Stocks march past 30,000-level

KARACHI: After a day of a crawl, the stock market returned to another massive upsurge that saw the KSE-100 index propel 1,277.10 points (4.33 per cent) to storm past the 30,000 level and settle at 30,782.67.

Most investors were bewildered as the index opened gently in the positive but started to take big strides to the north. Including the hefty gains on Thursday, the KSE-100 Index had collected 2,759 points (9.8pc) points, the steepest three-day rise in percentage since Aug 19, 2008.

Stockbrokers and traders were at a loss to provide reasons for the incredible surge in the index save for the fact that the valuations had hit exceedingly low levels after the benchmark index lost 25pc in March and sank to 12-year low.

Many attributed it to the inflation number for March at 10.2pc, which continued to garner investor interest in equities as further fall in interest rate started to look real. Jump in international oil prices saw the three big exploration and production hit their upper circuits.

Moreover, investors eagerly awaited the prime minister`s construction sector package to be unveiled on Friday. Heavy anticipatory buying of shares in the cement and steel sector sent those stocks skyrocketing.

Foreigners ditched stocks worth $11.26 million, taking the 2020 to dare outflow at $153.95m but individuals picked up equities worth $6.88m. The volume soared 61pc to 311.6m.

Sectors contributing to the positive performance included banks, higher by 328 points, exploration and production 258 points, cement 160 points, power 100 points and oil and gas marketing companies 93 points.

In cement, DG Khan, Maple Leaf, Pioneer, Cherat and Fauji all closed at their upper circuits. The big question on investors’ mind was if the huge rally was sustainable with opinions widely different.

Scrip-wise major movers were Oil and Gas Development Company, up 7.5pc, Pakistan Petroleum 7.5pc, Lucky Cement 7.5pc, Hub Power 4.8pc, Pakistan Oilfields 7.4pc, Habib Bank 4.1pc, MCB 4.1pc and Engro Corporation 3.1pc.

In cement, DG Khan, Maple Leaf, Pioneer, Cherat and Fauji all closed at their upper circuits. The big question on investors’ mind was if the huge rally was sustainable with opinions widely different.