Trade activity was range-bound on Lahore Stock Exchange (LSE) on Thursday with all key oil sectors' scrips remaining under pressure, leading to negative closing of the market. The LSE-25 index finished at 4600.10 points as against 4621.99 of Wednesday, recording a loss of 21.89 points.
Overall turnover retreated to 43.576 million shares from 52.167 million of the past session, decreasing by 8.591 million shares. The market opened with a positive note but subsequently profit taking took place, which depressed the sentiment. According to analysts, overall activity was range-bound with most of key exploration and oil distribution companies trading under pressure. PSO was also depressed because of reports regarding delay of its privatisation.
Analysts, however, pointed out that due to foreign funds interest and backed by the additional support of good corporate results, the market has been showing a positive trend with short corrections, therefore, now people are in mood of profit-taking. On Thursday, Adamjee Insurance emerged as the major gainer while Pakistan Oilfields topped the declines' column.
The market moved in a very tight band with both up and down fluctuations throughout the session, Mirza Muhammad Irfan Baig, equity research head of Capital Vision Securities Ltd, said. Apart from profit-taking that was quite normally taking place at the existing levels, the news of resignation of KSE managing director was also received sadly by the people in the market. Although, it has no tangible impact on the market sentiment, but it is concerning in the sense that the market is facing internal problems, he pointed out.
Exploration companies such as OGDC and Pakistan Oilfields were the main victims of pressure on Thursday, which disturbed the sentiment, he stated. However, late buying in Adamjee Insurance, Javed Omer Vohra and Attock Refinery, which also reached their upper cap limits, minimised the losses. Buying also took place in fertilisers with Engro Chemical and Fauji Fertiliser Bin Qasim moved ahead. The market is in consolidation phase and if peace and tranquillity prevail in the country and nothing, untoward happens in the political arena, it will be moving towards new high levels, Irfan said.
Out of a total of 150 traded scrips, 25 were up, 39 landed in minus zone while 86 were intact to their previous levels. In positive column, Adamjee Insurance gained Rs 8.70, Javed Omer Vohra & Co, and Attock Refinery Rs 5.20 each, Engro Chemical Rs 5.10 and ICI Pakistan Rs 4.00. Among key losers, Pakistan Oilfields shed Rs 3.00, PSO Rs 2.00, Bank Alfalah Rs 1.55, Pakistan Telecommunication Rs 1.45 and PPL Rs 1.35. Fauji Fertiliser Bin Qasim was the volume leader with 7.252 million shares followed by Lucky Cement with 4.052 million shares.