The local stock market, which mostly remained sideways on first trading day of the week, amid slow trading activity, ended with an upbeat note helped by buying interest in petroleum sector. The LSE-25 index ended up with a fractional increase of 0.98 points to 2833.61 as against 2832.63 points of last Friday, while the volume retreated to 39.665 million shares from 55.262 million of the previous closing session, registering a drop of 15.597 million shares.
There was a sideways movement in the market, but at mid-session interest in the petroleum sector, led by PPL and PSO, accelerated business activity that pushed the index in upward side. However, last minutes pressure mainly caused by profit-taking slowed down the activity, stock analysts said.
They pointed out the fuel and energy sector, particularly PPL and PSO outperformed on the back of news regarding the increase in oil and gas production, while the banking sector showed a mixed trend.
The entire fuel and energy sector seems bullish followed by textile and banks, and the overall outlook of the market is positive, and it looks set to move ahead positively, a broker said, while commenting on future outlook of equities.
Dr Shahid Zia, head of research, Switch Securities Ltd, said the market ended with an upbeat note, as activity was very slow in the absence of big players.
He, however, said the overall outlook of the market is bullish, as its fundamentals are strong, corporate earnings are good, while outlook of national economy is also 'optimistic', adding: "Therefore, I foresee that market may touch 6,000 point level before the end of the year."
It, however, might face liquidity crunch, as banks and financial institutions will be reluctant to release cash because of December closing, however, afterwards the situation will turn better, he said.
Dr Shahid Zia said the fuel and energy sector, banks and textiles look very bullish in future, and the investment in this sector could be safe. In this whole scenario, the leasing sector might be affected because of introduction of retail and alternative products by banks, he added.
What the leasing sector was doing earlier is being done by the banking sector now, hence, the former will be on losing end, he observed. As far as overall scenario is concerned it seems good, he said, and also pointed out that this year's bullishness of the market also different from that of the last year, which was speculative-based, while this year it is genuine.
Another noteworthy and market friendly factor is margin financing, he said, adding with phasing out of badla with margin financing, the activity will further improve.
Out of a total of 103 traded scrips, 16 improved their worth, 28 showed negative signs, while 59 maintained its overnight positions.
Among major gainers, PPL was up Rs 2.10, PSO Rs 1.60, Crescent Standard Investment Bank Rs 1.20, MCB Rs 1.15 and Pakistan Industrial Credit 65 paisa.
In minus zone, Askari Commercial Bank shed Rs 2.05, Union Bank Rs 1.80, Worldcall Broadband Re 1.00, Adamjee Insurance 95 paisa, and Engro Chemical 85 paisa.
Fauji Fertiliser Bin Qasim led the market by a volume with 5.933 million shares followed by MCB with 4.954 million shares.
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