Market reversed major part of the gains made on Wednesday. Yesterday’s activity was hinged on quarter-end closing, no change in interest rates, higher crude prices and expectation of large hydro-carbon discovery in Indus offshore.
Thursday’s reversal can very much be attributed to a negative view on discovery, slight reduction in oil price and profit taking activity by institutional investors. A wait-and-see approach from institutional investors also kept stock prices in check, rather added to selling pressure.
Analysts at Arif Habib said, similar to Wednesday, UNITY’s right shares got the lion’s share in traded volume with 43M shares as against a total of 132M (33%).
Other than Vanaspati, Banks, Cement and Engineering sectors contributed to the volumes, mainly to the downside.
The Index closed at 38,553pts as against 38,965pts showing a decline of 412pts (-1.1% DoD). Sectors contributing to the performance include E&P (-132pts), Cement (-79pts), Banks (-53pts), Fertilizer (-37pts), Insurance (-21pts).
Volumes reduced to 131.8mn shares as against 228.7mn shares yesterday (-42% DoD). Average traded value also declined by 29% to reach US$ 31.2mn as against US$ 43.9mn
Stocks that contributed significantly to the volumes include UNITYR1, BOP, STPL, WTL and PIBTL, which formed 47% of total volumes.
Stocks that contributed positively include BAHL (+12pts), MEBL (+11pts), MTL (+9pts), KAPCO (+8pts), and FATIMA (+7pts).
Stocks that contributed negatively include PPL (-67pts), OGDC (-48pts), LUCK (-37pts), UBL (-30pts) and HBL (-22pts).