KARACHI: The stock market continued to rise on Tuesday, with the benchmark KSE-100 index making heavy gains of 587.27 points (1.22 per cent) to close at a new all-time high of 48,827.55.
Index heavyweight oil and gas exploration and production sector received a boost as global oil prices climbed 2.4pc to reach $55 a barrel for the first time since July 2015, after Kuwait cut output following Organisation of the Petroleum Exporting Countries’ decision last month to limit production.
Another significant feature of Tuesday was the break in foreign selling which replaced net foreign inflows of $1.3m. All institutional participants were net buyers while nervous investors decided to take profit as the index reaches the dizzy heights.
Although index made phenomenal gains, there was only a slight difference between the number of gaining scrips (208) and losing stocks (199).
With increased participation of investors, the volume of shares traded on Tuesday jumped 33.2pc to 501 million shares, while the trading value soared 44pc to Rs27 billion.
Index heavyweights the Oil and Gas Development Company Ltd (OGDCL), Pakistan Petroleum (PPL) and Pakistan Oilfields rose 2.76pc, 2.71pc and 2.51pc, respectively.
Moreover, investors’ interest was seen in the cement sector which closed up 2.6pc than its previous trading session. Cements came into the limelight suggesting an increase of Rs15 per bag in selected cities. DG Khan Cement (DGKC) rose 4.5pc, Cherat Cement 4.97pc, Fauji Cement 4.99pc and Lucky Cement 1.71pc.
According to Intermarket Securities, the Tuesday’s rally was underpinned by movement in cements, oil and gas and fertilisers.
Top contribution came from Engro Corporation which rose 3.39pc, OGDCL 2.76pc, PPL 2.71pc, DGKC 4.5pc and United Bank 2.42pc. On the flip side, Habib Bank lost 0.91pc points, Engro Foods 3.39pc and Mari Petroleum 0.53pc