Daily Times

Bears returned to Pakistan Stock Exchange (PSX) on Friday, as benchmark kse-100 lost 204.54 points by the closing bell to clock at 45,521.63 level

On Friday, the market reacted to series of negative economic indicators and lost its winning momentum. Pessimism over the economic situation and looming lockdown restrictions continued selling pressure at the bourse, moreover investor sentiments were also tested by pressure led by shorter roll-over week and huge open positions which were due to be settled on Friday.

Investors were also triggered by the confirmation of amendments to the income tax ordinance (withdrawal of Rs140 billion tax exemptions) which had a bearing on steel, cement, fertilizer, Oil &Gas Marketing Companies, whereas banking sector stocks also went down due to overall selling pressure.

Meanwhile, investor sentiments are also set to be tested in the future sessions, as weekly Sensitive Price Indicator (SPI) for the Combined Group posted an increased by 0.61% during the week ended Mar 25, 2021 while the SPI increased by 15.35% compared to the corresponding period from last year.

According to data released by the Pakistan Bureau of Statistics (PBS) the Combined Index was at 147.76 compared to 146.86 on Mar 18, 2021 while the index was recorded at 128.1 a year ago, on Mar 26, 2020

The benchmark KSE-100 Index traded in a range of 329.00 points or 0.72 percent of previous close. During the session, the index moved in a narrow range, registering its intraday high at 45,757.56 after it gained 31.40 points and touched intra-day low at 45,436.91 after it lost 289.25 points.

The volume at Kse-100 jumped from 292.49 million shares recorded in the previous session to 321.41 million shares, while the all-share volume also increased from 470.4 million shares recorded in the previous session to 529.2 million shares.

Market Capital decreased by Rs.33.57 Billion, while total value traded also decreased by 0.64 Billion to Rs.25.19 Billion.

The volume chart was led by Byco Petroleum Pakistan Limited followed by Pakistan Refinery Limited and Pakistan Telecommunication Company Limited. The scrips exchanged 83.52 million, 56.43 million and 39.61 million shares, respectively.

According to the National Clearing Company of Pakistan Limited (NCCPL) foreign investors were net sellers of worth $1.98 million worth of equities. Among local investors, Banks and Mutual Funds led the selling chart, and offloaded $3.59 million and $155 million worth of equities. However, Individuals and Brokers led the buying chart and mopped up $3.38 million and $3.02 million worth of equities.

During the session, sectors which dented the index were Commercial Banks with 93 points, Cement with 72 points, Oil & Gas Exploration Companies with 46 points, Oil & Gas Marketing Companies with 15 points and Power Generation & Distribution with 14 points. Among the scrips, the most points taken off the index was by Habib Bank Limited which stripped the index of 54 points followed by Bank Al Habib Limited with 25 points, Pakistan State Oil with 24 points, United Bank Limited with 22 points and Lucky Cement Limited with 22 points.

However, sectors which continued to lift the index were Refinery with 26 points, Chemical with 17 points, Technology & Communication with 13 points, Leather & Tanneries with 12 points and Textile Composite with 7 points. Among the scrips, the most points added to the index was by Azgard Nine Limited which contributed 21 points followed by Attock Refinery Limited with 19 points, Meezan Bank Limited with 18 points, Habib Metropolitan Bank Limited with 15 points and Indus Motors with 12 points.

Weekly Review: kse-100 Index posted recovery, crossed 46,000 mark

Pakistan Equities witnessed some sharp recovery during the week as the index rose past the 46,000 mark on account of unchanged policy rate, encouraging current account data and easing political tensions.

The benchmark kse-100 index jumped by 620 points in the week to close at 45,522 level. The market continued to showcase range-bound behavior as it remained between a low and a high of 44,736 and 46,000 points, respectively.

During the week, the traded value averaged at $158 million recording an increase of 10%, whereas traded volumes declined to 463 million shares declining by 4%.

The week opened on a positive note with a 506 points gain on Monday as the investors cheered the central bank’s decision to keep interest rate unchanged at 7% to support economic recovery despite inflationary pressures. On the other hand, oil stocks remained upbeat due to expectations of resolution of circular debt issues as the first tranche of payment to IPPs was expected this month.

Moreover, the approval of the third loan tranche of $500 million by International Monetary Fund provided a much-needed positive trigger for the index.

Despite the host of positive news flow, the index remained under pressure on account of shorter rollover week. As of 25th March 2020, the outstanding futures value stood at Rs. 16.6Bn compared to Rs 24.6Bn last week. Investors also treaded cautiously owing to the alarming rise in COVID-19 infections with the positivity rate surging past 10%.