Activity remained slow on Lahore the Stock Exchange (LSE) on Wednesday. There was little change in the index following lack of buying support from key players, who stayed at a distance, perturbed by fresh killings in Wana and reports of growing prospects of opposition's movement against the government.
The LSE-25 index underwent slight downward fluctuation of 4.68 points to close at 2664.90 as against the previous day's 2669.58 points while the volume also remained on the lower side at 39.739 million shares as compared with 51.063 million of Tuesday, registering a decrease of 11.324 million shares.
The market remained lacklustre during the entire session with key players staying at a distance, stock analysts said.
According to brokers, after previous day's widespread losses, caused by rumours regarding PTCL results, the market consolidated itself on Wednesday with a minor downward fluctuation that was due to pressure in blue chips and other key shares.
Fertilisers performed pretty well on the back of quarterly result of Fauji Fertiliser Bin Qasim, while the fuel and energy sector, despite positive results of OGDCL, disappointed the market people, they said, adding the market also ignored the news appearing in national dailies about PPL privatisation.
According to the report, the Privatisation Commission is expected to call expressions of interest (EoI) for sale of 51 percent stake in PPL in first quarter of 2005.
Javed Iqbal, chief executive of Javed Iqbal Securities Ltd, said the market painted a dull picture with activity remaining slow, mainly because of political scenario emerging after the announcement of opposition parties to launch anti-government movement as well as worsening situation in Wana.
He said the news of fresh killing of nine tribesmen in south Waziristan sent negative signals in the market, turning it directionless. Moreover, people are eyeing the forthcoming US elections and are very cautions in future deals, due to which activity is almost stagnant, he observed.
Javed Iqbal said there was no change in the fundamentals of the market as companies were announcing good results, adding OGDC EPS for the first quarter of the current financial year stood at Rs 1.74 per share, which is not bad.
Similarly, he said PSO has also recorded a significant rise in its profits, which is a very healthy sign for the market sentiment, adding: "But the market response to such healthy development is not positive, mainly due to Wana situation, political situation in the country, and the US elections."
Overall there were 14 gainers against 27 losers with 58 remaining unchanged of a total of 99 scrips that changed their hands on the day.
Among major gainers, Fauji Fertiliser was up Rs 3.00, Engro Chemical Rs 2.30, Pakistan Industrial Credit Rs 1.65, Habib Bank Mod. 1st Rs 1.15, and Dewan Farooq Motors 45 paisa.
In the negative zone, Askari Commercial Bank lost Rs 1.95, PPL Rs 1.40, PSO Rs 1.105, DG Khan Cement 75 paisa, and Bosicor Pakistan 70 paisa.
OGDC was the most active shares by volume with 9.254 million shares followed by Fauji Fertiliser Bin Qasim with 6.439 million shares.
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