KARACHI: Stocks staged grand rally on Monday as the KSE-100 index jumped 579.55 points to close at 31,878.15.
The investors’ sentiments were fuelled by the positivity creeping into the banking and oil sectors. The gains on Monday marked the seventh straight day of positive close.
“The index clocked in the highest single-day gain for this year,” analysts said.
Foreigners recorded outflow of $1.49 million.
Traded volume declined by 5pc to 134.4m shares and value dropped 13pc to Rs8.1bn.
Mid-tier stocks were mainly the volume leaders. Fertilisers, autos, pharmaceuticals and above all banks rallied on Monday. Profit-taking was seen in cements.
Banking stocks were in limelight as central bank kept policy rate unchanged at 6pc.
The sector contributed 353 points to KSE-100 index as major scrips like HBL; MCB and UBL closed at their upper-limit (up 5pc) and BKTi index (comprising of banking stocks) also rose 5pc.
Global crude prices recovered over the weekend to trade above the $35.50 mark (Brent), thus attracting Investors interest in the E&P and OMC sectors.
POL rose 1.1pc and PPL gained 0.7pc. On the oil marketing front, PSO climbed 2.9pc on account of the ECC’s amendment in the petroleum policy to allow PSO for import of LNG and supply it to the gas companies as well as buyers directly.
Analyst Ahsan Mehanti stated that expectation of improvement in banking spreads, upbeat fertilisers off-take data and positive outlook for earnings helped boost investor sentiments.
Limited reduction in local petroleum prices and institutional interest in stocks over attractive valuations also helped fuel the bullish fire.