Fifth successive gain: KSE-100 inches up in volatile session

The Pakistan Stock Exchange (PSX) came in the grip of volatility on Tuesday as the KSE-100 index gained 38 points after oscillating in red and green zones throughout the day. The market has been rallying for the past five sessions, jumping over 1,100 points in that period.

At close on Tuesday, the KSE-100 finished with an increase of 38 points, or 0.09%, to close at 43,078.14.

Much needed clarity on the International Monetary Fund (IMF) front and a partial rollback of fuel subsidy lifted the market upward, but a lack of concrete developments and threat of default dented investor sentiment and dragged it lower.

As per media reports, the IMF and Pakistan are scheduled to resume their technical discussion on next year’s budget (2022-23) on Tuesday.

KSE-100 crosses 43,000 after fourth successive positive finish

The market opened upward and hit an intra-day high in initial hours of trading, before investors began booking profits, pulling the index downward by noon. At this point, a fresh buying spree emerged as investors assumed fresh positions. But selling pressure in the final hours levelled the index.

A report from Capital Stake stated that the PSX closed a volatile session on Tuesday flat. Indices swayed in both directions while volumes appreciated from the last close.

Fate of 7th IMF EFF review dependent on FY23 budget composition

Topline Securities stated that MSCI rebalancing came into effect where Semi Annual Index Review (SAIR) changes announced earlier during the month were implemented.

MSCI announced addition of Oil & Gas Development Company (OGDC) and deletion of Habib Bank Limited (HBL) from the constituent list of its Frontier Market Index (FM).

MSCI adds OGDC into Frontier Markets Index, HBL moves to Small Cap

Within MSCI FM Small Cap indexes, Engro Polymer Chemicals (EPCL), Habib Bank (HBL) and Indus Motors Company Limited (INDU) were added.

On the financial front, Park View Enclave (Private) Limited, a company involved in the property business, has expressed its intention to acquire at least 51% shareholding and control of Silkbank Limited.

Park View Enclave intends to acquire majority shares of Silkbank

Meanwhile, the rupee extended its rally for the third successive session against the US dollar on Tuesday and closed at Rs198.46 in inter-bank market. The local currency has regained Rs3.64 per dollar since it hit all time low of Rs202.1 last week.

Rupee records third successive gain to close at 198.46 against dollar

Sectors driving the benchmark KSE-100 index upwards included power generation and distribution (61.44 points), oil and gas exploration (59.95 points) and technology and communication (24.12 points).

Volume on the all-share index rose to 285.4 million from 187.5 million on Monday. The value of shares traded jumped to Rs7.39 billion from Rs6.12 billion recorded in the previous session.

Silkbank was the volume leader with 71.6 million shares, followed by Pakistan International Bulk Terminal with 35.6 million shares, and Pakistan Refinery with 21.1 million shares.

Shares of 344 companies were traded on Tuesday, of which 147 registered an increase, 173 recorded a fall, and 24 remained unchanged.