KARACHI - Pakistan stocks closed bullish on Wednesday amid higher trades after EU approval on duty free access on textiles under GSP Plus status from Jan 1, 2014. Strong earning outlook on textile, fertilizers, oil and banking sectors played a catalyst role in bullish activity.
The equity market started on a positive note and KSE-100 index continued to climb and the benchmark increased by 374.51 points or 1.64 percent and closed at end of the day at 23165.21 points as compared to 22790.70 points previous day. Renewed foreign interest, easing concerns amid political consensus on negotiations with TTP on peace process, expected approval of ECC on gas allocation to ailing fertilizer plants through OGDC fields and OMC margin issues impacted the sentiments despite unrest in the city, stated analyst Ahsan Mehanti at Arif Habib.
The KSE-All share index also climbed to 217.10 points or 1.30 percent at end of the day and closed at 16855.00 points as compared to 16637.90 points, KSE-30 index increased by 319.39 points or 1.84 percent and closed at 17695.18 points, while KMI-30 index also showed upward trend by 747.29 points or 1.94 percent and closed at 39273.47 points. High and low were 23221.08 and 22790.70 respectively.
Equity expert Samar Iqbal stated that after a gap of 6-week Karachi market index crosses 23,000 mark on renewed buying by local and foreigners. Value traded also crossed Rs.8b after one and a half month due to positive news flows on textile, telecom and fertilizer sectors. PTC with more than 21m shares traded gained on news that Government seriously working on controlling gray trafficking.
Textile stocks NCL and NML closed upper limit due to GSP status given to Pakistan. PSO also closed at upper limit in hope that oil margin will soon be revised up.
Researchers said the local oil marketing sector suggests that OMCs (Oil Marketing Companies) sales have reached 7.1m ton in 4MFY14, up 9pc versus 6.5m tons sold in the same period last year.
Volumetric sales of FO (Furnace oil) and Mogas (Motor Gasoline) grew by 13pc and 8pc, respectively, while HSD (high speed diesel) sales rose by 4pc. Growth in FO sales was backed by better supply of fuel to IPPs while Mogas sales are up due to extended absence of cheap alternative fuel (CNG).
PSO 4MFY14 sales increased by 6pc to 4.5m tons vs. 4.3m tons sold in the same period last year. Better sales numbers are led by 11pc increase in FO volumes while HSD sales went down by 7pc. The company in their analyst briefing held on October 30, 2013, stated that HSD sales were down due to floods which led to slowdown in economic activity.
Analyst Asad I. Siddiqui said fast depleting forex reserves, rising CPI and monetary tightening have off beamed much of the investors’ excitements which emerged on new govt and peaked at the time of IMF bailout package. Now the major concerns amongst investors include meeting IMF targets, depleting forex reserves, fate of Pak rupee and SBP stance on discount rate.
The equity market started on a positive note and KSE-100 index continued to climb and the benchmark increased by 374.51 points or 1.64 percent and closed at end of the day at 23165.21 points as compared to 22790.70 points previous day. Renewed foreign interest, easing concerns amid political consensus on negotiations with TTP on peace process, expected approval of ECC on gas allocation to ailing fertilizer plants through OGDC fields and OMC margin issues impacted the sentiments despite unrest in the city, stated analyst Ahsan Mehanti at Arif Habib.
The KSE-All share index also climbed to 217.10 points or 1.30 percent at end of the day and closed at 16855.00 points as compared to 16637.90 points, KSE-30 index increased by 319.39 points or 1.84 percent and closed at 17695.18 points, while KMI-30 index also showed upward trend by 747.29 points or 1.94 percent and closed at 39273.47 points. High and low were 23221.08 and 22790.70 respectively.
Equity expert Samar Iqbal stated that after a gap of 6-week Karachi market index crosses 23,000 mark on renewed buying by local and foreigners. Value traded also crossed Rs.8b after one and a half month due to positive news flows on textile, telecom and fertilizer sectors. PTC with more than 21m shares traded gained on news that Government seriously working on controlling gray trafficking.
Textile stocks NCL and NML closed upper limit due to GSP status given to Pakistan. PSO also closed at upper limit in hope that oil margin will soon be revised up.
Researchers said the local oil marketing sector suggests that OMCs (Oil Marketing Companies) sales have reached 7.1m ton in 4MFY14, up 9pc versus 6.5m tons sold in the same period last year.
Volumetric sales of FO (Furnace oil) and Mogas (Motor Gasoline) grew by 13pc and 8pc, respectively, while HSD (high speed diesel) sales rose by 4pc. Growth in FO sales was backed by better supply of fuel to IPPs while Mogas sales are up due to extended absence of cheap alternative fuel (CNG).
PSO 4MFY14 sales increased by 6pc to 4.5m tons vs. 4.3m tons sold in the same period last year. Better sales numbers are led by 11pc increase in FO volumes while HSD sales went down by 7pc. The company in their analyst briefing held on October 30, 2013, stated that HSD sales were down due to floods which led to slowdown in economic activity.
Analyst Asad I. Siddiqui said fast depleting forex reserves, rising CPI and monetary tightening have off beamed much of the investors’ excitements which emerged on new govt and peaked at the time of IMF bailout package. Now the major concerns amongst investors include meeting IMF targets, depleting forex reserves, fate of Pak rupee and SBP stance on discount rate.
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