Stocks extend overnight rally on value-hunting

KARACHI: The benchmark index of the Pakistan Stock Exchange (PSX) opened in the red territory on Friday owing to political unrest as well as continuing devaluation of the rupee against the dollar.

According to Arif Habib Ltd, the stock market remained volatile despite a rally in United Bank Ltd and MCB Bank Ltd, which took place because investors expected the foreign selling spree in the banking sector was about to be over.

In addition, the cement sector remained in the limelight owing to a decline in international coal prices. Value buying was witnessed in the second session, leading the index to close in the green zone.

As a result, the KSE-100 index settled at 45,152.11 points, up 223.28 points or 0.5 per cent from a day ago.

The trading volume decre­ased 6.4pc to 389.1 million shares while the traded value went up 14.8pc to $60.3m on a day-on-day basis.

Sectors that contributed the highest number of points to the benchmark index included commercial banking (125.7 points), technology and communication (34.08 points), fertiliser (31.84 points), automobile assembling (28.62 points) and refinery (14.33 points).

Stocks contributing significantly to the traded volume included TeleCard Ltd (35.43m shares), TPL Properties Ltd (26.36m shares), Treet Corporation Ltd (24.86m shares), Pak Elektron Ltd (21.8m shares) and Ghani Global Holdings Ltd (21.6m shares).

Stocks that contributed the maximum number of points to the index included United Bank Ltd (51.49 points), Engro Corporation Ltd (26.99 points), TRG Pakistan Ltd (23.6 points), Habib Metropolitan Bank Ltd (22 points) and Indus Motor Company Ltd (21.8 points).

Shares contributing most negatively to the index included Colgate-Palmolive Pakistan Ltd (17.97 points), Engro Fertilisers Ltd (17.65 points), Service Industries Ltd (15.28 points), Allied Bank Ltd (13.27 points) and Standard Chartered Bank Pakistan Ltd (11.61 points).

Stocks that recorded the biggest increases in percentage terms were Punjab Oil Mills Ltd (5.83pc), National Refinery Ltd (5.35pc), Indus Motor Company Ltd (4.98pc), Habib Metropolitan Bank Ltd (4.25pc) and Nishat Chunian Ltd (3.44pc).

Foreign investors were net sellers as they offloaded shares worth $4.78m.