Bourse turns bullish over improved investor sentiment

‘Expectation of reduction in inflation figures along with recent PKR recovery against USD helped lift investor confidence’

KARACHI: The Pakistan Stock Exchange (PSX) managed to recover losses accumulated in early trade, closing the session on Tuesday with decent gains. 

The performance of global equity markets remained mixed, whereas Crude oil prices moved north from the previous close; WTI crude oil price appreciating 1.03pc to $43.05 while Brent crude price surging 1.15pc to $45.80.

“The stock market moved in a narrow range for the most part, but the benchmark index changed its pattern during the late hours mainly on the back of expectations of a reduction in August inflation figures as well as the recent recovery in Pakistani Rupee against the US Dollar due to higher remittances,” said a report issued by Capital Stake.

The KSE-100 Index started the day on a negative note (-14 points), but managed to touch its intraday high at 41,401.89 after gaining 290.96 poitnts. It ended higher by 266.33 points at 41,377.26.

Among other indices, the KMI-30 Index gathered 0.62pc to close at 66,060.53, while the KSE All Share Index added 161.87 points, settling at 29,122.86.

The overall market volumes surged from 451.73 million shares in the previous session to 754.21 million shares (+68pc). Average traded value also increased by 33pc, from $98 million to $130.6 million. Unity Foods Ltd (UNITY +13.10pc), Pak Elektron Ltd (PAEL +7.49pc) and Hascol Petroleum Ltd (HASCOL +6.20pc) led the volume chart, exchanging 90.63 million, 47.45 million and 45.65 million shares, respectively.

Sectors that helped the benchmark index avert losses included cement (51.14 points), power generation & distribution (46.13 points) and technology & communication (44.78 points). Among the companies, TRG Pakistan Ltd (TRG 38.90 points), Colgate – Palmolive Ltd (COLG 26.21 points) Mari Petroleum Company Ltd (MARI 17.57 points) remained the top contributors.

Adding 2.83pc to its cumulative market capitalization, the power generation & distribution sector emerged as the session’s top gainer, with K-Electric Ltd (KEL 5.71pc), Kot Addu Power Company Ltd (KAPCO 5.55pc) and Pakgen Power Ltd (PKGP 1.52pc) closing in the green.

Meanwhile, Pakistan State Oil Company Ltd (PSO -0.63pc) reported a loss of Rs6.47 billion for FY20. The company’s sales were down by 3.98pc YoY, while its earnings per share fell from Rs22.55 in FY19 to Rs-13.77.

- Advertisement -
- Advertisement -

Must Read

Oil slips to six-month low as recession fears weigh

WASHINGTON: Oil hit a six-month low on Wednesday after a brief rally as concerns about the prospect of a global recession that would weaken...