Ghulam Raza Rajani

KARACHI: Market observed an overall mix trading session. Market started positively seeing an initial upsurge of more than 400 points. Approval from IMF to enhance sovereign guarantee assisted market to start positively. Allowance from NEPRA to increase tariff kept KEL in limelight helping market stay bullish. Selling from mutual fund absorbed the overall positivity forcing market to end mildly in green zone.
The benchmark KSE-100 index closed higher by 39.10 point to close at 40,887.63 points. KSE All Share Index increased by 84.27 to end at 29,101.84, KSE 30-Index declined by 24.88 points to conclude at 18,752.10 whereas KMI 30-Index enhanced by 488.99 points to finish the day at 66,441.83 levels.
Fahad Qasim at Topline Securities said KSE-100 index on first trading session of week remained volatile with gaining 39points to close at 40,887 levels. Interestingly though, intraday high was of 446pts from where the dive came in through profit taking. K-Electric (KEL) closed positively with gain of 7.41% as NEPRA has allowed KEL to hike power tariff by average Rs1.40/unit. Traded value declined by 30% DOD to Rs6.6bn. KEL was the volume leader as it recorded volume of 19mn shares, followed by WTL & UNITY which cumulatively added 20mn shares to total volume.
The advance to decline ratio in the broader market remained in favor of bulls. Out of 362 scrips, 201 scrips advanced, 138 declined while the value of 23 scrips remained intact.
The ready market volume decreased by 38.02 per cent to 165.835 million shares as compared to 267.578 million shares traded on last trading day.
K-Electric Limited topped the list of actives, closed higher by Rs 0.29 at Rs 4.35 on 19.11 million shares followed by Unity Foods Limited improved by Rs 0.21 at Rs 15.90 on 10.74 million shares and WorldCall Telecom Limited remained unchanged at Rs 1.38 on 9.12 million shares.
Other actives were Bank of Punjab which ascended by Rs 0.01 at Rs 11.47 on 8.01 million shares and Silk Bank Limited dipped by Rs 0.05 at Rs 1.03 on 6.58 million shares.
According to Aba Ali Habib research desk bourse initiated the last trading week of CY19 on mixed trading signals, resultantly the benchmark surged over 445 points in early trading hours before paring most of the gains to settle at 40,887.62 points. Major support to index came from IMF’s improved economic outlook of Pakistan and approval to enhance sovereign guarantee ceiling to PKR 366 bn. The enhancement will allow the government to lower the burgeoning circular debt in power sector with the help of Sukuk issue. On political front, some relief was stirred in business community after PTI-led government hinted changes in, now challenged, NAB Ordinance 2019. During the session, the index found its support and resistance at 40,815.80 pts and 41,295.28 pts, respectively. The bourse witnessed the volumes of 165mn shares. Sector-wise, power generation sector remained active throughout the session after IMF’s enhanced government’s capacity to issue sovereign guarantee. Among major power scrips, HUBC gained PKR 1.02 in its share value followed by ALTN (+PKR 0.90), NPL (+PKR 0.85), PKGP (+PKR 0.76) and NCPL (+PKR 0.74). Power generation & distribution sector was the top traded sector in today’s session with the share volumes of 24.7mn shares followed by Commercial banks (19.0mn shares), Cement (17.3mn shares), Technology & communication (16.2mn shares) and Vanaspati & allied industries (10.7mn shares).
The overall market capitalization enhanced by Rs 14.547 billion to Rs 7.8361 trillion against Rs 7.8215 trillion observed on last trading day.
Nestle Pakistan Limited and Colgate Palmolive Limited remained the top gainer by Rs 116.50 and Rs 50.00 to close at Rs 8,100.00 and Rs 2,350.00 respectively, while Rafhan Maize Pakistan Limited and Wyeth Pakistan Limited were among the major losers which lost Rs 39.00 and Rs 25.00 to close at Rs 7,311.00 and Rs 810.00 respectively.