Stocks up 545 points to new all-time high amid buying by local institutions

KARACHI: The KSE-100 index closed higher by 545 points to another all-time high on Wednesday, led by buying by local institutions amid the expectation of a higher cut in the discount rate next week.

The Pakistan Stock Exchange’s (PSX) benchmark KSE-100 index increased by 545.26 points or 0.52 percent to 105,104.34 points against 104,559.07 points recorded in the last session. The highest index of the day remained at 105,473.56 points while the lowest level was recorded at 104,315.41 points.

Ahsan Mehanti, an analyst at Arif Habib Corp, said, “Stocks closed to a new all-time high led by the oil and energy sector amid upbeat data on POL sales surging by 15 per cent YoY and cement sales surging by 5.6 per cent YoY in Nov’24.”

He said that the imminent SBP policy rate cut next week, rupee stability, upbeat economic indicators on exports, trade deficit and external account played a catalyst role in the record close at the PSX.

The KSE-30 index increased by 188.25 points or 0.58 per cent to 32,554.14 points against 32,365.89 points.

Traded shares decreased by 17 million shares to 1,749.316 million shares from 1,766.474 million shares. The trading value dropped to Rs50.416 billion from Rs56.624 billion. Market capital expanded to Rs13.356 trillion against Rs13.252 trillion. Of the 467 companies active in the session, 258 closed in green, 180 in red and 29 remained unchanged.

Analyst Naveed Nadeem at Topline Securities said the KSE-100 index closed at an all-time high of 105,104 points, gaining 545 points or 0.52 per cent during the session. “Persistent buying by local institutions, coupled with high trading volumes, reflected strong investor confidence, fuelled by expectations of a declining interest rate in the upcoming monetary policy meeting,” he said.

MARI, HUBC, AIRLINK, MTL, and PSO were major contributors to the index’s surge, collectively adding 442 points.The highest increase was recorded in Unilever Pakistan Foods Limited, which rose by Rs334.89 to Rs20,200 per share, followed by Hoechst Pakistan Limited, which increased by Rs53.32 to Rs2,748.57 per share. A significant decline was noted in Sapphire Fibres Limited, which fell by Rs87.62 to Rs1,112.38 per share; Service Industries Limited followed it, which closed lower by Rs51.40 to Rs1,430.37 per share.

Brokerage Arif Habib Ltd said the KSE-100 index managed to close above the 105,000 mark on Tuesday despite a choppy trading session. The index continues to show resilience, maintaining a bullish outlook as support builds at the 100,000 level, paving the way for further upward momentum.

WorldCall Telecom remained the volume leader with 257.531 million shares which closed higher by 14 paisas to Rs1.61 per share. Cnergyico PK with 213.200 million shares followed it, which closed higher by 13 paisas to Rs6.85 per share.

Other significant turnover stocks included Pak Int. Bulk, Pak Elektron, Power Cement, Pak Refinery, Sui South Gas, Symmetry Group Ltd, TPL Properties and PTCL. In the futures market, 306 companies recorded trading, 191 of which increased, 110 decreased, and 5 remained unchanged.