KARACHI: Stocks extended gains for the second day on Tuesday with the KSE100 index adding 137.85 points to close at 32,811.89.
The year-end mark-tomarket transactions, prime minister`s announcement of reducing energy cost by Rs3/kWh for industrial units and institutional re-balancing ahead of the close of 2015, helped stocks reap gains.
However, many investors stayed on the sidelines and avoided being entangled in choppy trades. Foreigners sold stocks worth $3.18m.
Profit booking was witnessed in the second half after the index climbed to intra-day high by 278 points.
Traded volume increased to 144.7 million and value rose to Rs8.6 billion.Retail favourites TRG (down 2.24pc), JSCL (up 1.61pc) and PAEL (down4.03pc) emerged as volume leaders.
PPL managed to hold ontoits intraday gains and eventually closed up at its `upper-circuit` on the back of news thatthe government had agreed to raise gas price for the Sui field, operated by PPL, toincrease the rate based on the Petroleum Policy 2012.
Institutions took fresh positions in ENGRO, EFERT and FFC on the hope that gas prices would stay put.
Investors were attracted by the enticing valuations and yields.
While the major gainers were FFC, PPL, NESTLE, ENGRO and HUBC, on the flip side, MCB was the biggest laggard of the day.
`When considering sector wise performance, consumer staples managed to steal the show and remained in the limelight clocking in a gain of 1.84pc,` said dealers at Intermarket Securities.
Analyst Ahsan Mehanti at Arif Habib Corp stated that the stocks closed higher led by oil and fertiliser scrips.
Higher global equities and rising local fertiliser prices added to the positive sentiments, despite pressure in banking stocks.