Stocks gain 439 points on stable market hints

Stocks gain 439 points on stable market hints

KARACHI: Stocks gained 439 points on Monday as an outcome of the recent Open Market Operation (OMO) conducted by the central bank hinted at stability in the market.

The benchmark KSE-100 index of the Pakistan Stock Exchange (PSX) closed at 44,340 points as against last Friday’s closing of 43,901 points, showing an increase of 439 points.

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Analysts at Arif Habib Limited said that the KSE-100 index continued its bullish trend as investor confidence boosted up from last week’s OMO injection creating stability in the market.

Profit-taking occurred in the first trading hour then the market stayed in the green zone throughout the day. A bullish trend was observed mainly in the cement and steel sector.

In the technology sector, TRG made the journey to the north by hitting the circuit as the board of directors has decided to continue to work towards further maximizing the value and capital returns of its proceeds for the company and its shareholders.

READ MORE: Stocks gain 169 points on SBP’s OMO

TRGP further requested TRGI to directly or indirectly provide value, benefit, or liquidity to its shareholders. It was further decided to park TRGP’s portion of the liquid assets in a separate wholly-owned subsidiary of TRGI (“SPV”) which will time to time purchase shares of TRG from the stock market.

Moreover, activity continued to remain side-ways as the market witnessed hefty volumes in the 3rd tier stocks.

Sectors contributing to the performance include Cements (+101 points), Technology & Communication (+88 points), Fertilizer (+58 points), Commercial Banks (+35 points) and E&P (+30 points).

Volumes decreased from 252.2 million shares to 238.5 million shares (-5.5 million DoD). Traded value increased by 16.7 million to reach US$ 52.8 million as against US$ 45.2 million.

Stocks that contributed significantly to the volumes include TRG, WTL, BYCO, SILK and TELE. 

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