KARACHI: Driven by value buying, the KSE-100 Index gained 532.77 points for an increase of 1.13%, a welcome sign for stock market participants who had been sidelined due to political noise, broker defaults and terror incidents in the country.
The KSE-100, which hit a record high at the end of January before retreating close to 6% over the next two months, finished at 47,889.37 on Friday.
However, trading volumes remained on the lower side and buying concentrated mainly in index-heavy stocks. Friday’s trading volume amounted to 152 million shares compared with Thursday’s tally of 146.3 million.
Topline Securities analyst Hammad Aman said the KSE-100 gained on the back of value-picking by institutional investors in banks, oil, cement and fertiliser.
Major contributors were HBL (+3%), UBL (+3.7%), Lucky Cement (+2%), Pakistan Petroleum Limited (+3.4%), Engro Corp (+4.4%), adding 276 points to the gain.
Bestway Cement (BWCL) notified the bourse that they would not be proceeding with the acquisition of Dewan Cement’s (DCL) North Plant due to delay from legal proceeding, said Aman.
“The stock rose to its upper limit (5%) as investors likely viewed the decision to retain the plant as more favorable for DCL shareholders,” said Aman.
Shares of 376 companies were traded. At the end of the day, 246 stocks closed higher, 103 declined while 27 remained unchanged. The value of shares traded during the day was Rs7.2 billion.
Dewan Cement was the volume leader with 21.3 million shares, gaining Rs1.04 to close at Rs21.99. It was followed by Aisha Steel Mill with 10.6 million shares, gaining Rs0.54 to close at Rs24.61 and TRG Pakistan with 8.3 million shares, gaining Rs1.80 to close at Rs49.30.2017-04-07