Bullish trend prevailed on the Lahore Stock Exchange (LSE) where the petroleum sector led the equities upward, amid ascending transaction volume despite heavy badla charges. The LSE-25 index further improved by 200 points, closing at 4918.88 against 4717.95 of Monday, while trading turnover increased by 32.230 million shares to 195.128 million shares as compared to 162.897 million shares traded a day earlier.
PSO and OGDC were the market drivers, while National Bank and PTCL provided substantial support to the market. However, most of the cement sector shares including DG Khan Cement, Lucky Cement, Maple Leaf Cement, Fauji Cement, and Pioneer Cement remained under pressure. PPL and Bank Alfalah also remained under selling pressure on account of profit-taking.
The market, which opened on a healthy note, stayed in positive zone during the entire day's proceedings. The oil and gas sector and PTCL could be accounted for the ongoing rising trend. The investors' interest in PTCL is because of its privatisation, while foreign buying helped oil and gas sector register fresh gains. The market trend was surprising for investors, as previous day's carry over charges at the LSE forced them to think twice prior to trading.
The market, despite heavy Badla and three-day Badla on Tuesday, showed a gain of 200 points at the LSE, while a fresh record of new high of 355 points was seen during a single day at the KSE. The market once again broke all the records, including closing index, highest index and market total capitalisation, said Ahmad Nabeel, Head of Research, Invest and Finance Securities, while commenting on the market sentiment.
Most of the analysts failed in assessing and giving advice to investors on the market, which was 'very hot and burning figures of the slow movers', he added. The scenario is beyond merit, growth and realistic indicators, therefore, the investors should be very careful and the regulatory bodies like the State Bank of Pakistan and the Securities and Exchange Commission of Pakistan (SECP) should play their role more promptly and prudently, as the market sharp and upward move is totally against its existing worth, he opined.
Declining stocks were ahead of advancing ones, as out of a total of 81 active issues, 21 companies registered gains, 26 landed in negative column, while 34 stayed glued to its previous levels.
In positive column, PSO improved by Rs 31.05, OGDC gained Rs 8.35, Picic Growth Fund appreciated by Rs 5.05, while National Bank and PTCL were up by Rs 4.75 and Rs 4.20, respectively.
In negative column, DG Khan Cement lost Rs 2.75, Lucky Cement declined by Rs 2.60, while Engro Chemical and Maple Leaf Cement were down by Rs 1.50 and Rs 1.45, respectively.
PTCL was the market leader whose 65.402 million shares changed hands followed by OGDC with total transaction of 47.789 million shares.