KARACHI: Pakistan Stock Exchange on Friday witnessed a bullish trend after the SBP slashed key policy rate amid falling inflation and the IMF announcement for its executive board likely approval of $7.0 billion loan program soon.
The benchmark KSE-100 Index increased by 315.44 points or 0.40 percent and closed at 79,333.06 points. The index crossed 80,000 psychological level to hit 80,016.74 points intraday high however closed at lower level due to profit-taking in some stocks.
Trading activity also improved as total daily volumes on ready counter increased to 916.053 million shares as compared to 584.276 million shares traded on Thursday while total daily traded value on the ready counter increased to Rs 21.236 billion against previous session’s Rs 16.364 billion.
BRIndex100 inched up by 23.92 points or 0.29 percent to close at 8,400.98 points with total daily turnover of 607.744 million shares.
BRIndex30 gained 74.26 points or 0.27 percent to close at 27,189.54 points with total daily trading volumes of 355.052 million shares.
Foreign investors however remained on the selling side and withdrew $2.890 million from the local equity market. Total market capitalization increased by Rs 36 billion to Rs 10.542 trillion. Out of total 438 active scrips, 211 closed in negative and 184 in positive while the value of 43 stocks remained unchanged.
WorldCall Telecom was the volume leader with 87.808 million shares however lost Rs 0.05 to close at Rs 1.38 followed by Pervez Ahmed Co that gained Rs 0.68 to close at Rs 2.03 with 75.919 million shares. Kohinoor Spining closed at Rs 8.41, down Rs 0.46 with 63.753 million shares.
Unilever Pakistan Foods and Ismail Industries were the top gainers increasing by Rs 102.50 and Rs 93.97 respectively to close at Rs 17,542.50 and Rs 1,700.00 while Hoechst Pakistan and Dynea Pakistan were the top losers declining by Rs 49.00 and Rs 26.02 respectively to close at Rs 1,951.00 and Rs 234.22.
“A 200bps cut in interest rates (better than street expectation of 150bps) and Pakistan Agenda came on IMF Board of Directors calendar as meeting got fixed on September 25, 2024 were the two key catalysts for the bullish trend anticipated by investor’s community post their Thursday’s announcement,” an analyst at Topline Securities said.
Initially, PSX commenced the day as per expectation and made an intraday high at 80,017 level (gained 999 points; up 1.27 percent) in the early trading hours. However, selling headwinds above 80,000 level pushed the benchmark index below 80,000 as KSE-100 index called the day at 79,333 level (up 315 points or 0.40 percent).
BR Automobile Assembler Index gained 26.39 points or 0.15 percent to close at 17,202.30 points with total turnover of 8.979 million shares.
BR Cement Index declined by 96.67 points or 1.22 percent to close at 7,802.87 points with 63.079 million shares.
BR Commercial Banks Index lost 35.7 points or 0.16 percent to close at 21,833.87 points with 27.197 million shares.
BR Power Generation and Distribution Index added 99.06 points or 0.54 percent to close at 18,468.06 points with 16.750 million shares.
BR Oil and Gas Index increased by 85.94 points or 1.2 percent to close at 7,276.09 points with 39.258 million shares.
BR Tech. & Comm. Index closed at 4,001.30 points, down 7.59 points or 0.19 percent with 186.664 million shares.
Ahsan Mehanti at Arif Habib Corporation said stocks closed bullish after SBP slashed key policy rate by 200bps to 17.5 percent amid falling inflation and IMF announcement for its executive board likely approval of $7.0 billion new IMF loan program on September 25, 2024.
He said FM affirmation for resolve on all IMF issues, $2.0 billion external financing resolve from friendly countries, strong Pak Rupee and surging forex reserves played a catalytic role in bullish close.
Copyright Business Recorder, 2024
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