Energy stocks helped Pakistan Stock Exchange’s (PSX) benchmark index rise on Tuesday, as global oil prices jumped after concerns around the Omicron coronavirus variant eased, dealers said.
The PSX benchmark KSE 100-share index closed higher 130.30 points or 0.30 percent to 44,043.74 points against 43,913.44 points recorded in the last session. The highest index of the day remained at 44,117.17 points while the lowest level of the day was recorded at 43,906.26 points.
KSE-30 index also increased by 56.31 points or 0.33 percent to 17,288.79 points against 17,232.48 points.PSX
Traded shares increased by 29 million shares to 143.44 million shares from 114.66 million shares. The trading value rose to Rs4.98 billion from Rs4.41 billion. Market capital slightly expanded to Rs7.551 trillion from Rs7.533 trillion. Out of 356 companies active in the session, 163 posted gains, 168 losses while 25 remained unchanged.
Analyst Ahsan Mehanti at Arif Habib Corp said stocks showed recovery amid thin trade ahead of the year-end close on a bull run in global equities and surge in global crude oil prices.
“Delays in proposed mini-budget, $1.5 billion ADB loan approval for energy sector reforms, reports of surging in textile and cement exports in November played a catalytic role in bullish close.” Mehanti said.
Oil prices extended gains on Tuesday, with Brent crude trading near $80 a barrel, supported by supply outages and expectations that US inventories fell last week.
Muhammad Arbash, an analyst at Topline Securities, said equities mostly remained in the positive zone during the day where benchmark index settled at 44,043 level. The market made an intraday high of 203 points and a low of 7 points. “Investors’ interest was seen in E&Ps sector on higher international oil prices further TRG contributed the most points in index closed 4.6 percent up,” he added.
The highest increase was recorded in shares of Nestle Pakistan, which rose by Rs100 to Rs5,500/share, followed by Sanofi-Aventis that increased by Rs61.17 to Rs876.90/share. A major decline was noted in shares of Mehmood Tex., which fell by Rs39 to Rs481/share, followed by Philip Morris Pak. that decreased by Rs34.99 to Rs715/share.
A report of brokerage Arif Habib Ltd. said the market continued to remain volatile due to the roll-over week and upcoming mini-budget.
“Profit-taking was witnessed in the first trading hour while the market battled between the bulls and bears throughout the day,” it added.
“Mainboard volumes remained on the dull note due to lack of any trigger whereas activity continued to remain side-ways as the market witnessed hefty volumes in the 3rd tier stocks.”
Sectors contributing to the performance include technology & communication (+59 points), oil & gas exploration companies (+44 points), cement (+9 points) automobile assembler (+9 points), and oil & gas marketing companies (+7 points).
Unity Foods Ltd remained the volume leader with 18.87 million shares with a decrease of 42 paisas to Rs1.13/share. It was followed by TRG Pak Ltd with 12.41 million shares that closed higher by Rs5.24 to Rs118.21/share.
Stocks that recorded significant turnover included Hum Network, K-Electric Ltd., Unity Foods Ltd, WorldCall Telecom, Cnergyico PK, TPL Properties, Telecard Limited, and Treet Corp.
Shares’ turnover in the future contracts increased to 184.85 million shares from 168.04 million shares.
Source: The news