KARACHI: During the last session of the trading, the Karachi Share Index (KSE-100) closed at 42,207.00 after gaining 159 (0.38 per cent) points on Friday following the SECP’s decision to allow brokers to open digital accounts of resident and non-resident Pakistanis in the capital market, as opposed to the previous closing of 42,047.72 points.
The market went up to 42,316.17 points during intra-day trading, while the recorded low was 42,047.72 points. Trading volume slightly improved to 427.9 million shares today as compared to 420.3 million traded in the previous session, according to PSX website data. The daily traded value increased to Rs 18.151 billion from Rs 18.032 billion in the previous session, the data said.
The analysts believed that market traded range-bound today, but even with remaining positive throughout the session, the market lacked excitement from Investors’ end to make a forward move.
The analysts believed that it is the impact of SECP’s decision to open online accounts of the customer with the brokers and the Capital Gain Tax (CGT). The recovery in global oil prices will result in inventory gains. Volumetric growth and margins revision are likely to boost earnings further. Therefore, the oil and Cement sector were in demand throughout this week and investors also bought their shares, analyst predict.
International crude oil prices increased after OPEC+ made the decision for a gradual increase in output in 2021. Oil and Gas marketing companies and the Cement sector stocks saw selling pressure on the concerns over political uncertainty as well as Index correction after an increase of around 2800pts.
Stocks that contributed significantly to the volumes include TRG, PRL, PTC, ASL and KEL, which formed 32% of total volumes. Stocks that contributed positively to the index include OGDC (+38pts), TRG (+26pts), UBL (+15pts), PPL (+12pts) and HMB (+11pts). Stocks that contributed negatively include FFC (-12pts), MTL (-11pts), SNGP (-8pts), PSO (-7pts) and EFERT (-6pts).
