PSX remains range-bound as investors’ await outcome of FATF meeting

Shahnawaz AkhterWeb Editor

18th Jun, 2021. 07:43 pm
PSX

KARACHI: The Pakistan Stock Exchange remained range-bound on Friday in the absence of triggers, while investors are awaiting FATF decision regarding Pakistan’s exclusion from the grey list in a meeting scheduled next week, dealers said.

Ahsan Mehanti at Arif Habib Corp said the stocks closed higher led by selected scrips across-the-board, as investors’ weighed the government’s GDP growth target of 4.8 per cent in FY22, progress in resolving Rs2.1 trillion circular debt crisis, and a strong growth in remittances.

“Higher global crude oil prices over $70 and [the] rupee stability played a catalytic role in the positive close.”
The Pakistan Stock Exchange KSE-100 shares index gained 0.17 per cent, or 81.04 points, to close at 48,238.68 points. The KSE-30 shares index gained 0.02 per cent, or 4.56 points, to close at 19,425.65 points.

As many as 405 scrips were active, of which 222 advanced, 163 declined and 20 remained unchanged. The ready market volumes stood at 750.56 million shares, compared with the turnover of 1.11 billion shares in the last trading session.

An analyst at Arif Habib Limited said the market traded in a narrow range between -135 points and +254 points, closing the session at +81 points.

“Refineries, cement, fertiliser, oil and gas marketing companies and technology sector inched up, which helped the index trade in the positive territory. Concerns over redemption with some mutual funds maintained [the] selling pressure.”

An analyst at Topline Securities said the market traded in a range-bound session on Friday.

Major contribution to the index came from Lucky Cement, TRG Pakistan, National Refinery Limited, Engro Corp and Pakistan Oilfields Limited, as they cumulatively contributed 100 points.

An analyst at Pearl Securities said the International Monetary Fund (IMF) programme had been delayed for three months and investors were also concerned over the outcome of the FATF meeting, which is due next week, and the Economic Coordination Committee (ECC) decision to defer the payments of IPPs, which further dropped the market sentiment. “Going forward, we expect the market to stay in the positive territory.”

The companies that reflected the highest gains included Rafhan Maize, up Rs44.55 to close at Rs9,500/share; and Sapphire Textile, up Rs39.15 to close at Rs926.6/share.

The companies, which reflected the most losses included Gatron Industries, down Rs40.99 to close at Rs520/share; and Nestle Pakistan, down Rs30 to end at Rs5,750/share.

The highest volumes were witnessed in Hum Network with a turnover of 88.56 million shares. The scrip gained 60 paisas to close at Rs9.12/share; followed by WorldCall Telecom with a turnover of 76.46 million shares. It gained 11 paisas to close at Rs4.12/share. Byco Petroleum was the third in the line with a turnover of 70.88 million shares. It gained 50 paisas to finish at Rs12.86/share.

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