Shares moved both ways on the Lahore Stock Exchange (LSE) on Wednesday, but finally closed in the green zone after they recovered their position and amid the descending transaction volume because investors lacked interest.
The LSE-25 index managed to gain 24.22 points and closed at 4747.38 against 4723.16 on Tuesday, while trading turnover contracted to 35.019 million shares as compared to 43.852 million shares changed hands a day earlier.
The National Bank, Lucky Cement, Callmate Telips Telecom, the Bank of Punjab, and MCB Bank strengthened their values, while Javed Omer Vohra & Co, Arif Habib Securities and Attock Refinery remained under pressure and closed in the red zone.
The market opened happily, but failed to sustain because of selling pressure in Javed Omer Vohra & Co and Arif Habib Securities. The main factor upsetting the market sentiments was peace talks between the government and the local Taliban that collapsed in the tribal areas. Investors believe that failure could be evident from firing of rocket on securities check-posts in Bannu, soon after the talks between tribal heads and government representatives reached dead end, said Mirza Muhammad Irfan of First Capital Securities.
During the Wednesday's trading, Javed Omer Vohra & Co having to face lower cap as the selling pressure witnessed a great volatility. It also trapped other equities offloaded by the investors to pocket available margin or secure their position, he added.
Meanwhile, the National Bank of Pakistan, on the basis of news about the issuance of its GDRs (Global Depository Receipts) in the international market, successfully tried to change the sentiments, which also helped the bank improve its value by Rs 5.45.
There was also news in the market that the Pakistan Cement Company managed to receive financing of Rs 3 billion boosting the cement sector. Omer said the cement sector could perform well in coming days and the investors should cash in on the investment in this sector shares on dip.
Declining stocks were more than advancing ones. Out of a total 112 companies, 31 gained strength, 34 eroded their values while 47 closed at their overnight closing levels. In the positive zone, Honda Atlas Cars improved by Rs 5.55, the National Bank appreciated by Rs 5.45, Engro Chemical gained Rs 4.70, while PSO and Lucky Cement were up by Rs 4.00 and Rs 3.70.
Among losers, Javed Omer Vohra & Co lost Rs 5.60, Allied Bank declined by Rs 5.50, Pak Oil Fields depreciated by Rs 4.25 while Attock Refinery and PPL were down by Rs 2.95 and Rs 2.40 respectively. The Arif Habib Securities with trading of 4.844 million shares topped the volume leaders followed by the Bank Alfalah with a transaction of 3.867 million shares.