The Karachi share market continued to post a positive trend amid hopes for political patch-up in Islamabad. The benchmark KSE-100 index gained another 335 points to close at 29,596 points Wednesday compared to 29,260 points Tuesday. Ahsan Mehanti, an analyst at Arif Habib, said stocks closed higher on the second consecutive day amid hopes for patch-up by political panels formed by government to ease crisis.
Presently, investors are very hopeful for any patch-up as the government and opposition parties are making efforts for peaceful conclusion of PAT and PTI sit-ins, he added. "Below expected earnings of PSO and falling spread in banking sector impacted the sentiment. Record earning in select blue chip cement, oil and banking stocks played a catalyst role in bullish close at KSE," he added.
Analysts at JS said the KSE-100 index gained further momentum Wednesday to close within the green zone at 29,260, up 1.1 percent. "The positive sentiment in the market, to a large degree is associated with the political situation getting a direction," said Muhammad Mubeen of JS. LUCK again turned out to be the top pick for today as it reached its upper circuit on euphoric post result buying, while, PSO declared a cash dividend of Rs4 per share with earnings of Rs80.3 per share.
"Going forward, it seems that investors are likely to remain cautious and not to get carried away with the ongoing bullish momentum as there can be yet another twist in the political drama," he added. During the intra-day trading, the market fluctuated in green zone and the KSE-100 index also touched 29,650 points highest level. Volume at the ready counter is gradually increasing and has reached 200 million shares compared to 183 million in previous session.
With an increase of Rs 85.7 billion, market capitalisation reached Rs 6.965 trillion against previous Rs 6.879 trillion. Trading took place in 386 companies, of which 254 closed in green zone, 106 in red, while 26 remained unchanged. Among top 10 volume leaders, two recorded a negative trend, while the remaining closed positive. Pak Elektron Ltd emerged the volume leader with 14.5 million shares, gaining Rs 1.52 to close at Rs 32.09. Maple Leaf Cement stood second, up Rs 1.12 to Rs 29.08 on 14.5 million shares. Jah. Sidd. Co ranked third with 14 million shares to close at Rs 10.64, up Re 0.80.
Some 9.8 million shares of Fauji Cement changed hands and the scrip gained Re 0.24 to Rs 19.88. With a trading volume of 9.2 million, Engro Fertilizer lost Re 0.11 to close at Rs 53.28. Askari Bank moved up by Re 0.97 to Rs 21.15 on 8.3 million shares. B.O.Punjab closed at Rs 8.28, down Re 0.01 on 6.9 million shares. Faysal Bank gained Re 0.59 to Rs 16.25 on 6 million shares. D.G.Khan Cement increased by Rs 2.99 to close at Rs 79.46 on 5.9 million shares. Pak Int Bulk closed positive with a gain of Rs 1.02 to Rs 22.39 on 5.7 million shares. Wyeth Pak Ltd and Nestle Pak were the top gainers with Rs 175.95 and Rs 99.01 to close at Rs 3,703.95 and Rs 7,999.00, respectively. Rafhan Maize and Island Textile were the top losers with Rs 50.00 and Rs 44.00 to close at Rs 10,700.00 and Rs 885.00, respectively.