KARACHI: Pakistan Stock Exchange (PSX) continued sharp recovery on Wednesday as political uncertainty eased after the announcement of coalition government setup.

The benchmark KSE-100 Index gained 927 points or 1.51 percent and closed at 62,154 points up from 61,227 points a day earlier. The market was remained bullish throughout the session and index also hit 62,432.26 points intraday high during the trading.

However, trading activity reduced as daily volumes on ready counter decreased to 303.88 million shares on Wednesday compared to 435.549 million shares traded on Tuesday. The daily traded value on the ready counter also fell to Rs 14.687 billion as against previous session’s Rs 15.972 billion.

On Wednesday, BRIndex100 gained 102.39 points or 1.64 percent to close at 6,334.11 points compared to 6,231.72 points a day earlier. It touched an intraday high of 6,334.11 and an intraday low of 6,231.72 points. Total volume at BRIndex100 was 278.405 million.

BRIndex30 also increased by 364 points or 1.7 percent to reach at 21,719.80 points with a total volume of 210.829 million shares.

Analysts said that the buying momentum can be attributed to clarification with regards to formation of new government where major political parties agreed and announced about upcoming coalition setup. News flow on the political and economic front improved market and investors’ sentiments, they added.

Due to these developments, across the board buying momentum has been seen throughout the trading hours. Resultantly, E&P, Fertilizer, Tech & OMC sector contributed positively to the index as PPL, ENGRO, EFERT, SYS & PSO added 343 points, cumulatively.

Total market capitalization rose by Rs 126 billion to stand at Rs 9.046 trillion. Out of total 342 active scrips, 267 closed in positive and 56 in negative while the value of 19 stocks remained unchanged.

K-Electric was the volume leader with 33.17 million shares and increased by Re. 0.32 to close at Rs 4.47 followed by Oil and Gas Dev. that declined by Rs 2.17 to close at Rs 122.01 with 32.23 million shares. Pak Petroleum closed at Rs 107.37, up Rs 6.1 with 15.505 million shares.

Philip Morris (Pakistan) Limited and Indus Motor Company Limited were the top gainers increasing by Rs 38.50 and Rs 38.17 respectively to close at Rs 728.50 and Rs 1,518.26. While Ismail Industries Limited and Rafhan Maize Products Company Limited were the top losers declining by Rs 93.70 and Rs 26.76 respectively to close at Rs 1,155.63 and Rs 8,276.25.

BR Automobile Assembler Index increased by 307.69 points or 2.19 percent to close at 14,345.13 points with a total turnover of 5.959 million shares.

BR Cement Index gained 87.08 points or 1.38 percent to reach at 6,377.33 points with a total turnover of 24.25 million shares.

BR Commercial Banks Index surged by 128.51 points or 0.82 percent to close at 15,736.22 points with a total turnover of 19.378 million shares.

BR Power Generation and Distribution Index up by 42.37 points or 0.31 percent to at 13,659.78 points with and its 51.691 million shares were traded.

BR Oil and Gas Index increased by 145.48 points or 2.54 percent to 5,864.73 points with a total turnover of 65.481 million shares.

BR Tech. & Comm. Index gained 91 points or 2.63 percent to reach at 3,556.99 with a total turnover of 37.093 million shares.

Ahsan Mehanti at Arif Habib Corporation said that Pakistan stocks showed sharp recovery as investor weigh decisions of coalition government setup, upbeat data on car sales surging by 30pc YoY in Jan’24 and MSCI inclusion of 22 firms to frontier market and small cap index.

In addition, strong earnings outlook and rupee stability played catalyst role in bullish close in the post-election rally at PSX, he added.

Copyright Business Recorder, 2024