Karachi share market witnessed a bullish session on Tuesday with the KSE-100 index breaching through 12,800 points' level and reaching near 13,000 points' level on the back of increasing oil prices in the international market and fresh oil and gas discoveries in the country.
The market started on a positive note and bulls gradually strengthened their position. The index hit 12,989.56 points intra-day high level. The KSE-100 index surged by 160.75 points to close at 12,952.60, while the KSE-30 index increased by 213.18 points to close at 15,674.19 points level.
The market witnessed healthy trading activity as the ready market volume increased to 213.825 million shares as compared to 136.280 million shares traded a day earlier. The futures market turnover surged to 34.686 million shares against 23.648 million shares on Monday.
The overall market capitalisation increased by Rs 50 billion to Rs 3.796 trillion. Trading took place in 327 scrips, out of which 198 scrips closed in positive and 89 in negative, while the value of 40 scrips remained unchanged.
TRG Pakistan was the star performer of the day with 36.665 million shares and the scrip surged by Rs 0.85 to close at Rs 15.35 followed by Arif Habib Sec, which gained Rs 4.55 to close at Rs 142.90 with a total volume of 20.221 million shares.
Healthy trading activity was witnessed in oil related stocks as Pakistan Petroleum Limited (PPL) and Pakistan Oilfields Limited (POL) surged by Rs 4.15 and Rs 5.50 to close at Rs 257.75 and Rs 311.50 respectively. Bosicor Pakistan increased by Rs 0.85 to close at Rs 19.35. Attock Refinery gained Rs 10 to close at Rs 210.55.
In cement sector, Lucky Cement increased by Rs 0.25 to close at Rs 124.25. Bank of Punjab (BoP) gained Rs 0.90 to close at Rs 96.45. Fauji Fertiliser Bin Qasim closed at the same level of Rs 42.50 without any change.
Attock Petroleum and JS Global Capital were the highest gainers, with Rs 25.65 and Rs 23.05 gains to close at Rs 538.65 and Rs 523 respectively, while Unilever and Bata (Pak) were the highest losers. They lost Rs 19.95 and Rs 11 to close at Rs 2,330.05 and Rs 379 respectively.
Kamran Naqvi at Atlas Capital Markets said that the investors were in positive frame of mind on Tuesday. Soaring oil prices and prospects of discoveries in oil stocks created healthy activity in the sector.
Oil marketing giants Pakistan State Oil (PSO), Shell and APL closed at their upper limits on the probability of inventory gains as furnace oil prices were at their peak in international as well as domestic markets. Positive sentiment prevailed in the market as a whole and good activity was generated in banking, telecommunication and cement sector stocks as well.
Hasnain Asghar Ali at Aziz Fidahusein Securities said that the rising oil prices allowed the index to attain the levels that seemed next to impossible during the last few days.
Across the board buying spree led by oil and gas exploration and market stocks index in no time breached the important resistant of 12,920-12,927. Activity was witnessed in almost all the sectors, the changing political and geo-political scenario, however, restricted the surge accumulation supported by healthy turnover certainly gives a positive signals.
Technically, index faces next major resistance around 13,096-13,110, while immediate support after an intra-day support of 12,870-12,877 stays at 12,803-12,810.