Muhammad Omar
ELITE MEMBER
- Joined
- Feb 3, 2014
- Messages
- 13,558
- Reaction score
- 15
- Country
- Location
Trade volumes fell to 327 million shares compared to 348 million on Friday. PHOTO: ONLINE
KARACHI: Kicking off the week with a record-breaking performance, the stock exchange consolidated its position at a comfortable level of 34,676.31 points on Monday.
Lower inflation numbers for January and heavy activity in cement shares were the major contributors to the positive day at the bourse.
The Karachi Stock Exchange’s (KSE) benchmark 100-share index closed the day’s trading with an increase of 0.67% or 232.44 points.
Elixir Securities analyst Faisal Bilwani said equities rallied to close at fresh highs as a lower Consumer Price Index (CPI) for January and a positive outlook on macroeconomics fuelled the ongoing momentum.
“Market opened up as oil stocks gained on a recovery in global crude,” said Bilwani. “Additionally, fresh institutional buying in the wider market pushed the benchmark KSE-100 to test new highs.”
CPI inflation at 3.88% year-on-year announced midday was in line with estimates, however, there was adequate news to generate excitement in cement shares, which led the charge, he said.
Maple Leaf Cement (+5%) hit the upper lock while Lucky Cement (+1.7%) bounced back after two days of decline. Oil and Gas Development Company (+2.8%) led the gainers and added 70 points to the KSE-100 index ahead of half-year result announcement on Wednesday.
Arif Habib Corporation CEO Ahsan Mehanti said stocks closed at an all-time high amid higher trading led by oil, textile and cement companies after a sharp recovery in international oil prices.
The prime minister’s announcement of a cut in the corporate tax rate by 1% and reduction in financing rates for the Export Finance Scheme (EFS) to 6% and Long-term Financing Facility (LTFF) to 7.5% also created confidence among investors.
Trade volumes fell to 327 million shares compared to 348 million on Friday.
Shares of 378 companies were traded. Of these, 174 declined, 177 closed higher and 27 remained unchanged. The value of shares traded during the day was Rs21 billion.
Jahangir Siddiqui and Company was the volume leader with 28.6 million shares, gaining Rs0.95 to close at Rs19.47. It was followed by Pakistan International Bulk Terminal with 22.2 million shares, gaining Rs1.39 to close at Rs38.23 and K-Electric Limited with 20.2 million shares, gaining Rs0.06 to close at Rs8.76.
Published in The Express Tribune, February 3rd, 2015.
