STOCK MARKET UPDATE: 04.10.2012

STOCK:
Karachi Stocks Up 91.99 Points:
KARACHI, Oct 04: The KSE-100 index was at 15804.20, up 91.99 points. ( @ 11.03 am)

October 03, 2012

5 TOP GAINERS  &  LOOSERS:

UniLever Pak	Rs 500.00	Rafhan Maize	Rs (99.00)
Nestle Pak	Rs 221.25	Atlas Battery	Rs (6.95)
Siemens Pak	Rs 33.95	Abbott Labs	Rs (6.87)
Bata Pak	Rs 20.55	Attock Petrols	Rs (6.19)
Shezan int’l	Rs 15.75	Atlas Honda	Rs (4.00)

KSE index hits all-time high
KARACHI, Oct 3: The Karachi Stock Exchange (KSE) achieved two milestones on Wednesday as it hit a new all-time high of 15,747.64 points and ended at its highest ever level of 15,712.21 points, after a gap of four and a half years, buoyed by expectations of a cut in the State Bank of Pakistan’s key policy rate due to be announced on Friday.
The previous record high was 15,737.32 and it’s highest ever closing was 15,676.34, both achieved in April 2008.
The KSE 100-share index ended 0.41 per cent, or 63.02 points, to record high of 15,712.21 points. Turnover however decreased to 107.65 million shares, compared with 140.79 traded on Tuesday, as some investors were cautious and preferred to stay on the sidelines as the index breached its previous all-time high.
Trading value fell to Rs4.2 billion from the previous day’s value of Rs5.96 billion but market capitalisation rose to Rs3.96 trillion, compared with Tuesday’s Rs3.95 trillion.
“The market had a historic day as it ended at its highest ever closing level on expectations of a rate cut and also due to strong corporate earnings,” said Ahfaz Mustafa, director at Ismail Iqbal Securities Ltd.
“The market should continue this trend till at least the monetary policy announcement.”The State Bank is due to unveil its monetary policy on Friday and analysts expect a cut in the discount rate from as low as 50 basis points up to 150 basis points. SBP cut its policy rate by 150 basis points to 10.5 per cent in August.
When a central bank reduces interest rates, then usually it prompts investors to move money away from the bond market to the equity market on the hope of higher returns.
“Investors believe that further decline in the interest rate will trigger money flow to the stock market,” said Samar Iqbal, a dealer at Topline Securities Ltd.
The market has also been supported by strong corporate earnings which on average closed 16 to 18 per cent higher year-on-year.
The rally on Wednesday was mainly led by middle tier stocks as blue chips, especially in energy sector, saw some profit-booking such as Oil and Gas Development Co Ltd which shed Rs1.82 to close at Rs181.09.
Energy sector was under pressure as international oil prices fell more than $2 per barrel as weak data intensified worries about the global economy and the outlook for oil demand.
Foreign investors were net sellers on Wednesday as there were net outflows of close to $1 million, but have bought shares worth a net $62.28 million this year. Companies were major buyers of equity in the market, worth $5.25 million.
The FMCG posted handsome gains as Unilever witnessed the largest increase of Rs500 to close at Rs10,500, followed by Nestle Pakistan Ltd which rose Rs221.25 to end at Rs4,646.26.
Rafhan Maize Prod had the largest decrease as it fell RS99 to Rs3,800 followed by Atlas Battery which shed Rs6.95 to close at Rs237.
The following companies were the ten most active in the market on Wednesday: Jahangir Siddiqui Co, volume leader, gained 56 paisa to Rs13.99 on turnover of 13.35 million shares, Nishat Mills Ltd rose Rs1.35 to Rs58.85 on 4.57 million shares and Askrai Bank marginally ended 6 paisa higher at Rs15.47 on 4.32 million shares.
PTCLA gained 20 paisa to Rs19.76 on 4.23 million shares, Azgard Nine rose 13 paisa to Rs6.19 on 3.77 million shares and Attock Refinery Ltd ended Rs7 higher at 147.03 on3.72 million shares.
Fauji Fert Bin increased by 6 paisa to Rs39.23 on 3.58 million shares but Engro Corp fell 58 paisa to Rs108.18 on 3.4 million shares and Pace (Pakistan) Ltd shed 1 paisa to Rs3.22 on 3.15 million shares.
Engro Foods closed 66 paisa lower at Rs71.84 on 3.1 million shares.

MOHAMMED SALEEM MANSOORI

STOCK MARKET UPDATE: 03.10.2012

STOCK:
Karachi Stocks Up 81.81Points:
KARACHI, Oct 03: The KSE-100 index was at 15730.10, up 81.81 points. ( @ 11.22 am)

October 02, 2012

5 TOP GAINERS  &  LOOSERS:

Bata Pak	Rs 20.00	Rafhan Maize	Rs (69.30)
Mithchells Fruit	Rs 16.37	Siemens Pak	Rs (37.95)
Colgate Palmolive	Rs 15.61	Indus Dyeing	Rs (21.99)
Nestle Pak	Rs 15.01	Ismail Industries	Rs (6.65)
Pak Oilfields	Rs 10.75	Clover Pak	Rs (5.43)

Karachi Stocks -Discount rate cut hopes give KSE a lift

KARACHI: Stocks at the local equities market closed higher on Tuesday as investors remained optimistic about the monetary policy announcement on Friday, traders said.

The Karachi Stock Exchange (KSE) benchmark 100-share index ended 0.57 percent, or 88.35 points, higher at 15,648.29 – a four-year high -- on total volume of 140.79 million shares.

"The primary reason is the inflation numbers. People are speculating ahead of the monetary policy. Inflation is coming down so the possibility is high that discount rate will be lower," said a dealer.

"There is an improvement in global oil prices and improvement in local cement prices."

The central bank is expected to announce a monetary policy decision on October 5.

Pakistan's consumer price index (CPI) rose 8.79 percent in September from a year earlier, the Pakistan Bureau of Statistics said on Monday.

The year-on-year rate in August was 9.1 percent. On a month-on-month basis, the CPI increased by 0.79 percent from August, according to the bureau. (Reuters)

KSE upbeat on interest rate cut hopes

KARACHI: Karachi Stock Exchange (KSE) seems to have resumed its upward drive on the expectation of a further cut in the discount rate in the monetary policy to be announced by the State Bank of Pakistan (SBP) on October 5.
The trading today soon went brisk as the investors were seen exuberant that sent the KSE-100 index surging by 150 points to peak at the highest ever at 15,712 as against previous high of the highs at 15,676 in April, 2008.
Analyst said that the investors in the light of yesterday’s data released for September inflation anticipating that the Central Bank in its monetary policy to be announced on October 5 may further cut down the discount rate by 1 percent from the current 10.5 percent.
Karachi Stocks close to all-time high
KARACHI, Oct 2: Expectations of a cut in the central bank’s key policy rate in the upcoming monetary policy lifted investors’ sentiment and led the market to close to its all-time high on Tuesday but selling pressure was witnessed in cement and textile sectors, dealers said.
The monetary policy is due to be announced on Friday and analysts are expecting a cut up to a 100 basis points.
The Karachi Stock Exhange (KSE) 100-share index ended 0.57 per cent, or 88.35 points, higher at 15,648.29 and turnover rose to 140.79 million shares from 135.8 million shares traded on Monday.
Trading value increase by over Rs1 billion to Rs5.96 billion from the previous day’s value of Rs4.73 which indicated investor interest in blue chip companies. Market capitalisation also rose to Rs3.95 trillion compared to Monday’s Rs3.93 trillion.
“Stocks closed bullish led by oil stocks after September’s CPI inflation stood at 8.79 per cent year-on-year raising rate cut expectations ahead of SBP policy rate announcement,” said Ahsan Mehanti from Arif Habib Corp.
Energy sector led the rally with the heaviest weighted stock, Oil and Gas Development Co Ltd, gaining Rs2.14 to close at Rs182.91, Pakistan Oilfields rose Rs10.75 to Rs450.05 and Pakistan Petroleum Ltd ended 95 paisa higher at Rs177.47.
“While profit-taking was witnessed in banking sector and cement stocks,” said Samar Iqbal, a dealer at Topline Securities.
Cement stocks were under pressure as investors booked profits after these stocks had gained in previous sessions amid expectations of strong dispatches from Sept and healthy corporate earnings.
Banking stocks witnessed selling because if the discount rate is slashed, then it could hurt the banking sector’s margins.
The KSE-index is hovering close to its all-time high of 15,737.32 points as it made its intra-day high at 15,725.66, therefore some profit booking can be expected in the coming sessions, dealers said.
Foreign investors were active as they bought shares worth a net $2.16 million, compared to a net outflow of $317,950 on Monday. Companies were the major sellers of equity worth $7.14 million.
The market capitalisation based KSE-30 index gained 0.57 per cent, or 74.54 points, to close at 13,200.83. Out of the 318 companies traded, the value of 165 advanced, 127 declined and 26 remained unchanged.
Bata Pakistan Ltd witnessed the largest increase of Rs20 to Rs10,000 followed by Mitchell’s Fruit which gained Rs16.37 to Rs359.
Rafhan Maize shed Rs69.30 to close at Rs3,899, the largest decrease, followed by Siemens which ended Rs37.95 lower at Rs722.05.
The following companies were the top 10 most active in the market on Tuesday: volume leader PTCLA fell 29 paisa to close at RS19.56 on turnover of 12.93 million shares, Lafarge Pakistan shed 5 paisa to Rs5.96 on 8.17 million shares and Fauji Fertiliser Bin closed Rs1.66 higher at 39.17 on 7.35M shares. Maple Leaf Cement decreased by 25 paisa to Rs9.2 on 6.91 million shares, Engro Foods gained Rs1.54 to Rs72.50 on volume of 5.34 million shares but Fauji Cement fell marginally by 2 paisa to end at Rs6.41.
Attock Refinery Ltd gained Rs6.66 to Rs140.03 on 4.72 million shares, Nishat Chunian shed Rs1.04 to Rs22.23 on 4.6 million shares, Bank Alfalah fell 3 paisa to Rs15.09 on 4.17 million shares and Nishat Mills Ltd ended 26 paisa lower at Rs57.50 on 4.16 million shares.

MOHAMMED SALEEM MANSOORI

STOCK MARKET UPDATE: 02.10.2012

STOCK:
Karachi Stocks Up 147.33 Points:
KARACHI, Oct 02: The KSE-100 Index was at 15707.27, up 147.33 points.

October 01, 2012

5 TOP GAINERS  &  LOOSERS:

UniLever Pak	Rs 300.00	Rafhan Maize Pro	Rs (208.85)
Nestle Pakistan	Rs 210.00	Siemens Pakistan	Rs (40.00)
Colgate palmolive	Rs 34.72	Mithchells Fruits	Rs (17.37)
Shezan international	Rs 13.38	Pak Gum & Chemical	Rs (9.15)
Wyeth Pak Limit	Rs 10.00	Pak Services	Rs (8.18)

Karachi Stocks rise by 115 points on rate cut hopes
KARACHI, Oct 1: Stocks ended higher on Monday following a lower than expected Consumer Price Index (CPI) which raised expectations of a further rate cut due to be announced in the upcoming monetary policy.
The monetary policy is scheduled to be unveiled on Friday and analysts expect a cut in the key policy rate of 50 to 100 basis points.
The Karachi Stock Exchange (KSE) 100-share index closed 0.75 per cent, or 115.12 points, higher at 15,559.94 points.
Turnover increased to 135.8 million shares, compared with 113.94 million shares traded on Friday.
Trading value rose to Rs4.73 billion from Rs3.82 billion from the previous trading session while market capitalisation increased to Rs3.93 trillion from Friday’s Rs3.90 trillion.
“Early pressure in the market was negated upon release of lower than expected CPI for Sept which improves prospects for continued monetary easing,” said Sheikh Zia-ur-Rehman, head of institutional sales at AKD Securities Ltd.
“The rally should continue across the rest of the week especially in leveraged stocks such as textiles, cements and Engro.”
Dealers said some investors are still cautious amid the ongoing meetings with IMF and Pakistani authorities in Islamabad and there might be some profit booking as the market is hovering close its all-time high of 15,676 points from April 2008.
Cement sector remained in the limelight on hopes of improved dispatches for September and as most companies announced a profit in 2011-12 such as Dewan Cement.
Dewan Cement which was the third volume leader, reported a net profit of Rs383 million in FY12, compared with a loss of Rs311 million in the previous fiscal year. It had remained in a loss for the past four years.
“Banking stocks fell as investors believe that decline in interest rate will hurt their margins,” said Samar Iqbal, a dealer at Topline Securities Ltd.
Foreign investors sold shares worth a net $317,950 on Monday, compared with a net inflow of $1.35 million on Friday.
Companies were the major buyers of equity worth $11.37 million.
The market capitalisation based KSE 30-share index ended 0.74 per cent, or 96.85 points, higher at 13,126.29 points. Out of the 329 companies traded, the value of 170 advanced, 141 declined and 18 remained unchanged.
Unilever Pakistan witnessed the largest increase of Rs300 to Rs10,000 followed by Nestle Pakistan which rose Rs210 to Rs4,410.
The biggest decline was seen in Rafhan Maize Prod which shed Rs208.85 to Rs3,968.30 followed by Siemens Pakistan which fell Rs40 to Rs760.
Lafarge Pakistan was the top volume leader rose 16 paisa to Rs6.01 on turnover of 17.26 million shares, PTCL gained 46 paisa to Rs19.85 on 10.64 million shares and Dewan Cement ended 48 paisa higher at Rs5.38 on 10.64 million shares.
DG Khan Cement increased 72 paisa to Rs51.02 on 9.72 million shares, Engro Corp rose Rs1.54 to Rs108.31 on 4.22 million shares and Nishat Mills Ltd gained Rs1.8 to Rs58.46 on 3.87 million shares.
Telecard Ltd marginally rose 2 paisa to Rs3.29 on 3.69 million shares but NIB Bank Ltd fell 6 paisa to Rs2.51 on 3.04 million shares and JS Growth Fund shed 3 paisa to Rs7.56 on 3.04 million shares.
Engro Foods Ltd ended 92 paisa higher at Rs70.96 million shares on turnover of 3.04 million shares.

Karachi Stock Exchange-Free-float KSE index
KARACHI, Oct 1: The KSE 100-index will be based on free-float market capitalisation from Oct 15, compared with the previous total market capitalisation, Deputy Managing Director KSE Haroon Askari said in a statement on Monday.
The composition of companies in the KSE-100 index on the basis of free-float capitalisation had been carried out according to the closing price of shares as on August 31, 2012.
Company news:
PVMA Election:KARACHI: Oct 1: In the 325th Executive Committee meeting of Pakistan Vanaspati Manufacturers Association (PVMA), held here in Karachi, Khawaja Arif Qasim was elected unopposed as Chairman PVMA for 2012-13, while Mr Atif Akram Sheikh was elected as Senior Vice Chairman and Wazir Ali Pardhan was elected as Vice Chairman PVMA, says a press release.
MOHAMMED SALEEM MANSOORI