KARACHI: Stocks extended recovery on Monday with the KSE-100 index adding 145.63 points (0.45 per cent) to close at 32,853.54.
The market opened on a positive note and the benchmark hit its intra-day high of 302.31 points. Later profit-taking swept away some of the gains.
Intra-day volatility remained at 720 points. However, just as there were no visible reasons for the tenth consecutive sessions of losses in the later part of November, the market was conspicuous by the absence of any major triggers for its turnaround.
Foreigners offloaded $1.7 million worth of stocks.
Several market participants suggested that the recovery was ostensibly the result of the early December intervention of the finance minister to reconcile the disputes between the SECP and the stockbrokers.
If the commission had to retrace its earlier decision on ‘Securities Brokers Regulations 2015’ and agree to phase implementation under duress, it would cast a shadow on the SECP position as an independent body.
Some brokerages made statements which were hardly verifiable. “The market took a breather due to slowdown of foreign outflows in the last few trading sessions,” said one.
Trading volume increased by 20pc to 155m shares while value rose 19pc to Rs8.1 billion.
Oil prices edged lower after Opec disagreed on curbing production. Resultantly, OGDC, PPL and POL declined.
Managing Director of MARI was reported to have said that the company has increased spending on exploration activity by 231pc year-on-year to $106m, which saw the stock hit upper-circuit.
The fertiliser sector was the top contributor towards the day’s rally with ENGRO (up 3.2pc), EFERT (5pc) and FFC (1.14pc).