KARACHI: Owing to low turnover, the index began the week on a negative note as institutional investors remained on the sidelines with holiday stagnation and not encouraged to pursue fresh positions ahead of the year-end.

The Karachi Stock Exchange (KSE) benchmark 100-share index recorded a fall of 0.27% or 86.27 points to end at 31,906.74.

Elixir Securities analyst Faisal Bilwani said the day was primarily dull with lacklustre trading in the wider market, however, stock-specific activity kept interest alive.

“Pakistan Telecom (PTCL PA -0.3%) led volumes on bets that the proposed anti-terror measures would include strict monitoring of grey traffic, a move that would benefit country’s largest telecom provider,” said Bilwani.

“Stocks ended the day with little to no change on reported foreign selling. Engro Corp (ENGRO PA -1.6%) failed to carry Friday’s momentum and wiped most of the gains to close red on reported local selling; however, Engro Fertilizers (EFERT PA +2.7%) attracted attention on the news of gas supply and closed at a new record high.”

Bilwani concluded that retail-driven small and medium caps to likely lead volumes with unusual moves in illiquid plays on window dressing.

JS Global analyst Ovais Ahsan said the cement sector came off anticipation that the Prime Minister will approve a hike in gas tariffs by 10% to 64%, which would adversely affect strong players of the sector.

Trade volumes rose to 215 million shares compared to 209 million on Friday.

Shares of 364 companies were traded on Monday. Of these, 219 companies declined, 123 closed higher and 22 remained unchanged. The value of shares traded during the day was Rs9 billion.

Pak Elektron was the volume leader with 27.3 million shares, gaining Rs1.73 to close at Rs40.49. It was followed by PTCL with 25.6 million shares, losing Rs0.06 to close at Rs22.72 and the Bank of Punjab with 21.2 million shares, gaining Rs0.14 to close at Rs11.

Foreign institutional investors were net buyers of Rs89.3 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan Limited.


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