,800 where profit taking may be witnessed. Cements are likely to take a breather ahead of the weekend while Oil stocks will continue to track global crude”, said Raza.

Volumes in wider market were encouraging with 470 million shares exchanging on PSX (turnover on KSE100 was highest today since July this year). K-Electric closed positive after testing near record intraday high as the new buyer (Shanghai Electric Power Company) unveiled a massive investment plan worth $9 billion to improve transmission, distribution and generation systems of the company. Meanwhile, Nishat Power closed at upper price limit on announcement to intention to setup 660MW coal fired power plant.

Conversely, Indus Motor company (IMC), plus 1.92 percent, in the automobile sector gained on the back of news that the automobile assembler has introduced new models for Hilux and Fortuner, respectively.

PSX to remain closed on 12 Rabi-ul-Awwal: Pakistan Stock Exchange (PSX) will remain closed on December 12 on the occasion of Eid Milad-un-Nabi (SAW). In a notice on Wednesday, the PSX informed all TRE Certificate Holders, Staff and concerned that KSE will remain closed on Monday (December 12, 2016) being public holidays declared by the government on the occasion of Eid Milad-un-Nabi (SAW).