Buying spree keeps KSE in green zone, 100-share index up 54 pts

KARACHI: Bullish sentiments dominated proceedings at Karachi stock market on support from intense buying activities and on anticipation of fall in t-bill yields up to 100bps.

Analysts said Wednesday KSE Board of Directors’ move for launch of deliverable future contracts next month taken positive by retail/institutional investors, which kept the market in the positive zone.

The Karachi Stock Exchange (KSE) 100-share index gained 54.49 points or 0.71 percent to close at 7,689.15 points as compared to 7,631.66 points of the previous trading session. The KSE 30-share index also gained 30.84 points and closed at 8,258.84 compared to 8,228.00 points of the previous session. The KMI 30 index also gained 8.62 points to close at 11,501.59 points as against 11,492.97 points.

The market turnover went up by 11.98 percent and traded 236.24 million shares as compared to previous session’s 210.96 million shares. The overall market capitalisation was up by 0.75 percent to close at Rs 2.263 trillion as compared with Rs 2.246 trillion. Out of total 321 companies, 198 closed in the positive zone, 106 in negative while 17 remained unchanged.

Hasnain Asghar Ali, analyst at Aziz Fida Husein and Co said although entire economy is likely to benefit from the declining trend in the local interest rates, the sectors having a direct link continued to perform, the show was led by cement stocks, as the sector led the turnover, while auto and fertiliser sector followed the pursuit.

Ahsan Mehanti, senior analyst at Shahzad Chamdia Sec said rise in international capital markets, renewed interest of foreign/local investors in oversold market in the result announcement session played a catalyst role in positive activity.

The KSE 100 index opened in green zone with a gain of 28.92 points and at the end of the day closed at 7686.15 with a gain of 54.49 points. Trading activity was better as compared to the last trading session as the ready market volume stands at 236.246 million as compared to last trading session 210.988 million. Future market volume however stands nil shares as compared to nil shares last trading session. Market capitalisation stands over Rs 2.263 trillion.

DGK Cement was the volume leader in the share market with 20.52 million shares as it closed at Rs 34.07 after opening at Rs 32.56 making a financial gain of Rs 1.51. Fauji Cement traded 17.93 million shares as it closed at Rs 7.91 after opening at Rs 7.48 gaining paisas 43. link....