KARACHI: The stock market had a strong start on Friday due to positive export numbers and optimism about a potential decrease in interest rates. However, uncertainty about debt rollovers and the approval of the IMF’s new bailout led to selling pressure later in the day, erasing most of the early gains. Nevertheless, the benchmark KSE 100 index eke out gains despite aggressive foreign selling.
Ahsan Mehanti of Arif Habib Corporation said buying in second and third-tier scrips helped the index close the weekend session in the green with a meagre gain amid speculations over the SBP policy rate announcement on Sep 12.
He added that the apex court ruling favouring the government in the NAB amendment case and strong export performance, poting 14 per cent growth in August, also played a role in the positive close.
Topline Securities Ltd said the market witnessed a range-bound session as it traded between its intraday high of 391 points at 79,254.25 and low of 54 points at 78,917.29.
Significant positive contributions to the index came from Kohat Cement, Mari Petroleum, Bank Alfalah, National Bank and MCB Bank, which cumulatively added 42 points. Conversely, Meezan Bank, Engro Corporation, Fauji Fertiliser, Habib Metropolitan Bank and National Foods lost value to weigh down the index by 30 points.
However, the KSE index closed the session at 78,897.73 after adding 34.38 points or 0.04pc day-on-day.
Stocks contributing significantly to the traded volume included WorldCall Telecom (133.25m shares), Pace Pakistan (80.98m shares), Fauji Foods (46.70m shares), Kohinoor Spinning Mills Ltd (44.99m shares) and Pak Elektron (32.95m shares).
The shares registering the most significant increases in their prices in absolute terms were Hallmark Company Ltd (Rs98.21), Nestle Pakistan (Rs82.50), PIA Holding Ltd [B] (Rs44.95), Mari Petroleum (Rs41.23) and Kohat Cement (Rs28.90).
The companies registering significant losses in their share prices in absolute terms were Unilever Foods (Rs200.00), First Imrooz (Rs17.22), Exide Pakistan (Rs14.64), Pakistan Services (Rs13.55) and Rafhan Maize (Rs11.02).
Foreign investors turned net sellers as they offloaded shares worth $4.05m.
Published in Dawn, September 7th, 2024