Daily Stock Market update:12Dec,2011

Stock

Karachi Stocks Up 73.93 Points:
KARACHI, Dec 09: At close of trading, the KSE-100 index was at 11466.50, up 73.93 points. 

December 09, 2011

TOP  5  SCRIPTS GAINERS AND LOOSERS:

Nestle Pakistan	Rs 53.10	Wyeth Pakistan	Rs (26.88)
Colgate Pakistan	Rs 25.74	Unilever Pakistan	Rs (10.20)
Sanofi-Aventis	Rs 5.87	Engro Corporation	Rs (5.90)
Packages	Rs 4.06	National Refinery	Rs (5.52)
Millat Tractors	Rs 3.35	Shell Pakistan	Rs (3.66)

KSE 30 – Shares Index	Previous 10,618.22, Friday’s 10,654.48, plus 36.26 points
KSE 100 – Shares Index	Previous 11,392.57, Friday’s 11,464.61, plus 72.04 points
MARKET CAPITALIZATION	Previous Rs2,964.702bn, Friday’s 2,982.210bn, plus 17.508bn
VOLUME LEADERS	Fatima Fertiliser 11.290m, Fauji Fertiliser 3.853m, Fauji Fertiliser Bin Qasim 3.305m, JS & Co 1,984m, Engro Corporation 1.830m shares.
TOTAL VOLUME	42.977m shares
TOTAL	TONE: steady, total listed 638, actives 298, in-actives 420, plus 101, minus 102, unchanged 95

KSE Index posts fresh gain of 72 points

KARACHI, Dec 9: The shares market on Friday extended the overnight run-up on active follow-up support, both from local and foreign quarters, on the low-priced blue chip counters amid hopes of improvement in political relations with the US.
The KSE 100-share index posted a fresh rise of 72.04 points at 11,464.61 as compared to previous 11,302.57 as leading shares, notably index heavy-weight OGDC came in for strong support and contributed bulk of the increase after having risen by about Rs4.At one stage, it pushed it to session`s peak level of 11,536.02 point.
But on the other hand, limit fall was witnessed in Engro Corporation followed by reports of suspension gas supply to its units owing to its management`s unilateral decision to raise selling prices of urea.
It fell by Rs5.90.
“The chief stimulating factor behind the fresh sustained run-up appears to be Hilary Clinton`s statement that president Zardari will soon resume his office after a clean health certificate, quashing conflicting rumours about his future,” said a leading analyst Ahsan Mehanti.
He said the presence of foreign buying on some of the counters, notably oil and fertiliser, what investors think, gives credence to her statement.
But another leading analyst Ashraf Zakaria said that it may not be the whole story.
He said political reports apart, the recent meeting between the KSE and SECP high-ups to sort some pressing issues to boost stock trading seems to have raised hopes that SECP, though of late, now means business.
“What seems to have brought investors back into the arena that too in an uncertain political scenario is some positive talk on the extension of the Capital Gains Tax,” he said.
Prominent gainers were led by Nestle Pakistan and Colgate Pakistan, up by Rs53.10 and 25.74, while major losers included Wyeth Pakistan and Unilever Pakistan, off by Rs26.88 and 10.20 respectively.
Traded volume fell to 42.977m shares from the previous 50m shares but gainers and losers were about evenly matched in the ready section.The active list was topped by Fatima Fertiliser, up 43 paisa at Rs23.57 on 11m shares, followed by Fauji Fertiliser, sharply higher by Rs3.37 at 158.83 on 4m shares, Fauji Fertiliser Bin Qasim, firm by 34 paisa at 52.78 on 3m shares, JS & Co, easy five paisa at 5.07 on 2m shares, Engro Corporation, off Rs5.90 at 112.29 also on 2m shares, Hub-Power, easy 31 paisa at 36.45 on 2m shares and Lotte Pakistan, steady by eight paisa at 9.18 also on 2m shares.
They were followed by OGDC, sharply higher by Rs3.99 at 158.53 on 2m shares, followed by Pak Elektron, easy by two paisa at 4.06 on 1.307m shares and Nishat Chunian, up 37 paisa at 13.28 on 1m shares.
FUTURE CONTRACTS:Fauji Fertiliser led the list of actives on this counter, up by Rs3.31 at 159.62 on 1.164m shares followed by Fauji Fertiliser Bin Qasim easy, eight paisa at 49.90 on 1.038m shares and Engro Corporation, sharply lower by Rs5.95 at 113.19 on 0.666m shares.
Attock Refinery followed them, easy by 94 paisa at 115.75 on 0.332m shares and Pakistan Oilfields, off Rs1.43 at 363.49 on 0.236m shares.

Karachi Stocks end almost flat during the week

KARACHI, Dec 10: Shares at the Karachi Stock market closed flat in the shortened three-session week ended on Friday.
The KSE-100 index closed at 11,465 points, showing gain of 92 points or 0.81 per cent.
The noticeable feature of the three day (Wednesday, Thursday, Friday) outgoing week was a collective outflow of foreign portfolio investment amounting to $4.8 million, showing larger overseas sell off compared to the earlier week’s $2.33 million. But for all that, the Karachi Stock market still stood out as best performing market in the region as all other regional markets suffered a plunge, the heaviest fall in India market by 3.8 per cent, followed by Taiwan 3.5 per cent and Korea 2.2 per cent.
As a delegation representing stakeholders in the Pakistan’s capital market heads for Mumbai to attend the South Asian Federation of Exchanges conference between Dec 12 and 15, there could be some furore in the market next week, depending on the outcome.
During the outgoing week, the KSE market capitalisation rose to Rs2,982 billion, from Rs2,961 billion, but in terms of dollars it fell back to 33.47 billion from 33.79 billion on account of rupee depreciation. The US dollar has touched its peak level against Pak Rupee and is trading at Rs89.1 (Interbank rate). This is largely attributable to strengthening of dollar against major global currencies, while decline in Pakistan’s foreign exchange reserves to $16.68 (from $16.88bn) also pressured the Pak Rupee.
“Three trading days saw fertilisers dominate proceedings,” says analyst Yawar UZ Zaman at stock brokerage firm, InvestCap.
He noted that the average traded volumes at the market went up by 22 per cent over the earlier week to 45 million shares (owing to low base effect of previous week).
Average traded value increased by 24 per cent over the past week to stand at $31 million.
Naveed Tehsin, analyst at JS Global, observed that investors at the local bourse were nervous throughout the week.
Issues related to minimum paid-up capital requirement for brokerage houses, Capital Gains Tax (CGT) collection rules and the local political uncertainty affected market sentiments.
Gas related issues pertaining to the fertiliser sector also kept the investors on the sidelines.
Most floor traders said that the market was held back by the political and regulatory issues, which increased uncertainty.
Analysts said that the the fluid political situation also unveiled a new chapter as the President was flown out of the country for health reasons with some speculative reports hinting
that a political reshuffling may be on the cards.
The SBP Governor also shed light on the recent weakness in the Pak rupee, attributing its losses to a large $700 million oil import payment that was made recently.
On the macro front, external account data arrived late on Friday showing a 27 per cent jump over the earlier week, in trade deficit to $2.7 billion in November.
Among stocks, Packages Limited, NIB Bank, Pace (Pak) Ltd, Al-Ghazi Tractors and Shifa International Hospitals Ltd were the major gainers while Engro Corporation, Jahangir Siddiqui & Co, Silkbank Limited, Tri-Pack Films and Dawood Hercules were major losers.
Analysts said that the steady outflow in foreign portfolio in the coming weeks could determine the market direction given that domestic institutional interest was largely absent.
However, heading towards the end of the calendar year, stock specific activity may be seen in anticipation of corporate results and cash payouts.

Mohammed Saleem Mansoori