The Karachi stock market closed higher on Tuesday amid celebration by investors due to removal of withholding tax (WHT) on share sale.
The Karachi Stock Exchange (KSE) 100-share index gained 10.88 points or 0.14 percent to close at 7,549.37 points as compared to 7,538.49 points of the previous trading session. The KSE 30-share index surged 9.77 points and closed at 8,112.64 points as compared to 8,102.87 points. The KMI 30 index also increased by 98.65 points to close at 11,343.88 points as against 11,245.23 points.
Analysts said that expectations of fall in discount rates in the near term led both retail and institutional investors to take long-term positions.
The market turnover went up by 54.81 percent and traded 197.67 million shares as compared to previous session’s 127.68 million shares. The overall market capitalisation was up by 0.13 percent to close at Rs 2.226 trillion as compared with Rs 2.223 trillion. Out of total 307 companies, 150 closed in the positive zone, 136 in negative, while 21 remained unchanged.
“The market remained in the positive territory throughout the day due to the exemption of WHT on share sale,” said analyst at Topline Sec Mohammad Sohail. “At the end of the session, there was confusion that LoC unit holders may not get NIT dividend that caused selling in NBP. But later it was clarified that for LoC meeting will be held soon to announce dividend.” “Pleasant opening supported by renewed buying interest by the locals, mainly in the manufacturing stocks is likely to benefit the most from the upcoming decline in the local interest rates,” said analyst at Shazad Chamdia Sec Husnein Asghar Ali.
Although, since the leverage is missing and chances of extreme movement both inflation and erosion persist the participants stayed quite cautious as they avoided aggressive buying on strength. Group specific stocks, textile and cement sector kept the investors and day-traders active, besides the benefits from the monetary and trade policies. Record loading at KPT of cement refuelled the sentiments.
Down pour in banking stocks in the later hours of trading led to intra-day adjustment, trimming the index value led to an early offloading by the day traders, who continued to stay helpless due to absence of carry over product. Activity did contribute substantially to the turnover that came to a halt after initial activity, index however failed to achieve victory over the immediate technical region of 7,630 points to 7,637 points, which was breached during the day for a short period.
The KSE 100 index opened in the green zone with a gain of 51.16 points and at the end of the day closed at 7,549.37 points with a gain of 10.88 points.
The Karachi Stock Exchange (KSE) 100-share index gained 10.88 points or 0.14 percent to close at 7,549.37 points as compared to 7,538.49 points of the previous trading session. The KSE 30-share index surged 9.77 points and closed at 8,112.64 points as compared to 8,102.87 points. The KMI 30 index also increased by 98.65 points to close at 11,343.88 points as against 11,245.23 points.
Analysts said that expectations of fall in discount rates in the near term led both retail and institutional investors to take long-term positions.
The market turnover went up by 54.81 percent and traded 197.67 million shares as compared to previous session’s 127.68 million shares. The overall market capitalisation was up by 0.13 percent to close at Rs 2.226 trillion as compared with Rs 2.223 trillion. Out of total 307 companies, 150 closed in the positive zone, 136 in negative, while 21 remained unchanged.
“The market remained in the positive territory throughout the day due to the exemption of WHT on share sale,” said analyst at Topline Sec Mohammad Sohail. “At the end of the session, there was confusion that LoC unit holders may not get NIT dividend that caused selling in NBP. But later it was clarified that for LoC meeting will be held soon to announce dividend.” “Pleasant opening supported by renewed buying interest by the locals, mainly in the manufacturing stocks is likely to benefit the most from the upcoming decline in the local interest rates,” said analyst at Shazad Chamdia Sec Husnein Asghar Ali.
Although, since the leverage is missing and chances of extreme movement both inflation and erosion persist the participants stayed quite cautious as they avoided aggressive buying on strength. Group specific stocks, textile and cement sector kept the investors and day-traders active, besides the benefits from the monetary and trade policies. Record loading at KPT of cement refuelled the sentiments.
Down pour in banking stocks in the later hours of trading led to intra-day adjustment, trimming the index value led to an early offloading by the day traders, who continued to stay helpless due to absence of carry over product. Activity did contribute substantially to the turnover that came to a halt after initial activity, index however failed to achieve victory over the immediate technical region of 7,630 points to 7,637 points, which was breached during the day for a short period.
The KSE 100 index opened in the green zone with a gain of 51.16 points and at the end of the day closed at 7,549.37 points with a gain of 10.88 points.
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