Upward momentum

Karachi Stock Market continued its upward thrust throughout the week on the back of continued robust corporate results for the quarter ended December 2012 and steady foreign portfolio investment inflow. The KSE-100 index closed at an all-time high level of 18,185.19 after gaining 110.92 points with decent average trading volumes of 324.43 million shares up five percent week-on-week (WoW).
"Local stock market saw another historic week with local and foreign fund managers' support. Index closed to another all-time high level to 18,185," said Samar Iqbal - an analyst at Topline Securities.
She said that major activity was witnessed in Engro as it gained eight percent during the week amid positive development on gas supply. National Bank and Hub Power Company followed suit after announcing handsome payouts for their December results.
Telecom sector witnessed heavy volumes amid uncertainty regarding future of higher LDI business. Lower than expected CPI announcement also helped index going forward, announcement on caretaker set-up would lead the sentiments, she added.
Navid Tehseen, an analyst at JS Global said that market witnessed its high trend due to continued better corporate results for the quarter ended December 2012 and foreign investment.
"Foreigners were net buyers of US$10.5 million during the week. Key highlights of the week are: 1) CPI for February 2013, which clocked in at 7.4 percent YoY; 2) Local petroleum product prices were hiked by 3-4 percent; 3) Fertiliser offtake figures for January showed a decline of eight percent YoY; and 4) Hub Power announced plans to hive off its Narowal plant," he said.
Weekly average volume witnessed an increase of 5.1 percent to Rs 324.43 million shares compared to Rs 308.74 million a week earlier and Market Capitalisation also remained up by 0.3 percent to Rs 4.506 trillion from Rs 4.491 trillion.
Besides, average daily value during the last week improved by 6.1 percent to Rs 8.99 billion compared to Rs 8.47 billion recorded during the previous trading week.
According to the details of day-by-day trading sessions of last week, Karachi Stock Market ended lower on Monday as investors chose to book profit. The benchmark KSE-100 index lost 53.77 points to close at 18,020.50 points from 18,074.27 points.
Bears continued their grip over Karachi Stock Market on the second consecutive day and the benchmark KSE-100 index on Tuesday lost 125.6 points again to close at 17,894.9 points.
After two volatile sessions, bulls succeeded to take charge at Karachi Stock Market on Wednesday and the benchmark KSE-100 index rose 186.01 points to close at 18,080.91.
One more bull-run session was witnessed at Karachi Stock Market on Thursday as the benchmark KSE-100 index gained 92.76 points with reaching at all-time-high level of 18,173.67.
And on Friday, Karachi Share Market achieved one more milestone on the last day of the week as the index closed at 18,185.19 from 18,173.67 with gaining of 11.52 points.