Bank scrips help stocks accumulate 613 points

KSE-100 crosses 38,000-mark following SBP's decision to defer monetary policy for two months

KARACHI: The Pakistan Stock Exchange (PSX) rallied on the first trading session of the week, with the indices accumulating gains throughout the day on back of strong sentiments in the banking sector. 

Global equity markets, on the other hand, displayed mixed sentiments on Monday; however, crude oil prices headed north, with WTI crude oil price increasing 0.29pc to $41.41 while Brent crude oil appreciating 0.23pc to $43.88.

“The banking scrips got a much-needed impetus following the SBP’s decision to defer its monetary policy for the next two months. The anticipation of a further rate cut died with the central bank’s decision, which the investors view as a signal of interest rate bottoming out,” said a report issued by AHL Ltd. “Besides banks, the cement sector also rebounded after continued selling pressure in the previous week.” 

The benchmark KSE-100 Index remained in the green throughout the session, registering its intraday high at 38,291.77 after gaining 684.15 points. It settled higher by 613.54 points at 38,221.16. 

Article continues after this advertisement

Among other indices, the KMI-30 Index surged 963.91 points or 1.61pc to close at 309.05, while the KSE All Share Index added 309.05 points, ending at 27,028.37.

The overall market volumes increased from 266.5 million shares in the previous session to 288.1 million shares (+8pc). Average traded value also surged by 24pc, from $64 million to $79.5 million. Pak Elektron Limited (PAEL +6.50pc), TRG Pakistan Limited (TRG +7.50pc) and Pakistan Refinery Limited (PRL -4.47pc) led the volume chart, exchanging 28.92 million, 19.99 million and 18.45 million shares, respectively.

Sectors that drove the index north included banking (274.50 points), oil & gas exploration (71.12 points) and cement (69.02 points). Among the companies, Habib Bank Ltd (HBL 97.23 points), Bank AL Habib (BAHL 53.10 points) and Mari Petroleum Company (MARI 42.63 points) remained the top contributors.

Adding 3.16pc to its cumulative market capitalisation, the banking sector turned out to be the session’s top gainer, with MCB Bank Ltd (MCB 1.50pc), United Bank Limited (UBL 2.38pc) and Standard Chartered Bank Ltd (SCBPL 3.67pc) posting decent gains.

On the financial side, Fauji Fertiliser Company Ltd (FFC +0.88pc) declared earnings per share of Rs3.83 in the second quarter of FY20 (Rs4.09 in 2QFY19), while Hinopak Motors Ltd (HINO +7.09pc) posted an EPS of Rs-165.71 for FY20 (Rs-70.42 in FY19).

- Advertisement -
- Advertisement -

Must Read

Amazon eyes cryptocurrency but not poised for Bitcoin

NEW YORK: Amazon on Monday denied a report that the e-commerce giant planned to begin accepting Bitcoin payments by the end of this year,...