Share prices depicted firmness on Lahore Stock Exchange (LSE) on last trading day of the week, and mostly helped by petroleum scrips, ended with a positive note amid a steady volume of transactions. The LSE-25 index surged by 24.84 points or 0.66 percent, closing at 3737.20 points as compared to 3712.36 points of Thursday. Volume was slightly changed and soared to 52.896 million shares from 51.567 million shares of the past session, showing a factional improvement of 1.567 million shares.
There was a see-saw trend in the market with no improvement in activity, as people avoided to go for fresh deals ahead of privatisation of PTCL, which is scheduled for Saturday (June 18), stock analysts said. They said that PTCL painted a dull picture, while the index showed improvement on the back of buying activity in oil and gas shares, which surged on increase in prices of crude oil in the international market. PPL and PSO were the most attractive shares of the day, while Mari Gas and Lucky Cement were the key losers, with banking sector showing a mixed picture.
Stock experts said now every one is anxiously waiting for the PTCL bidding on Saturday and if all remains well and smooth transactions of the company takes place, it will provide strength to the market and boos investors confidence in stock business.
People also witnessed a see-saw market this week, as the fate of PTCL privatization closes in, said Ahmed Nabeel, head of operations of Invest and Finance Securities Ltd. Throughout the day, the market showed a confused behaviour, as PTCL failed to show improvement on Friday and investors are expecting a bid around US $1.75 and US $2 per share, he added. "In my opinion, if the bid price reached US $1.75, even then market fair price should not cross Rs 70 per share because there are still many steps to cross and close the transaction of PTCL." At present, the market is based on sell on news or buy on rumours, he pointed out. Many analysts follow NRC example as, it was sold at very handsome rate of Rs 483 per share and is available at a discount rate of 35 % at Rs 320, and they feel so is the case with PTCL.
"I feel next week is very crucial for the market to determine the direction and trend of trading," he further said. International prices of crude oil have reached their peak of $57.50 per barrel and its impact was positive on the petroleum sector. About real estate market Nabeel pointed out it is still depressed and despite the fact that no tax was levied on real estate business in the budget, there is no uplift in it and business activity is low. It also seems to remain in low profile for another three to six months, he observed.
Out of a total of 82 traded scrips, 20 improved, 22 landed in minus zone, while 40 were unchanged. Among major gainers, PPL was up Rs 3.40, PSO Rs 2.50, Bank of Punjab Rs 2.10, OGDC Rs 1.65 and Adamjee Insurance Rs 1.20. In negative column, Mari Gas Company shed Rs 6.45, Lucky Cement Rs 1.75, National Bank Rs 1.20, Nishat Mills Rs 1.15 and Kapco Rs 0.95.
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