The Karachi share market last week ending on February 23, 3008 reacted very positively to the successful holding of general elections, and the KSE-100 reached its new highest level of 14,980.66 points with total gain of 626.82 points.
The KSE-30 index also reached new high level to close at 18,387.09 points with a gain of 1091.12 points. Market capitalisation also reached highest level so far of Rs 4.608 trillion with an increase of Rs 185 billion. The market witnessed healthy trading activity and the average daily volume of ready market touched 18-week high of 361 million shares, up by 39 percent. The average turnover of futures market increased by 65 percent to 52.7 million shares.
It was a four-day week, as the market was closed on Monday due to general elections. The market reacted extremely positively on the holding of peaceful general elections and the KSE-100 index surged by 443.34 points to close at 14,797.18 points level on the first day after elections on Tuesday. This was the highest record closing level of the index during current year and second highest closing level in its history. The KSE-30 index increased by 652.29 points to settle at 17,948.26 points level.
On Wednesday the KSE-100 index touched its highest ever level of 14,957.48 points, but closed at 14,829.58 points with a gain of 32.40 points on the back of strong interest of both local and foreign investors. The KSE-30 index gained 140.65 points and closed at 18,088.91 points.
The post-election rally continued and the KSE-100 index breached through 15,000 historic level to hit 15,035.11 intra-day highest ever level on Thursday and finally closed at its new record level of 14,971.97 points with a net gain of 142.39 points while the KSE-30 index surged by 174.48 points to close at its all time high level of 18,263.39 points.
On Friday, the KSE-100 index once again crossed the 15,000 psychological level but could not sustain the level and closed at its new record level of 14,980.66 points with a gain of 8.69 points. The KSE-30 index surged by 123.70 points to 18,387.09 points level.
Usman Zahid, an analyst at JS Global Capital said that the rally was backed by not only local investors but also foreign investors, who returned to market following elections. Resultantly, net SCRAs inflow entered positive zone on the end of the week at $10 million.
Telecom sector was the best performer as its market cap rose by 7 percent compared to market's increase of 4 percent. Good earnings and better payouts helped the banking sector's performance, as its market cap increased by 6 percent. Similarly, cement sector's market cap rose by 5 percent due to better sales expectations. Moreover, oil price in the international market reached their record level of over $100 per barrel, giving good support to OMC and E&P sectors, as their market cap increased by 5 percent and 4 percent respectively.