KARACHI: Pakistan Stock Exchange performed exceptionally well and extended its upward momentum to hit highest ever level for the first time in its history during the outgoing week ended on November 10, 2023.
The benchmark KSE-100 index crossed 55,000 historic level for the first time in its history and closed at new highest ever level of 55,391.37 points from previous week’s closing level of 53,123.04 pointswith hefty net gains of 2268.33 points or 4.27 percent on week-on-week basis.
Trading activities also improved further as average daily volumes on ready counter increased by 20.8 percent to 544.05 million shares as compared to previous week’s average of 450.52 million shares while average daily traded value on ready counter increased by 31.2 percent to Rs 19.36 billion against previous week’s Rs 14.75 billion.
BRIndex100 added 226.66 points during this week to close at 5,648.46 points with average daily turnover of 472.332 million shares.
BRIndex30 increased by 926.26 points and crossed 19,000 level to close at 19,783.07 points with average daily trading volumes of 320.416 million shares.
The foreign investors also remained net buyers of shares worth $1.270 million.Total market capitalization increased by Rs 277 billion during this week to Rs 7.953 trillion.
An analyst at AKD Securities said that the week saw the local bourse maintaining its relentless bull run, closing at 55,391points, up 4.27 percent WoW), with volumes averaging 544.05million shares.
The sentiments are driven by an overall positive atmosphere owing to IMF’s review under the SBA, as technical level talks, followed by policy level discussions beginning Monday. Overall, discussions seem to be on a positive trajectory with IMF mostly questioning the fiscal targets and delays regarding gas price revisions.
Furthermore, PIB auction held during the week saw yields declining on all three papers with 3/5/10year bond yields standing at 17.39 percent/15.95 percent/15.10 percent (down 180/100/15bps), helping reinforce expectations of an end to further monetary tightening.
Buying was witnessed sector wise in Chemical and Cement, emerging as the top performers (up 8.53 percent/ 8.34 percent WoW), whilst close-end Mutual Fund saw major selling (down 8.22 percent WoW).
Flow-wise, major selling was recorded by Insurance Cos. with a net sell of $16.9million, while Banks/DFI absorbed the selling with a net buy of $16.3million.
Company-wise, top performers were CNERGY (up 24.2 percent), KOHC (up 17.2 percent), CEPB (up 14.5 percent), FCCL (up 14.2 percent) and KTML (up 14.1 percent), while laggards were HGFA (down 7.4 percent), UNITY (down 4.7 percent), BNWM (down 4.6 percent), EFUG (down 3.3 percent) and ABOT (down 3.1 percent).
Total volume leaders were CNERGY at 260.43million shares; PRL at 144.93million shares; HUMNL at 130.01million shares; KOSM at 91.53million shares and WTL at 81.75million shares.
An analyst at JS Global Capital said that the KSE-100 index extended its upward momentum, reaching new highs and concluded the week at 55,391, marking a 4.3 percent increase.
Focal point of the week remained the ongoing discussions between Government and the IMF. Regarding fiscal matters, the IMF and FBR deliberated on implementing structural adjustments in tax collection, including the introduction of taxes on agriculture, real estate, and retail sectors.
On the energy sector, IMF expressed concerns regarding the delay in notification for gas tariff hike. Notably, OGRA eventually announced a tariff hike of 20 percent-150 percent for residential consumers and 5 percent-193 percent for various industries, effective from November 01, 2023.
Copyright Business Recorder, 2023