Daily Times

Investors continue to struggle for a direction at Pakistan Stock Exchange (PSX), as benchmark KSE-100 hardly changed after moving both ways with trade drying up on Covid-19 worries. On Wednesday, the benchmark KSE-100 gained 96.82 points by the closing bell to clock at 44,587.85 level.

Following Monday’s blood bath market participants have been treading cautiously as pessimism over the economic situation and renewed lockdown restrictions continued selling pressure at the bourse.

On Wednesday, the index opened on a positive note as investors cheered the government’s announcement, that it successfully sold $2.5 billion worth of Eurobonds to foreign investors. Analysts claimed that Pakistan’s dollar-denominated Eurobonds have been oversubscribed almost two times after receiving raving response to attractive interest rates from foreign investors, and expect the country to raise additional $2 to $2.5 billion through conventional bonds with tenors of five, 10 and 30 years.

Investors’ sentiments were also buoyed by the country’s central bank announcement of the receipt of $ 499 million under IMF’s Extended Fund Facility. Investors, however, were largely muted over the government’s decision to remove Dr Abdul Hafeez Shaikh from the post of finance minister and replace him with Minister for Industries and Production Hammad Azhar.

However, the market failed to extend gains in late hours as investors’ sentiments were impacted by an uptick in coronavirus cases that shattered investors’ confidence. It also continued to express displeasure as owing to the pending conclusion of a National Accountability Bureau (NAB) inquiry, the government missed the deadline for payment of the first installment of about Rs.85 billion to about 19 independent power producers (IPPs) required under an agreement signed on Feb 28.

During the session, the benchmark KSE-100 Index registered its intraday low at 44,477.90 level after it lost merely 13.13 points. But the index touched its intra-day high at 45,133.25 after it gained 642.22 points, trading in a range of 649.56 points or 1.46 percent of previous close.

The volume at KSE-100 slightly jumped from 175.4 million shares recorded in the previous session to 253.23 million shares, while the all-share volume also increased from 339.1million shares recorded in the previous session to 443.9 million shares.

Market Capital increased by Rs.26.79 billion, while total value traded increased by 5.16 billion to Rs.25.92 billion.

The volume chart was led by Byco Petroleum Pakistan Limited followed by TRG Pakistan Limited and Pakistan Refinery Limited. The scrips exchanged 70 million, 39.17 million and 31.2 million shares, respectively.

According to the National Clearing Company of Pakistan Limited (NCCPL) foreign investors were net sellers of $2.8 million worth of equities. Among local investors, Mutual Funds and Brokers led the selling chart and offloaded $3.73 million and $1.79 million worth of equities. However, Individuals and Insurance Companies led the buying chart and moped up $7.4 million and $2.01 worth of equities.

During the session, sectors which lifted the index were Fertilizer with 24 points, Cement with 24 points, Oil & Gas Exploration Companies with 22 points, Commercial Banks with 19 points and Leather & Tanneries with 17 points. Among the scrips, the most points added to the index was by ENGRO which contributed 31 points followed by United Bank Limited with 28 points, Pakistan Oilfields Limited with 20 points, Systems Limited with 20 points and Service Industries Limited with 17 points.

However, sectors which dented the index were Technology & Communication with 35 points, Textile Composite with 17 points, Power Generation & Distribution with 16 points, Chemical with 16 points and Refinery with 5 points. Among the scrips, the most points taken off the index was by TRG Pakistan which stripped the index of 52 points followed by Habib Bank Limited with 30 points, Colgate-Palmolive (Pakistan) Limited with 20 points, Hub Power Company Limited with 11 points and Fauji Fertilizer Company Limited with 10 points.