Lahore stocks gain 1.09 percent

The share market ended higher with 1.09 percent gain during the past week, despite tension in the federal capital, due to the Lal Masjid episode, which finally ended with killing of Ghazi Abdul Rasheed along with other inmates.
The week under review opened with a weak note as majority of players adopted a wait-and-watch policy due to Lal Masjid issue while on the next day, it came under heavy pressure when the security forces launched operation in Masjid, which left scores of people dead. However, there was no panic selling and the falls were limited.
According to stock analysts, strong economic data and internal strength of the market prevented any eventuality in the market. The falls, which were witnessed on second day of the week under review, were mainly caused by profit-taking due to overbought position of the market, brokers said. Disappointing news regarding the PSO privatisation were also a source of pressure, they pointed out. Overall the LSE-25 index gained 50.25 points (1.09 percent) to 4,929.97 from 4,879.72 points. Trade volume improved to 63.596 million shares from 49.205 million, depicting an increase of 14.391 million shares (29 percent).
A mixed trend was observed on first day the week while the market eventually ended with a minus note following profit-taking, as investors appeared scared due to government' approach to prolong the Lal Masjid issue. The LSE-25 index finished at 4,874.25 points compared with its previous closing level of 4,879.72. Volume was also a bit lower and at the close was marked at 47.676 million shares as against 49.205 million shares. Insurance sector, MCB Bank, SNGPL and SSGC performed well and averted major falls while Bank of Punjab and PPL were the key victims of profit-selling.
Equities again depicted an erratic movement and finally settled in negative zone amid ascending volumes on account of pressure caused uncertainty over the settlement of Lal Masjid issue, on Tuesday. The LSE-index shed 41.29 points and closed at 4,842.30 as against 4,883.59 points. Turnover, however, mounted to 61.676 million shares from 47.676 million shares. The market maintained the mixed trading pattern with a highly volatile movement on third day, while the benchmark index ended with a fractional fall.
The LSE-25 index closed at 4,847.66 points compared with previous day's 4,847.98. Trade turnover squeezed to 53.790 million shares from 61.676 million shares. Javed Omer Vohra and Arif Habib Securities were the top gainers while MCB and Adamjee Insurance lost massively.
Share prices escalated on fourth day of the week on buying interest in Javed Omer Vohra and Co, National Bank and Mansha Group scrips, including Adamjee Insurance and Nishat Mills, which helped the market gain 1.04 percent. The LSE-25 index reached 4,894.87 points from previous closing of 4,844.42, showing a fresh improvement of 50.45 points. Turnover was almost steady at 53.736 million shares compared with 53.790 million.
The market depicted weakness in the morning, but soon recovered on the back of aggressive buying in JOVC, Adamjee Insurance, Nishat Mills, National Bank and Arif Habib Securities, which pushed the index in upward direction.
Share prices maintained the rising tempo on last trading day of the week, following buying in fertilisers and oil and gas sector, which helped index gain further strength. The LSE-25 index moved up by 34.38 points reaching 4,929.97 points from 4,895.59. Volume increased by 9.860 million shares to 63.596 million shares from 53.736 million shares. Engro Chemical and OGDC were the most active scrips of the day while boarder market was depressed.
Besides Lal Masjid factor, the news of grant of stay order by the Supreme Court for PSO bidding, was also a negative development but the market ignored it, analysts said. Declining trend in SACRA figure and issuance of notices to Javed Omer Vohra and Arif Habib Securities by the Securities and Exchange Commission of Pakistan were the other disturbing factors, but their impact was minimal on the market, they pointed out. The market is expected to move in positive zone in the next sessions, amid peoples' high expectation for good results of corporate sector, the analysts stated.