Stocks remain bullish – Markets

KARACHI: Pakistan Stock Exchange saw a bullish trend in the week ending Oct 07 due to investor interest after the trade deficit narrowed and the PKR appreciated rapidly against the US Dollar .

The benchmark KSE-100 index jumped 956.58 points on a weekly basis and broke through the psychological level of 42,000 to close at 42,085.25 points.

Trading activity also improved significantly, with average daily volumes on the ready counter up 117.6% to 434.07 million shares from the previous week’s average of 199.48 million shares. , while the average daily value traded on the loan counter increased by 24.2% to reach 10.48 billion rupees.

BRIndex100 gained 131.55 points during this week to close at 4,237.73 points with an average daily turnover of 403.070 million shares.

BRIndex30 rose 810.85 points on a weekly basis to close at 16,391.37 points with average daily trading volumes of 338.822 million shares.

The total market capitalization increased by Rs 80 billion during this week to reach Rs 6.862 trillion.

An AKD Securities analyst said the stock market had an all-green week after a long pause, up 42,085 points, up 2.33% on WoW), as a narrowing trade deficit and a rapid currency appreciation inspired general investor sentiment. In addition, rumors of rate cuts at the next monetary policy meeting on October 10 weighed heavily.

Sector-wise, among Motherboards, Technology & Communication, Sugar and Closed MF were among the best performers, up 8.9%/7.0%/6.6% on WoW respectively. On the other hand, Jute, Miscellaneous, and Vanaspati & Allied were among the worst performers dropping 16.7%/4.8%/3.9% on WoW.

In terms of flows, strong net sales were recorded by insurance (net sale: $5.73 million) and banks/DFIs (net sale: $4.4 million). On the other hand, individuals absorbed most of the sales with a net purchase of $6.72 million.

In terms of stocks, top performers include HUBC (up 13%), FCEPL (up 12.8%), TRG (up 11.9%), SYS (up 10.5% ) and HGFA (up 9.1%), while the main laggards were PGLC (down 12.8%). ), PSEL (down 7.4%), SML (down 6.7%), MUREB (down 6.6%) and PSMC (down 5.6%).

An analyst from JS Global Capital said that, carrying last week’s bullish momentum, the KSE-100 index closed 2.3% higher on WoW.

The technology (up 8.9%) and energy (up 6.3%) sectors were among the top performers, while the banking sector stood out as the main underperformer.

Copyright Business Recorder, 2022