Stocks hit all-time high

01 Oct, 2016

Bulls returned to Pakistan Stock Exchange (PSX) Friday and the benchmark KSE-100 index closed at the highest-ever level of 40,542 points, making a healthy gain of 246.29 points. However, trading activity remained low due to absence of retail investors on the last working day of the week as the daily trading volumes stood at 436.516 million shares as compared to 712.161 million shares traded Thursday.
The market capitalisation increased by Rs 63 billion to all-time high of Rs 8.223 trillion. Out of the total 435 shares traded, 310 closed in positive, 114 in negative while the value of 11 shares remained unchanged. K-Electric was the volume leader with 55.688 million shares gaining Rs 0.21 to close at Rs 9.21 followed by Pace (Pak) Limited that increased by Rs 0.45 to close at Rs 12.38 with 28.247 million shares. TRG Pak gained Rs 2.18 to close at Rs 45.89 with 26.203 million shares.
Wyeth Pak and Rafhan Maize were the top gainers with Rs 100.52 and Rs 100.00, respectively to close at Rs 2300.00 and Rs 7100.00 while Bhanero Textile and PICT were the top losers with Rs 41.97 and Rs 13.00, respectively to close at Rs 798.00 and Rs 335.00, respectively. Ahsan Mehanti at Arif Habib Corporation said the stocks closed all-time high level led by scrips across the board on speculations at the quarter-end close. He said speculations on likely higher September 2016 sales in oil, cement, pharma sectors, rising global crude prices on likely Opec output cut and bullish global equities played a catalyst role in the record close at PSX.
Nabeel Haroon at JS Global Capital said that positivity prevailed in the market as the index gained 246 points to close at 40,542 level. Investors'' interest was seen in the automobile sector on the back of depreciating yen. HCAR was the major gainer. In fertiliser sector, Fatima closed in green due to increase in urea sales. Engro Foods gained to close on its upper circuit on the back of material information disseminated in the market that Friesland Company Pakistan Holding has given a tender offer at Rs 151.85 per share for 6.5 percent stake of the company that its has to acquire from the market, as part of the acquisition deal with Engro Corporation.
Abra Juma at Global Securities said that contrary to prevailing sentiment the market rallied up by 246 points. Major news about Friesland Company''s offer to buy up 49.8 million shares of Engro Foods surfaced the market causing significant activity in the stock as the scrip closed at its upper circuit. K-Electric turned out to be the market leader in terms of volumes, on news of Shanghai Electric discussion to buy KE stake, followed by PACE, TRG, ANL and BoP.

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