Daily Times

Pakistan Stock ExchangePakistan Stock Exchange (PSX)regained some ground on Wednesday, following a major sell-off in the previous session, as benchmark kse-100 edged higher by 412.49 points by the closing bell to clock at 43,694.76 index level.

During the trading, fresh buying activity was witnessed throughout the session and across the board as investors went on value hunting of over sold stocks. The stock prices became attractive, following heavy plunge, owing to heavy selling in the previous session which marked the last day of settlement, and rollover week.

During the session Cements and steel sector witnessed major interest from the investors following federal cabinet’s approval to Water and Power Development Authority (Wapda) to raise $ 500 million through issuing debut Eurobonds, subject to necessary modalities to be finalized at par with similar securities in consultation with Finance Division and State Bank of Pakistan.

During the day, the kse-100 index touched its intra-day high at 43,750.25 points after it gained 467.98 points.

The volume chart was led by Pakistan Refinery Limited followed by TRG Pakistan Limited and Unity Foods Limited. The scrips exchanged, 55.26 million, 31.21 million and 18.5 million shares respectively. The volume at the kse-100 index decreased from 297.89 million shares from the previous session to 227.3 million shares, while the all share volume also decreased from 503 million shares in the previous session to 455.99 million shares

According to the National Clearing Company of Pakistan Limited foreign investors were net sellers of worth $0.548 million worth of equities. Among the local investors, the selling chart continued to be led by Banks which sold $10.71 million worth of equities followed by Mutual Funds which sold $1.1 million worth of equities. The buying chart, however, was led by Brokers and Insurance companies, which moped $5.15 million and $5.09 million worth of equities.

The sectors which lifted the index were, Technology & Communication with 93 points, Commercial Banks with 50 points, Textile Composite with 44 points, Oil & Gas Exploration Companies with 32 points and Food & Personal Care Products with 28 points. Among the scrips, the most points added to the index was by TRG Pakistan Limited which contributed 63 points followed by Systems Limited with 30 points, United Bank Limited with 29 points, Pakistan Oilfields Limited with 25 points and Kohinoor Textile Mills Limited with 18 points.

However, sector which continued to add pressure on the index were Glass & Ceramics with 2 points, Leather & Tanneries with 1 points and Modarabas with 1 points. Among the scrips, the most points taken off the index was by Bank AL HabibLimited which stripped the index of 27 points followed by Fauji Cement Company Limited with 5 points, K- Electric Limited with 4 points, Mari Petroleum Company Limited with 3 points and Shell Pakistan Limited with 2 points.

Global Markets: Stocks traded mix ahead of New Year

Global stock markets traded mixed ahead of New Year after major indexes on Wall Street snapped their multi-day winning streaks overnight. Investors reacted to series of new-flow including China’s revision down of China’s economy and growth rate for 2019 than Beijing previously announced. China’s National Bureau of Statistics (NBS) in its statement did not say how much the revision would affect the calculation of the 2020 growth rate. However, by creating a lower base for that calculation, the revision could potentially result in a larger increase for this year than otherwise would have been expected.

Global investors also followed a deadlock at the US Capitol Hill, as Lawmakers in Washington continue to disagree over direct payments to Americans that are part of an economic stimulus package amid the ongoing coronavirus pandemic.Senate Majority Leader Mitch McConnell blocked Senate Minority Leader Chuck Schumer’s effort to fast-track the bill, passed by the House late Monday that would increase checks to $2,000 from $600.

In Asia, stocks traded mixed across the region with Hong Kong’s Hang Seng index edging up2.18%, as of its final hour of trading, while South Korea’s Kospi index also jumped 1.88% to close at 2,873.47. Shares in also edged higher by their close as benchmark index Shanghai composite also gained 1.05% to 3,414.45. However, bucking the trend, in Japan the benchmark index Nikkei 225 slipped 0.45% to close at 27,444.17. The Wednesday losses came after the index surged more than 2% on Tuesday to close at a level not seen since August 1990, according to data from Refinitiv.

European markets also traded mixed as investors stayed muted ahead of New Year. The pan-European Stoxx 600 index traded 0.06% higher by early afternoon deals. However, major regional markets marked losses ahead of Brexitand new rules of engagement. UK;s FTSE-100 led the losses and dipped 0.57% after it pared early gains. Germany’s DAX and CAC-40 in France also followed the regional trend and remained in the negative territory.

In US, Wall Street witnessed a comeback in an attempt to reclaim record highs in the final days of 2020, following an overnight pull back. During the initial trading hour, 30-stock Dow Jones Industrial Average gained 164 points, while the S&P 500 climbed 0.5%. The tech heavy Nasdaq Composite also gained 0.4%. As the year is headed to mark its end, tech heavy the Nasdaq Composite remains the clear winner, which has gained 43%, while Dow is up 6.3% for the year, while the S&P 500 has gained 15.36% to date.