Karachi equities ended the week in green with KSE-100 index growing by three percent to close at 33,843.18 points. The otherwise bearish bourse, researchers at Topline Research believe, tracked recovery in Asian markets. Further, they said, sharp recovery was seen in global crude oil prices during the week that ended on October 9. Arab Light and WTI Crude increased up 12 and 9 percent week-on-week (WoW) respectively.
"Resultantly, oil and gas sector at the KSE index marched up 8 percent WoW," said analysts.
Faizan Ahmed of JS Research said excitement returned to the market with elimination of sentimental concerns during the week, putting an end to continued dull activity which had plagued the market from September 15.
Off late, the analyst said, the KSE continued to defy improvement in macros like IMF tranche, persistently low CPI readings, 50bps DR cut etc amidst rumours of NAB and SECP investigations against some brokers that later reverted with the SECP''s clarification on the subject.
During the week, the trading volumes declined two percent averaging on 175 million shares. The value of stocks traded surged 20 percent to Rs 9.6 billion or $91.6 million.
Foreign investors appeared as net sellers of portfolios worth $19.3 million.
While mutual funds and high net worth individuals made positions of $14.2 and $4.9 million, the foreigners took their year-to-date net selling to $195.8 million.
Oil and gas, construction and material and commercial banks gained 8, 4 and 2 percent respectively. The losers were from tobacco and life insurance sectors braving 4 and 3 percent, respectively.
Key highlights of the week included: foreign exchange reserves hitting all-time high of $20 billion, approval of Rs 2.60 per unit cut in electricity tariff from November 2015, finalisation of provisional price of $8.6 per mmbtu for RLNG by OGRA and 15-20 basis points dip in PIBs cut-off yield.
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