The Pakistan Stock Exchange (PSX) witnessed a robust upward trend on Wednesday as the benchmark KSE-100 index soared by 482 points, closing at 40,271 points compared to 39,789 points the previous day.
(more…)Category: Stock & Commodity
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Stock market ends down by 389 points on profit taking
KARACHI: The stock market ended down by 389 points on Tuesday owing to profit taking after the market witnessed massive gains during past days.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 39,735 points as against 40,124 points showing a decline of 389 points.
Analysts at Arif Habib Limited said that the market finally took some correction today when the index slid by around 400 points and closed the session at -389 points.
Selling pressure was mainly observed in Banks, but was otherwise felt in Autos, E&P, Steel and Cement sector as well. Refinery sector performed well with ATRL and NRL hitting upper circuits.
The main idea behind selling appeared profit booking, where the index crossed psychological barrier of 40,000.
Cement sector led the trading volumes with 62 million shares, followed by Technology (51.2 million) and Power (50.1 million).
Among scrips, KEL realized 42.8 million shares I trading volume, followed by TRG (25.3 million) and BOP (19.1 million).
Sectors contributing to the performance include Banks (-116 points), Cement (-80ps), Fertilizer (-67 points), O&GMCs (-21 points) and Chemical (-21 points).
Volumes declined slightly from 557.4mn shares to 448.5 million shares (-20 percent DoD). Average traded value also declined by 12 percent to reach US$ 93 million as against 106.1 million.
Stocks that contributed significantly to the volumes include KEL, TRG, BOP, MLCF and FFL, which formed 27 percent of total volumes.
Stocks that contributed positively include MCB (+27 points), NESTLE (+16 points), SEARL (+15 points), PKGS (+9 points) and EFERT (+9 points). Stocks that contributed negatively include ENGRO (-59 points), UBL (-40 points), LUCK (-37 points), BAHL (-28 points), and SNGP (-21 points).
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Stock market gains sharply on Moody’s positive rating
KARACHI: The stock exchange has registered significant gain of 837 points on Monday on upgrade of credit rating of Pakistan to stable from negative.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 40,124 points as against 39,287 points showing an increase of 837 points.
Analysts at Arif Habib Limited said that the market finally crossed 40,000 level today, which was last seen in February 2019.
Trading volumes also increased significantly to 557 million shares. International Ratings Agency, Moody’s has reportedly upgraded Pakistan’s outlook from Negative to Stable and affirmed B3 rating.
This further gave confidence to investors carrying the bull run witnessed from 36,000 level. Banking sector continued upbeat performance on the bourse with volumes crossing 110 million shares, followed by Cement (64.7 million) and Power (47 million). Among scrips, BOP led the volumes with 74.9 million shares, followed by KEL (40.8 million) and UNITY (37.7 million).
Sectors contributing to the performance include Banks (+516 points), Power (+73 points), O&GMCs (+53 points), Cement (+52 points), Textile (+36 points).
Volumes increased significantly from 431.8 million shares to 557.3 million shares (+29 percent DoD). Average traded value also increased by 14 percent to reach US$ 106.1 million as against US$ 93.2 million.
Stocks that contributed significantly to the volumes include BOP, KEL, UNITY, FFL and PAEL, which formed 34 percent of total volumes.
Stocks that contributed positively include HBL (+119 points), MCB (+92 points), UBL (+89 points), BAHL (+59 points) and HUBC (+51 points). Stocks that contributed negatively include OGDC (-49 points), PPL (-24 points), POL (-19 points), MTL (-8 points), and COLG (-7 points).
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Weekly Review: Stock market to remain positive on improved macroeconomic position
KARACHI: The stock market to remain positive during next week owing to inflows in treasury bills and improved macroeconomic position of the country, analysts said.
Analysts at Arif Habib Limited hoped that market to remain positive on the back of improving macroeconomic position, country witnessing foreign net inflows in T-bills to USD 1,154 million in FY20TD, declining fixed income yields, improvement in ease of doing business, stable market determined exchange rate since last four months around 156/USD, and likelihood of monetary easing to start soon.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) is currently trading at a PER of 6.7x (2020) compared to Asia Pac regional average of 13.5x while offering a dividend yield of ~8.1 percent versus ~2.6 percent offered by the region.
During the outgoing week trading commenced on a positive note attributable to State Bank leaving discount rate unchanged which bode well for local bourse. However, the index lost -400 points on Tuesday as Honorable Supreme Court took notice on Army Chief’s appointment.
Meanwhile, index recovered after considering this appointment as a procedural issue along with continuous surge in foreign investment in T-Bills which crossed USD 1bn mark leading to rising foreign exchange reserves improving investor’s sentiments.
As a result, the benchmark KSE-100 index crossed 39K mark after eight months and closed at 39,288 points, increasing by 1,362 points or 3.59 percent WoW. During Nov’19, KSE-100 index increased by 5,084 points or 14.9 percent MoM (this is highest ever monthly return after May’13).
Contribution to the upside was led by i) Commercial Banks (+522 points) due to attractive valuation, ii) Cement (+120 points) amid robust sales numbers, iii) Fertilizer (+116 points), iv) Automobile Assemblers (+80 points), and v) Chemicals (+75 points).Scrip wise major gainers were HUBC (+132 points), FFC (+94 points), PSO (+40 points), LUCK (+32 points), and NATF (+29 points). Whereas, scrip wise major losers were HBL (-63 points), BAHL (-26 points), and PIBTL (-15 points).
Foreign offloaded stocks worth of USD 8.06 million compared to a net buy of USD 8.46 million last week. Major selling was witnessed in Cements (USD 3.36 million) and E&P (USD 1.95 million).
On the local front, buying was reported by Mutual Funds (USD 11.06 million) followed by Individuals (USD 7.30 million). That said, average daily volumes for the outgoing week were up by 5 percent to 348 million shares likewise value traded increased by 8 percent to USD 80 million.
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PSX signs agreement with Shenzhen Stock Exchange for trading, surveillance system
KARACHI: Pakistan Stock Exchange (PSX) has signed an agreement with Shenzhen Stock Exchange (SZSE) for the acquisition of a Trading and Surveillance Systems, to bring PSX at par with other international stock exchanges.
The PSX, in its Board Meeting held on September 26, 2019, took the decision and approved the execution of the contract, said a statement on Friday.
The formal signing ceremony took place in a grand and colorful event in Shenzhen, China, earlier this week.
The PSX delegation was headed by the Chairman PSX, Sulaiman S. Mehdi. The Chinese side was represented by the Chief Executive Officer of Shenzhen Stock Exchange, Wang Jianjun.
The Trading and Surveillance System offered by SZSE is state-of-the-art, robust system. The additional benefits of the SZSE Trading System would be built-in Risk management, Market access, Market data dissemination, Market control, Real-time trading system, Disaster Recovery & System operation, monitoring and management, Growth Enterprise Market (so far known as Small and Medium enterprise trading), Bonds/Term Finance Certificate trading, Single stock option trading, Index option trading and Real time fault-tolerant system. A further additional interface is China Connect which can give PSX access to the other Exchanges that SZSE is connected to i.e. Shanghai and Hong Kong etc.
This would open up the Asian market to PSX and Pakistan for business opportunities. Additionally, the improved data quality will compound PSX data vending potential and capability immensely.
The surveillance system consists of features, such as Real-time monitoring, Ex-post investigation, Trade replay, Data query and reporting, Case management, Surveillance task management, Security and audit, and Job Schedule system. These features are world class stock market surveillance tools and PSX stakeholders of the Capital Market will be direct beneficiaries.
“In today’s fast changing technological world, a reliable, secure and efficient Trading system is a basic requirement for PSX. Further, a robust and state-of-the art Surveillance System, is also an essential requisite as PSX is the only National Exchange and the front line Regulator,” said PSX Chairman Sulaiman Mehdi while speaking at a Media briefing session.
He further added, “We have received immense support and applause from the Capital Market stakeholders, from the brokerage industry as well as the listed corporates as they all stand to benefit from the efficient operations, new product possibilities and surveillance capabilities that this system will bring.”
The PSX is confident on the quality of the system which is currently used by the Shenzhen Stock Exchange itself without any lapses. SZSE is the world’s third largest Exchange in terms of trading value which shows the robustness of the trading & surveillance system. SZSE has assured continuous technical support to PSX as a strategic partner post-installation of this system.
Both PSX and SZSE reaffirmed their commitment to technological cooperation which would be helpful in elevating the image and standing of PSX vis a vis other developed exchanges around the world.
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Stock market gains 581 points despite buying activities
KARACHI: The stock market gained 581 points on Friday despite buying activities in major scrips.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 39,288 points as against 38,706 points showing an increase of 581 points.
Analysts at Arif Habib Limited said that the aarket went up again by +746 points during today’s sessions, following the resolution of General Bajwa’s extension, however, the market closed with +581 points.
Market saw brisk buying activity with major contribution from Banks.
Though E&P remained positive, even better performance was seen in Refinery and OMCs sectors.
Banks realized trading volume of 86 million shares, mainly contributed by BOP (51.8 million) and BIPL (12.8 million).
Chemical and Cement sectors trailed Banks with 37.7 million and 35.5 million shares respectively. Among scrips, BOP was followed by PAEL (20.1 million) and KEL (16.4 million).
Sectors contributing to the performance include Banks (+277 points), Power (+45 points), Cement (+31 points), Autos (+26 points) and Insurance (+25 points).
Volumes increased further from 348.5 million shares to 428.9 million shares (+23 percent DoD).
Average traded value also increased by 18 percent to reach US$ 92.6 million as against US$ 78.2 million.
Stocks that contributed significantly to the volumes include BOP, PAEL, KEL, BIPL and PIBTL, which formed 26 percent of total volumes.
Stocks that contributed positively include HBL (+97 points), UBL (+76 points), HUBC (+37 points), BAHL (+17 points) and BAFL (+17 points). Stocks that contributed negatively include SNGP (-7 points), MARI (-7 points), EFERT (-6 points), INIL (-4 points), and OGDC (-4 points).
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Stock market gains 584 points on improved sentiments
KARACHI: The stock exchange gained 584 points on Thursday on buying activities and improved sentiments.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 38,706 points as against 38,123 points showing an increase of 584 points.
Analysts at Arif Habib Limited said that expectation of resolution of the controversy regarding COAS extension in Service helped Index recover, as Investors (largely Individuals and Corporates) have been buying the dips since last week.
Market opened on a positive note and reached +724 points. Activity was observed across the board with major activity being observed in Cement and Banks.
Profit booking was also seen during the day which brought the index down to +584 points and closed the session at that.
Auto sector has generally been rallying on the back of upcoming Auto Industrial Development Policy, where shares were seen hitting upper circuit in today’s session.
Cement sector led the volumes with 48.8 million shares, followed by Banks (40 million) and Engineering (36.5 million).
Among scrips, UNITY again topped the charts with 20.4 million shares, followed by PAEL (19.7 million) and TRG (15.8 million).
Sectors contributing to the performance include Banks (+91 points), Power (+75 points), Cement (+59 points), E&P (+48 points) and O&GMCs (+46 points).
Volumes staged a strong comeback with 348.2 million shares against 228.4 million the other day (+52 percent DoD).
Average traded value also increased by 52 percent to reach US$ 78.1 million as against US$ 51.5 million.
Stocks that contributed significantly to the volumes include UNITY, PAEL, TRG, BIPL and FFL, which formed 24 percent of total volumes.
Stocks that contributed positively include HUBC (+68 points), PSO (+31 points), MCB (+30 points), LUCK (+29 points) and NBP (+23 points). Stocks that contributed negatively include SHFA (-7 points), HBL (-5 points), BAFL (-4 points), PMPK (-3 points), and PKGS (-3 points).
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Stock market gains 328 points as court proceedings on extension continue
KARACHI: The stock market gained 328 points on Wednesday despite ongoing court proceedings related to tenure extension of the army chief.
The benchmark KSE-100 index closed at 38,123 points as against 37,795 points showing an increase of +328 points.
Analysts at Arif Habib Limited said that the political uncertainty took center stage since yesterday, when SC took notice of Army Chief’s extension.
Considering this issue to be a procedural issue, which will be resolved by the government, market took a positive view of the situation and partly recovered points lost in yesterday’s trading.
All in all, the index gained 311 points during the session, and closed the session at +328 points.
Session did saw a loss of 123 points as the remarks by SC judges came in public, denting investor sentiment for a while.
Buying activity was largely observed in Steel and Cement sectors, wherein Steel and Auto sector scrips hit upper circuits.
Cement sector led the volumes with 49.7 million shares, followed by Vanaspati (24 million) and Food (23.5 million) repeating yesterday’s performance.
Among scrips, 2 of the top volume leaders were UNITY (24 million) and FFL (19.9 million) followed by MLCF (15.3 million) which closed at upper circuit.
Sectors contributing to the performance include Banks (+132 points), Power (+31 points), Tobacco (+31 points), Fertilizer (+22 points), and Autos (+14 points).
Volumes declined significantly by 53 percent to reach 228.1 million shares against 488.7 million shares. Average traded value also declined by 57 percent to reach US$ 51.5 million as against US$ 118.5 million.
Stocks that contributed significantly to the volumes include UNITY, FFL, MLCF, MLCFR1 and PAEL, which formed 37 percent of total volumes.
Stocks that contributed positively include MCB (+53 points), FFC (+39 points), PAKT (+32 points), HUBC (+30 points) and HBL (+28 points). Stocks that contributed negatively include ENGRO (-19 points), PPL (-13 points), MARI (-12 points), COLG (-9 points), and EFERT (-4 points).
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Stock market plunges by 417 points on top court verdict
KARACHI: The stock market plunged by 417 points on Tuesday following decision of the top court regarding extension of Chief of the Army Staff’s tenure.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 37,795 points as against 38,212 points showing a decline of 417 points.
Analysts at Arif Habib Limited said that the market opened on a positive note today and went up by 356 points in initial trading.
As the news of Supreme Court’s notice on extension of COAS’s tenure caused panic among investors. The market took a nose dive of 676 points and although staged recovery a couple of times, but failed to manage the selling pressure. The session ended with negative 417 points.
As a result of confusion amongst investors, apparently those who booked positions earlier in the session resorted to selling to stem losses, trading volumes increased to 488 million shares.
Selling pressure was observed in Cement sector, particularly DGKC and LUCK, where a rumour of an increase in Cement price caused investors to take positions.
Similarly, banking sector faced selling pressure, with MCB taking a major toll. Cement sector led the volumes with 69.4 million shares, followed by Vanaspati (58.1 million) and Banks (50.4 million).
Among scrips, UNITY registered trading volume of 58.1 million shares, followed by FFL (33.9 million) and PAEL (29.6 million).
Sectors contributing to the performance include E&P (-101 points), Banks (-95 points), Power (-92 points), Cement (-56 points) and O&GMCs (-49 points).
Volumes increased significantly from 241.5 million shares to 488.1 million shares (+102 percent DoD). Average traded value also increased by 110 percent to reach US$ 118.3 million as against 56.5 million.
Stocks that contributed significantly to the volumes include UNITY, FFL, PAEL, BOP and DGKC, which formed 34 percent of total volumes.
Stocks that contributed positively include ENGRO (+46 points), AICL (+8 points), SYS (+8 points), EFUG (+7 points) and COLG (+6 points). Stocks that contributed negatively include HUBC (-74 points), OGDC (-61 points), MCB (-45 points), PSO (-34 points), and LUCK (-31 points).
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Stock market gains 287 points on buying activities
KARACHI: The stock market gained 287 points on Monday as buying activities seen during the day.
The benchmark KSE-100 index of Pakistan Stock Exchange (PSX) closed at 38,212 points as against 37,926 points showing an increase of 287 points.
Analysts at Arif Habib Limited said that the market was initially expected to face selling pressure in the wake of roll-over week, however, SBP’s status quo on monetary policy instilled confidence among investors believing that the rate cut may be announced early CY2020.
Buying activity was observed in Cement (on the back of expectation of posting healthy dispatches).
Similarly, Food sector also performed well with majority scrips trading at upper circuits.
E&P, OMCs and Refinery remained in the limelight, among which HASCOL maintained the upward trajectory on upper circuit.
Cement sector led the volumes with 37.8 million shares, followed by Technology (23.7 million) and Food (20.5 million).
Among scrips, PAEL registered 19.1 million shares, followed by UNITY (18.6 million) and TRG (15 million).
Sectors contributing to the performance include Banks (+116 points), Cement (+77 points), Fertilizer (+23 points), Pharma (+20 points) and Technology (+15 points).
Volumes declined slightly by 0.8 percent DoD to 241.2 million shares as against 243 million shares. Average traded value however, increased by 8 percent to reach US$ 56.4 million as against US$ 52.3 million.
Stocks that contributed significantly to the volumes include PAEL, UNITY, TRG, FFL and PSX, which formed 32 percent of total volumes.
Stocks that contributed positively include LUCK (+47 points), MCB (+38 points), HBL (+27 points), UBL (+19 points) and FFC (+18 points). Stocks that contributed negatively include PPL (-26 points), HUBC (-18 points), DAWH (-14 points), SHFA (-7 points), and THALL (-4 points).