The share market maintained buoyancy on good corporate earnings, foreign funds support and hopes of increase in the CFS limit, propelling up the index by 2 percent, also improved volume in the past week.
The market opened the week with a bullish note following encouraging quarterly corporate results while foreign funds buying further supported the sentiment. Out of total four, the market stayed in bullish zone for three days, with improvement in turnover, which, according to brokers, was picking up gradually showing growing interest in the market.
Analysts said the market sentiment was bullish due to foreign funds support while local investors were on sidelines following law and order problems and political situation. The Charsada incident, which claimed 29 lives last week, has raised the worries of locals and they are very careful in trade deals, they added.
Moreover, reports pertaining to possible increase in the CFS cap limit also caused optimism among the investors, they said. During the week under review, the LSE-25 index improved by 87.53 points (1.92 percent) to 4,633.37 from 4,545.84. Volume increased from 38.364 million shares to 47.779 million shares, depicting a rise of 9.415 million shares (24 percent).
Share prices moved in upward direction on first day of the week with active support from Engro Chemical, Adamjee Insurance and selective banks and oil sector following reports about increase in CFS cap limit. The LSE-25 index ended with a gain of 37.91 points to 4,583.75 from 4,545.84.
Overall turnover climbed up to 52.711 million shares from 38.364 million shares. Soon after start of trading, the market turned minus but later on gradually improved on account of buying interest in fertilisers, banks and some oil sector shares. Volume showed a significant improvement because of launch of Unified Trade System between Islamabad and Lahore stock exchanges.
The market was closed on second day of the week under review on account of Labour Day. On third day, share prices surged following buying interest in oil & energy, key banks, fertilisers and insurance sectors, which made the index close with a fresh gain of 0.83 percent.
The LSE-25 index ended at 4,621.99 points as compared to 4,583.75 of the previous session, gaining 38.24 points. Turnover fractionally changed to 52.167 million shares from 52.667 million shares. The market remained stable throughout the day with slight fluctuations because of intra-day pressure. However, sentiment was bullish with good buying happening in banks, oil exploration and distribution companies as well as fertilisers and insurance sector. Pakistan Oilfields emerged as the major loser to close at 352.45. MCB Bank and Pakistan Insurance were the other key gainers.
Trade activity was range-bound on the second last day with all key oil sectors' scrips remaining under pressure, leading to negative closing of the market. The LSE-25 index finished at 4,600.10 points as against 4,621.99. Overall turnover retreated to 43.576 million shares from 52.167 million of the past session. The market opened with a happy note, but subsequently profit-taking took place, which depressed the sentiment. PSO was also depressed on account of reports regarding delay in its privatisation.
Adamjee Insurance emerged as the major gainer while Pakistan Oilfields topped the declines' column. Share prices depicted buoyancy on Friday, with Adamjee Insurance and Pakistan Oilfields emerging as top gainers whereas cement sector took the lead in terms of turnover. The LSE-25 index climbed up to 4,633.37 points from 4,600.10.
Turnover inched up to 47.779 million shares from 43.576 million shares. The market moved ahead, adding fresh gains to its strength, ignoring all worries regarding law and order problem. Due to last trading day, pressure was seen in certain scrips, but fresh interest in insurance sector, oil, cement and partially in auto sector, kept the sentiment bullish.
The market broke all previous records touching all-time high during the week which caused excitement among investors, an analyst said.
The KSE reached its new highest index mark 12,533.93 and highest closing 12,512 with technical support and technical resistance levels at 12,400 and 12506, respectively, he added.
According to him, despite the fact the market broke all previous records during the past week, correction was due and could surface any time. He also said the fertilisers and insurance sector performed very well during the week and turn the most favourite scrips for investment in future.
Comments
Comments are closed.