Pakistan stocks breach psychological barrier of 48,000 points on brisk buying

Web DeskWeb Editor

08th Jul, 2021. 09:26 pm
Pakistan Stock Exchange Goes Bullish On First Day Of Week

KARACHI: The Pakistan Stock Exchange (PSX) witnessed a bull run, as oil prices fell in the international market and the government raised Rs146 billion through the Pakistan Investment Bonds (PIBs) auction where yield remained unchanged, dealers said on Thursday.

An analyst at Arif Habib Limited said the market surged 800 points during the session on Thursday. “Conversion of fixed income funds to equities from institutional investors played a vital role in the day’s index uptick.”

Brisk buying was observed in the main board scrips, including Habib Bank Limited (HBL), United Bank Limited (UBL), Pakistan State Oil (PSO), Sui Northern Gas Pipelines Limited (SNGPL), Oil and Gas Development Company (OGDC), Engro and Hub Power Company (Hubco); however, other sectors and scrips took cue, as well, resulting in across-the-board buying activity.

The Pakistan Stock exchange KSE-100 shares index gained 1.7 per cent, or 805.25 points, to close at 48,053.17 points. The KSE-30 shares index gained 2.07 per cent, or 392.85 points, to close at 19,365.90 points.

As many as 429 scrips were active, of which 312 advanced, 96 declined and 21 remained unchanged. The ready market volumes stood at 475.23 million shares, compared with the turnover of 412.2 million shares in the last trading session.

Muhammad Mubashir at JS Global Capital said that the KSE-100 finally breached the psychological barrier of 48,000 points. “Engro Fertilizer remained in the limelight today on market word that it had increased DAP prices by Rs200/bag to pass on the rise in the international prices.”

“The technology and auto sectors outperformed today as the new auto policy arose, declaring tax relief and reduction in car prices,” an analyst at Pearl Securities said.

Going forward, analysts recommend investors to avail of any downside as an opportunity to buy in cement, steel, and textile sectors.

The companies, which reflected the highest gains included Nestle Pakistan, up Rs170 to close at Rs5,990/share; and Gatron Industries, up Rs35.63 to close at Rs510.78/share.

The companies that reflected the most losses included Wyeth Pakistan, down Rs45.22 to close at Rs2,035.17/share; and Sapphire Fiber, down Rs44 to end at Rs796/share.

The highest volumes were witnessed in TPL Corp with a turnover of 30.16 million shares. The scrip gained Rs1.28 to close at Rs18.38/share; followed by WorldCall Telecom with a turnover of 28.43 million shares. It gained one paisa to close at Rs3.92/share. TRG Pakistan was the third with a turnover of 27.39 million shares. It gained Rs11.06 to finish at Rs176.25.

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