Daily Stock Market update: 30th Dec,2011

Stock

Karachi Stocks Up 91.94 Points:
KARACHI, Dec 29: At close of trading, the KSE-100 index was at 11444.53, up 91.94 points.

December 29, 2011

TOP  5  SCRIPTS GAINERS AND LOOSERS:

Nestle Pakistan	Rs 163.56	Al-Abbas Sugar	Rs (3.36)
Siemens Pak	Rs 16.54	J.D.W. Sugar	Rs (2.54)
Indus Dyeing	Rs 13.17	Salfi Textile	Rs (2.24)
Bata (Pak) Ltd.	Rs 9.93	Fauji Fertilize Bin	Rs (1.47)
Al-Ghazi Tractor	Rs 5.54	Ibrahim Fibres	Rs (1.35)

KSE 30 – Shares Index	Previous 10,288.20, Thursday’s 10,318.16, plus 29.96 points
KSE 100 – Shares Index	Previous 11,352.59, Thursday’s 11,435.67, plus 83.08 points
MARKET CAPITALIZATION	Previous Rs2,945.488bn, Thursday’s 2,966.834bn, plus 21.346bn
VOLUME LEADERS	NIB Bank 8.704m, WorldCall Telecom 4.470m, Fauji Fertiliser 3.320m, Dawood Hercules 2.994m, Bank of Punjab 2.759m shares.
TOTAL VOLUME	44.561m shares
TOTAL	TONE: Steady, total listed 638, actives 318, inactives 320, plus 133, minus 87, unchanged 98

KSE Index posts gain of 83 points

KARACHI, Dec 29: The shares market on Thursday gave another improved performance as some of the leading shares having potential of capital gains came in for belated short-covering at the lower levels but the underlying sentiment was still a bit uncertain.The KSE 100-share index posted a fresh gain of 83.08 points at 11,435.67 as compared to 11,352.59 a day earlier as some of the base shares managed to finish with an extended gain.
The reports of a massive hike in gas prices from the next month, what the investors called, a new year official gift to the industry did take its toll under the lead of fertiliser sector, one of the major consumers, analysts said.
However, technical compulsions of the fading year needed stray portfolio dressing, which kept the market in a positive mood, although there was no special feature associated with the year-end operations, they said.
All eyes are now seemed to be focused on the new year opening, although leading brokers are not that enthusiastic about it as major depressants on the political front and investors are not inclined to go beyond certain pre-determined limits for obvious reasons.
“The market may witness flutters here and there in the new year trading but inconsistency will remain their hallmark as investors have to be reassured that policy changes are permanent not temporary stimulants,” said a lead broker.
But if the issue of Capital Gains Tax is resolved under the light of amendments suggested by the KSE members, there could be a robust change for the better, they said.
Top gainers were led by Nestle Pakistan and Siemens Pakistan, up by Rs163.56 and 16.54, while Al Abbas Sugar and JWD Sugar fell by Rs3.36 and 2.54 on selling by short-term dealers.
Traded volume figure was slightly on the lower side at 44.561m shares as compared to 46m shares a day earlier, but gainers maintained a strong lead over losers at 133 to 87, with 98 shares holding on to the last levels.
The active list was topped by NIB Bank, steady by 23 paisa at Rs1.72 on 9m shares followed by WorldCall Telecom, firm by 11 paisa at 0.97 on 5m shares, Fauji Fertiliser Bin Qasim, off Rs1.47 at 44.19 on 3m shares, Dawood Hercules, up 75 paisa at 42.30 on 3m shares, Bank of Punjab, firm by 36 paisa at 5.56 also on 3m shares, Hub-Power, steady by 20 paisa at 34.70 on 2m shares and Sui Southern Gas, firm by nine paisa at 19.55 on 2m shares.
They were followed by Fatima Fertiliser, up 37 paisa at 22.91 on 2m shares, National Bank, higher by 61 paisa at 41.85 on 1.259m and Bank Al Falah, firm by 15 paisa at 11.33 on 1.246 shares.
FUTURE CONTRACTS: Both the settlements of Fauji Fertiliser Bin Qasim came in for active selling and fell by Rs1.97 and 1.63 at 44.42 and 44.12 on 0.862m and 0.638m shares followed by both the settlements of National Bank, up 56 paisa and 67 paisa at 42.25 and 41.94 on 0.548 and 0.453m shares respectively and Engro Corporation, lower 31 paisa at 98.21 on 0.401m shares.
DEFAULTER COs: The active list in this sector was led by Sakrand Sugar, off 43 paisa at Rs92 on 0.162m shares followed by SS Oils, higher by one rupee at 7.65 on 87,500 shares, and Dost Steels, easy one paisa at 1.15 on 12,652 shares.
DIVIDEND: The Board of Directors of Habib Sugar Mills have announced cash final payout at the rate of 50 per cent, while Haseeb Waqas Sugar has omitted the dividend for the financial year ended Sept 30, 2011.

KSE elects five broker directors

KARACHI, Dec 29: Brokers at the Karachi Stock Exchange elected five member directors on the board of the bourse at an extraordinary general meeting on Thursday.
The members of the bourse had earlier rejected the apex regulators’ suggestion of increasing the term in office of the board, first to three and then to two years.
The new directors were elected for the term from Jan 1 to Dec 31, 2012, keeping the period unchanged at one year.
Based on the results of the polls, the five candidates who were declared elected in order of the number of votes secured included the following: Mr Abdul Majeed Adam (125 votes), Mr Mohammad Yasin Lakhani (123 votes), Mr Yaqoob Habib (122 votes), Mr Saeed Ahmed Butt (104 votes) and Haji Ghani Haji Usman (102 votes).
A total of 138 members of the exchange caste their votes, out of which 3 ballot papers were declared invalid/rejected, leaving 135 brokers to make their choice.
Earlier, a total of seven candidates had filed nomination papers but one subsequently stepped out of the race, leaving six candidates in the contest.
In its notice, the KSE stated that according to the Articles of Association of the Exchange, four non-member directors would now be required to be nominated by the Securities and Exchange Commission of Pakistan (SECP) for the next term.
The new chairman would be elected from those nominated directors. Mr Nadeem Naqvi, the Managing Director at the KSE, by virtue of his office, would sit on the board as the tenth director.
Mr Yasin Lakhani, a director elect and the veteran at the KSE, has presided over the Board for five times as either the President or the Chairman. Mr Lakhani says he cannot immediately recall how many times he has been on the board as a member since first elected in 1969. He said: “The new elected directors would try to convince policy makers to be practical in promoting business at the capital markets, which can generate a lot of revenue for the country.”

Temasek to sell stake in NIB Bank

SINGAPORE, Dec 29: Singapore state investor Temasek is looking to sell its 88.6 per cent stake in Pakistan`s NIB Bank after heavy losses, the Business Times reported on Thursday quoting a source.

The paper also said NIB had suffered a cumulative net loss of about Rs17 billion ($189 million) since Temasek first invested in the bank in early 2005.
Business Times quoted a Temasek spokesman as saying the firm did not comment on market speculation. The Singapore state investor could not immediately be contacted by Reuters for comment.
Reuters reported last month that Khawaja Iqbal Hassan, who was instrumental in bringing Temasek as an investor, had stepped down as CEO of NIB and that Singapore was looking at a paper loss of about $400 million of its $540 million investment.—Reuters

KSE Broker`s licence suspended

ISLAMABAD, Dec29: The SECP on Thursday suspended the trading licence of Zafar Moti Capital Securities for 15 days and a warning has been issued to the broker that if he failed to pay fine within 15 days, his trading licence will be cancelled.
Zafar Moti was fined Rs400,000 by the Securities Market Division (SMD) of the SECP in October 2009, after the inquiry found him guilty of `wash trade` – which is being involved in selling and buying of shares by the same firms to show the artificial trading activity and also enhancing the value of the said scrip.
The wash trading was detected by the vigilance team of SECP`s Monitoring and Surveillance Wing, and after the reported illegal activity, an inquiry was conduced by the Securities Market Division, which included various hearings.
The appellate bench of the Commission rejected the appeal filed by Mr Moti on June 17, 2011, and directed him to pay the fine amount.

Mohammed Saleem Mansoori