Stocks fluctuate on KSE

The stock market witnessed mixed trend during the week ended on March 20, 2010 and KSE-100 index closed at 10,000.93 points, with a loss of 25.06 points. Trading shrank and average daily volume at ready counter declined to 162.810 million shares, or 9 percent, as compared to previous week's 182.190 million shares.
Market capitalisation also declined by Rs 21 billion to 2.847 trillion.
Foreign investors' interest continued during the week with an inflow of $25 million. The offshore investors' interest was seen mainly in cement and fertiliser stocks. On the other hand, local investors sold off shares worth $25 million during the week.
On Monday, the market opened on a positive note and the index gained 62.46 points to close at 10,088.45 points with a volume of 227.225 million shares.
On Tuesday, there was selling pressure mainly from local players and the index declined by 70.74 points to close at 10,017.71 points level with 187.483 million shares.
On Wednesday, the index could not sustain the 10,000 points level and closed at 9,989.81 points, losing 27.90 points, with a volume of 170.326 million shares.
On Thursday, the index recovered 18.06 points and closed at 10,007.87 points with 103.205 million shares.
On Friday, the index lost 6.94 points to close the week at 10,000.93 points level with 125.810 million shares.
Saeed Khalid, analyst at Invest Capital and Securities, said that the index moved around the psychological level of 10,000 points, depicting choppy trend during the week. The prominent factor which sustained the market above 10,000 points level was in the form of foreign inflows. On the other hand, buying in the blue chip scrips facilitated investors to retain their interest in the market.
The index moved in the band of 159 points (high of 10,131 points and low of 9,972 points), backed by the news of the appointment of Hafeez Sheikh as Advisor to PM on Finance, which was greeted by the players of the market.
Angela Memon at JS Global Capital said that the index managed to stay above the 10,000 points level, buoyed by foreign buying of significant proportions, with a 28-week high single-day inflow of $13.7 million. The appointment of Dr Abdul Hafeez Shaikh as Finance Advisor also became a source of comfort for investors and it signalled the probable release of the fifth IMF tranche shortly. Further, the current account deficit and forex reserves flow cemented the fact that macroeconomic imbalances are indeed reversing.