Karachi share market on Monday took an upward trend on the back of late buying due to recent developments on political front, including deportation of Mian Nawaz Sharif, and the KSE-100 index gained 139.24 points to close at 12,545.95 points'' level. The KSE-30 index increased by 251.51 points to close at 15,351.80 points'' level.
The market started on a negative note due to uncertainty on political front and the KSE-100 index hit 12,284.02 points intra-day low level, but the late buying, mainly in cement sector stocks, supported the index to recover its intra-day losses and to close in positive.
Trading, however, remained dull as the ready market volume remained at lower side at 173.308 million shares as compared to 169.814 million shares traded on Friday. The futures market turnover increased to 57.572 million shares against 54.162 million shares previously. The overall market capitalisation surged by Rs 47 billion to Rs 3.649 trillion. Trading took place in 301 scrips, out of which 178 scrips closed in positive and 90 in negative, while the value of 33 scrips remained unchanged.
The cement sector led the rally and Lucky Cement was the star performer of the day with 15.765 million shares and the scrip gained rupees six to close at Rs 126.40 followed by DG Khan Cement, which increased by Rs 5.10 to close at Rs 107.60 with a total volume of 13.422 million shares. Maple Leaf Cement surged by Rs 0.65 to close at Rs 22.30.
In banking sector, Bank Al Falah and National Bank of Pakistan (NBP) gained Rs 1.25 and Rs 3.40 to close at Rs 47.75 and Rs 237.40 respectively. The E&P sector also witnessed fresh buying as Oil and Gas Development Company (OGDC) and Pakistan Oilfields Limited (POL) increased by Rs 0.75 and Rs 4.65 to close at Rs 109.50 and Rs 305.25 respectively.
Arif Habib Sec surged by Rs 3.30 to close at Rs 121.60, Adamjee Insurance gained Rs 4.55 to close at Rs 312.55 and TRG Pakistan closed at Rs 13.65, up by Rs 0.30. Lakson Tobacco and EFU Life Assurance were the highest gainers, with Rs 18.50 and Rs 13.60 gains to close at Rs 603.50 and Rs 379.95 respectively, while Unilever and Millat Tractors were the highest losers. They lost Rs 39.95 and Rs 12 to close at Rs 2,300 and Rs 300 respectively.
Ovais Siddiqui, head of research at JS Global Capital Limited said that although the start of the market was depressive on the back of political uncertainty in the country and investors remained cautious in the early hours.
But the later development on this front created positive momentum and the index entered positive zone. The market participants were of the view that President Pervez Musharraf''s position would be strong after the recent developments on political front.
The cement sector led the rally and Lucky Cement and DG Khan Cement closed at their upper circuits. Some recovery was also witnessed in some select banking and E&P sector stocks. Foreign interest was witnessed during the last couple of days as the massive inflow of portfolio investment was witnessed at the country''s equity market during the current month.
Ahsan Mehanti at Shehzad Chamdia Securities said that the deportation of Mian Nawaz Sharif ended the political uncertainty prevailing in the country. The institutional and retail investors'' interest was also witnessed on confidence revival.
The oil prices also rose up to 77 dollars per barrel in the international market, which was also a positive sign for investment in relevant stocks. The cement sector witnessed healthy buying on the back of start of its export to India and some of the relevant stocks closed at their upper circuits.