Tuesday was a better trading day for investors at the Pakistan Stock Exchange (PSX). The exchange marched forward on its road to recovery with improved participation.
The figure of foreign direct investment (FDI) was up 4.60 per cent during the fiscal year 2016-17 according to data released by the State Bank of Pakistan. FDI grew at an exponential rate in FY17 as Chinese firms continued to invest in power generation and construction sectors largely under the $ 57 billion worth China-Pakistan Economic Corridor (CPEC) initiative.
The benchmark KSE 100 index swelled up 1,145.85 points to intraday high of 45,669.06 and landed up 1,113.15 points at 45,636.36.
The KMI 30 index jumped 2,385.89 points to settle at 77,903.34. The KSE All Share Index appreciated by 656.75 points with 296 advancers and 66 decliners.
The market volumes jumped from 75.28 million of the previous session to 158.32 million. TRG Pakistan Limited (TRG +4.97 per cent) led the market with 11.25 million shares traded followed by K-Electric Limited (KEL +1.21 per cent), volume 8.91 million, and Aisha Steel Mills Limited (ASL +3.12 per cent), volume 7.20 million.
The engineering sector garnered most interest from investors with 18.70 million shares exchanged.
According to media reports, Pakistan’s largest in terms of installed capacity owned by D. G. Khan Cement Company Limited (DGKC +2.92 per cent) will officially begin production by December 2017. The plant is being constructed at Hub with an estimated cost of US$ 300 million.
The plant is expected to have clinker capacity of 9,000 ton per day and counter demand of the southern region. DGKC currently is the third largest company in terms of both sales (FY16) and market capitalization. The script has jumped from Rs 91.03 to Rs 199.78 in the last 3-years.
Management of Pakistan Telecommunication Company Limited (PTC +0.28 per cent) is scheduled to declare financial results for the second quarter of fiscal year 2017. The company reported earnings per share of Rs 0.71 in 2QFY15 and Rs 0.48 in 2QFY16. Per share earnings of Rs 0.42 were announced in the last quarter.
As the political dust settles, positive effects are expected at the Pakistan Stock Exchange (PSX). The JIT probe rendered the capital market uncertain but the day to day proceedings of the Supreme Court of Pakistan, have been making the uncertainty go away.