The stock market witnessed a correction after benchmark cross the 12,400 mark with considerably better volumes. JS related stocks witnessed ample interest after news reports indicated an improvement in financial conditions.
The KSE-100 index closed at 12,330.14 with a loss of 37.15 points and total volume stood at 75,858,379 along with the total value of 3,258,068,927.KSE 30 index lost 59.42 points to close at 11895.79 levels and All Share index closed at 8576.19 levels after losing 23.91 points.
A total of 132 scrips advanced, 134 declined and 82 remain were unchanged out of total 348 scrips traded. Fertiliser stocks were moving on the back of stock specific news. Fatima Fertiliser is likely to breach its IPO price level. Banking shares and oil sector stocks remained out of sight which also impacted the overall market sentiment.
We believe with the fiscal year result season expected to commence shortly, we may see ample interest from investors, expecting dividend heavy stocks to out perform the benchmark said Bilal Asif at HMFS. Nestle and OGDC kept the index in the brown zone for most part of the session, day end off-loading however dented the benchmark, thus allowing a limited recovery.
Low priced stocks gave the turnover desired support allowing the main indicators to suggest consolidation despite ground realities suggesting otherwise, while corporate influx on dips restricted unprecedented decline. Hasnain Asghar Ali at Aziz Fidahusein said that it is recommended that it will trade in selective stocks, since the turnover in the board stocks is likely to decline in coming sessions, and incase the existing CGT mechanism stays unchanged prolonged stagnation may therefore keep high priced stocks under pressure.
And with pressure on major economic indicators likely to persist, cautious stays the call, front line, large cap stocks offering consistent dividend yields trading at comparatively low multiples can be looked for both trading and placements, he added.