Boosted by strong buying interest, notably in fuel & energy and cement sectors, equities surged with the index scoring 59.13 points on the Lahore stock Exchange (LSE).
The LSE-25 index soared to 2959.49 points from Tuesday's closing of 2900.36 points. Volume also showed a remarkable improvement of 36.571 million shares to 102.086 million versus 65.515 million shares of the previous session.
Trading resumed with a healthy note and the market, spurred by interest in key shares, remained in positive zone during the entire session. According to stock brokers, they recorded across-the-board gains but big players and institutions mainly focused on fuel & energy and cement sectors, which led the proceedings on the day.
PSO led in fuel & energy sector, while in cement sector D G Khan Cement did very well and added fresh gains to its worth. Analysts said that the institutional interest is seen to grow further in the market, therefore, it could extend gains on Thursday.
During the last few sessions, the market has shown weakness and that was the reflection of the Bombay stock market, which lost 800 points in two sessions on political uncertainty, said Javed Iqbal, Chief Executive, Javed Iqbal Securities Ltd Subsequently, encouraged by the news that Sonia Gandhi is no more in race of premier-ship and a former reformist could become the head of the Indian government, the Bombay market recovered, he added.
A number of Pakistani investors also carry out trade in Indian market through Dubai, therefore, when they off-loaded its impact was also seen in the local market, he explained.
"I believe the foreign investors, running away from the Indian market, might come to Pakistan if our government concentrates on improving law and order situation in the country, he observed. Because of law and order problem, foreign investors preferred India over Pakistan.
Therefore, it is suggested the government, besides improving law and order situation, should also clarify its privatisation policy and take measures to ensure investors about consistency in its policies. This will boost foreign investors' confidence in the market, he viewed.
About the budget rally, he said that investors are very optimistic about the budget, and in this perspective their hopes are very high about, cement, banks and fertiliser stocks.
Out of a total of 93 scrips, 39 were up, 5 showed negative signs while 49 were unchanged to its previous levels. Among leading gainers, PSO was up Rs 4.05, D G Khan Cement Rs 2.15 and Bosicor Pakistan Rs 1.69. Among leading losers, Pakistan Oil Fields lost Rs 2.00, Haydery Construction Co Rs 1.50 and Askari Commercial Bank Rs 1.45.