Bulls rule PSX

Pakistan Stock Exchange witnessed a bullish trend during the outgoing week ended November 08, 2019 on the back of healthy buying by local and foreign investors. BRIndex100 gained 162.98 points on week-on-week basis to close at 3,769.09 points. Average daily volumes stood at 234.794 million shares.

BRIndex30 increased by 779.83 points to close at 19703.52 points with average daily turnover of 153.444 million shares.

The KSE-100 Index surged by 1,600.55 points on week-on-week basis and closed at 35,978.16 points. Trading activities also improved significantly as average daily volumes on ready counter increased by 55.2 percent to 258.17 million shares as compared to previous week's average of 166.36 million shares. Average daily trading value increased by 51.7 percent to Rs 8.45 billion.

The foreign investors also remained net buyers of equities worth $4.6 million during this week. Total market capitalization increased by Rs 263 billion to Rs 6.961 trillion.

An analyst at AKD Securities said that the index continued the momentum gained towards the end of last week and started the week on a strong footing, increasing by 900 points in first trading session, supported by declining yields in the PIB auction held last week while additional stimulus was provided by easing tensions on the political front between government and opposition. Moreover, encouraging numbers clocked in for external account which provided further support. The enthusiasm based on aforesaid factors was carried for the whole week as index closed all 5 trading days of the week in green.

Top performers during the week in the AKD Universe were, HASCOL (up 19.09 percent), INDU (up 18.82 percent), PSMC (up 12.56 percent), FFBL (up 11.02 percent) and NCL (up 10.14 percent) while ASTL (down 3.50 percent), FCCL (down 2.99 percent), ABL (down 2.53 percent) and MEBL (down 1.06 percent) were the major losers.

An analyst at JS Global Capital said that the local equity market gained for the second week in a row, crossing the 36,000 mark in the process before closing at 35,978, up 4.7 percent on week-on-week basis.

Most of the positivity was due to a spate of good news on various fronts. For instance, on the political front, news of Nawaz Sharif being granted permission to go abroad for medical treatment and the Azadi (Freedom) March by JUI-F not gathering sufficient steam were reasons for investors to expect less friction between political parties as was being initially anticipated.