Daily Times

Pakistan stock exchange benchmark Kse-100 witnessed another day of Bull Run, marking the 13th consecutive session of the rally. However, in the later session of the day investors resorted to profit taking, but index still managed to close higher by 126 points at 36,745.22 level.

The Kse-100 continued its upward rally, taking cumulative increase to 9.01% in the last 13 trading sessions, while in FY21 the index return has been at exciting 6.75%. Construction and steel sector remained the investor’s center of attention after series of construction projects announced by the Prime Minister Imran Khan to revive covid-19-hit economy. However, market may resist at 37,000 index level and shed 500, 1000 index points in a pullback scenario, before another rally.

On Tuesday, the benchmark KSE-100 Index started the day on a bullish note and touched an intra-day high at 36,936.31points after gaining 317.46 points. Since the Kse-100 index traded in a range of 408.25 points, the Kse-100 also touched an intra low of 36,534.70 points. The total volume traded for the index slightly decreased increased from to 324.38 million shares in the previous session to 323.24 million shares on Tuesday. While the all share volume also recorded a slight decline from 468.91 million shares in the previous session to 466.25 million shares.

The volume chart was led by K-Electric Limited , followed by Pak Elektron Limited and Maple Leaf Cement Factory Limited. The scrips exchanged of 39.27 million, 33.54 million, and 25.27 million shares, respectively.

Sectors, which continue to lift the index, included Oil & Gas Exploration Companies with 66 points, Investment Banks with 36 points, Fertilizer with 24 points, Miscellaneous with 11 points and Pharmaceuticals with 10 points. While, among the scrips, the most points added to the index was by Pakistan Oilfields Limited which contributed 44 points followed by Dawood Hercules Corporation Limited with 31 points, Pakistan Petroleum Limited with 16 points, K-Electric Limited with 15 points and Shifa International Hospitals Limited with 11 points.

However, Sector wise, Cement sector led the losses- denting its winning streak, and let down the index by 23 points followed by Oil & Gas Marketing Companies by 16 points, Technology & Communication by 10 points, Automobile Parts & Accessories by 6 points and Chemical by 3 points. Among the scrips, most points taken off the index was by Pakistan State Oil, denting the index by 18 points followed by Lucky cement Limited with 11 points, Hub Power Company Limited with 10 points, Bank Al Falah Limited with 9 points and D.G. Khan Cement Limited with 8 points.

Global markets: After a day of recovery, most of the Global stocks retreated amid latest resurgence of Covid-19. Investors were betting on the revival of economic activity over easing of covid-19 lockdown as well as approaching results season. However, the investors resorted to quick profit taking over increasing uncertainty, depriving the stocks of any extended rally.

In Europe, stocks pulled back on Tuesday continuous spike in virus weighed on global market sentiment. The pan-European Stoxx 600 dropped 1.1%, with tech stocks shedding 3.1% to lead losses while telecoms bucked the trend to add 1.2%. Moreover, major regional bourses also recorded losses, with Germany’s DAX losing 1.23%, while CAC-40 in France closed 1.35% lower. In UK, benchmark index FTSE-100 snapped a two day winning streak and closed 0.17% lower as health experts warned of a deadly second wave of the COVID-19 pandemic in the UK

Asian stocks also took a beating, as continuous fall in oil price and simmering Sino-U.S. tensions and new coronavirus restrictions in California kept a lid on optimism as earnings season got underway. Investors sentiments dampened following overnight a selloff on Wall Street after California Governor Gavin Newsom ordered bars closed and restaurants and movie theatres to cease indoor operations. Hong Kong’s Hang Seng index led the region’s losses and fell 1.14%, while Chinese stocks also closed into negative territory ending its bull run. China’s benchmark index Shanghai composite was down 0.83% to around 3,414.62. In Japan, the Nikkei 225 index declined 0.87% to close at 22,587.01, while South Korea’s Kospi index slipped 0.11% to close at 2,183.61.

In U.S, Wall Street continued its cautious course and recorded a volatile session. Stocks failed to build up on last week’s strong rally, as investors begin to react to record numbers in coronavirus cases. However, The Dow Jones Industrial Average rose on Tuesday, as 30-stock Dow gained 210 points, or 0.8%, led by shares of JPMorgan Chase after the banking giant reported stronger-than-forecasted quarterly results. However, the broader market struggled as losses among major tech stocks mounted.

But The S&P 500 was flat, while the tech heavy Nasdaq Composite dropped 0.7% as Big Tech added to Monday’s declines.

Among the tech stocks which lost the ground on the day were Facebook, Apple, Amazon and Netflix which slid at least 0.7% each. Alphabet and Microsoft also fell 1.1% each.