LAHORE: Pakistan Stock Exchange (PSX) displayed a volatile performance on Tuesday with the index closing at 39,453 level, up by 164 points. The market started off negative, declining by as much as 727 points during the day. However, by day end the market had recovered and closed 0.42 per cent higher than Monday, depicting 891 points rebound from the session’s low.
Although the market remains concerned with political noise and economic situation, yet value hunting due to attractive valuation levels helped market turn green. Commercial banks and oil & gas exploration companies cumulatively pulled the market up by 198 points while automobile assembler and fertilizer kept the market in check by cumulatively removing 45 points.
The KSE-100 index resurrected from a negative 727.17 points, just 2.31 per cent away from 52-week low levels, up to intraday high of a positive 281.31 points. It ended the session higher by 164.33 points at 39,452.81. The KMI 30 index initially slipped 2.13 per cent before making a comeback. The index settled up 342.93 points or 0.52 per cent. The KSE All Share Index was 56.06 points in the green with 137 advancers and 174 decliners.
The market volumes got a boost of 36 per cent day on day basis to 167.80 million. Three cement sector stocks featured in the list of top five traded stocks, Fauji Cement Company Limited (FCCL -0.61 per cent) volume 15.25 million, D. G. Khan Cement Company Limited (DGKC -2.16 per cent) volume 10.07 million and Maple Leaf Cement Factory Limited (MLCF -3.34 per cent) volume 8.73 million. All three broke below their 52-week low prices during the day.
Traded volume and traded value were up by 36 per cent and 50 per cent, to 168 million and $66 million respectively.
Foreign investor confidence has not seen much improvement recently with weak macroeconomic factors, inflation on the rise, currency wavy and trade deficit wide. They have been net sellers of $256 million. Local mutual funds have not been supportive either, net sell figures according to the National Clearing Company of Pakistan (NCCPL) From July 09, 2017 to July 09, 2018 has been $34.58 million.
After At-Tahur Limited’s recent public offering, Loads Limited’s (LOAD +0.66 per cent) wholly-owned subsidiary Hi-Tech Autoparts Limited is all set for a listing. Loads Limited which manufactures and sells exhaust systems, radiators, and sheet metal components for the automotive industry is set to begin manufacturing of alloy wheels for the first time in the country.
Moreover, the Ministry of Industries and Production (MoI&P) has awarded Greenfield status to two more auto companies M/s Topsun Motors and Pak China Motors. Thus, the number of companies which have been awarded Greenfield status is now 10 while two companies have been awarded Brownfield status under the Automotive Development Policy 2016-21.
Governor State Bank of Pakistan (SBP) Tariq Bajwa said on Monday that so far $300 million as tax has been received under the Tax Amnesty Scheme launched on April 10, 2018, to legalize undisclosed assets and income of Pakistanis held abroad and home.