Wednesday Dec 01 2021
BDBusiness Desk

Shares at PSX end slightly up after volatile session

BDBusiness Desk
— AFP/File
— AFP/File

  • Benchmark KSE-100 index rises nearly 300 points despite record-high inflation.
  • Investors cheer lower international commodity prices and yesterday’s smooth MSCI related trades.
  • Shares of 337 companies traded during the session.

KARACHI: Despite a host of negative triggers, the Pakistan Stock Exchange (PSX) gained nearly 300 points on Wednesday.

The benchmark KSE-100 index closed in the green zone despite record-high inflation — which clocked in at 11.5% in November.

Investors' participation remained dismal as today was the first day of the reclassification of the stock market from the MSCI Emerging Market Index to the MSCI Frontier Market index.

Investors cheered lower international commodity prices and yesterday’s smooth MSCI related trades.

Benchmark KSE-100 intra-day curve. — PSX data portal
Benchmark KSE-100 intra-day curve. — PSX data portal

At close, the benchmark KSE-100 index edged higher by 296.76 points, or 0.66%, to close at 45,369.14 points.

A report from Arif Habib Limited noted that the benchmark KSE-100 index stayed in the green zone throughout the day as the market celebrated the transition from emerging to frontier market. 

"The index opened with a bullish momentum as traders took an aggressive bet on cement, steel, and technology stocks," it said, adding that later, accumulation was witnessed in the banking sector as the consumer price index for the month of November clocked in at 11.53% year-on-year (+3% month-on-month).

The brokerage house noted that the highest inflation in 21 months was influenced by a record hike in fuel prices. 

"In the last trading hour, the sharp upside was witnessed as short-sellers jumped in to square-off trading positions," it said.

Sectors contributing to the performance included cement (+113 points), commercial banks (+85 points), fertiliser (+32 points), exploration and production (+20 points), and power (+16 points).

Shares of 337 companies were traded during the session. At the close of trading, 209 scrips closed in the green, 108 in the red, and 20 remained unchanged.

Overall trading volumes plunged to 241.1 million shares compared with Tuesday’s tally of 411.5 million. The value of shares traded during the day was Rs9.2 billion.

Fauji Foods Limited was the volume leader with 38.3 million shares traded, gaining Rs0.04 to close at Rs11.02. It was followed by Fauji Foods (R) with 37.1 million shares traded, losing Rs0.05 to close at Rs0.69, and TPL Properties with 14.8 million shares traded, gaining Rs0.66 to close at Rs43.48.