The share market for the fifth consecutive session last week recorded an increase as buying in banking, energy and some companies of fertiliser and refineries triggered helping the KSE index to sustain above 8100 level.
The earlier part of the week saw KSE-100 Index accelerate further into a bull-run and test the 8300-point mark. However, brakes were applied to the acceleration on last two days of the week, and the KSE-100 closed the week with a gain of 3.1 percent, or 245 points, at 8180.
The statistics for leverage through CFS and stock futures depicted a slight decline. However, CFS remained capped at Rs 25 billion.
The market headed towards positive zone during the first three days of the week. A barrage of good corporate results and new developments in OGDC, in terms of getting new licences, supported the general uptrend.
Remarkable results by D G Khan Cement and Nishat Mills also supported the positive rally. At the same time, PPL data room opening to advance its privatisation process was another important development.
PTCL witnessed major activity on the back of expectations of full payment by Etisalat, anticipated to be made by the end of this month. However, last two trading sessions remained subdued as the news of bombings in Lahore and rumours plagued the market regarding postponement of PTCL's payment by Etisalat.
"We expect the Index to remain volatile in coming weeks on the back of yet another results season for the period ending September to commence. Look out for PTCL", an analyst from Atlas Investment Bank said.
Share value of Pakistan Telecommunication Company Limited rose 40 paisas, or 0.6 percent, during the week and closed at Rs 64.65 from Rs 64.25. Oil and Gas Development Company (OGDC) gained Rs 4.10 or 3.7 percent during the week to close at Rs 113.35 from the previous level of Rs 109.25.
The market opened on a positive note on Monday and better-than-consensus dividend announcement by OGDC kept the momentum going and the index crossed the psychological barrier of 8,000 points on Tuesday.
Wednesday was, however, the best day of the week, as a comfortable cushion was created between the index and the 8,000-point mark. Increase in oil prices and rumoured foreign interest combined to lead the rally. The rally on Wednesday showed that rumour of Etisalat backing out of PTCL transaction on the last two days as ignored by investors.
The index closed in the green and comfortably over the 8,000-point mark.
An analyst from KASB Equities said that the Board meeting of PTCL seemed possibly to trigger the market. The announcement of a skimming dividend by PTCL would be taken positively and could see a rally in the stock. On the other hand, with the rumour mill working overtime on PTCL, fluctuations in its price could not be ruled out.
Board meetings of the Sui twins and the turnaround story of 'Callmate Telips' should also generate stock-specific activity. International oil prices and any volatility due to Hurricane Rita should keep oil punters interested. "Our top picks remain POL, Callmate Telips, Fauji Bin Qasim, National Bank and Packages."
Pakistan State Oil (PSO) closed at Rs 382.60 from Rs 380.50, increasing by Rs 2.10, or 0.5 percent. Pakistan Petroleum Limited (PPL) gained Rs 12.60, or 6.9 percent to close at Rs 193.10 from Rs 180.50 of previous week. National Bank (NBP) gained Rs 10.60, or 8.1 percent, to close at Rs 140.50 from Rs 129.90 of previous week.
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