The trading volumes at Karachi Stock Exchange (KSE) hit the historic high on Friday as hopes for good news on the unpopular Capital Gains Tax (CGT) ahead of the federal finance minister’s visit to the Exchange boosted the investors’ confidence.
With the benchmark 100-share index gaining 259.089 points the shares traded on last trading day of the week were counted at a record high of 178.424 million against 92.473 million of Thursday. “Stocks closed bullish with record high trades ahead of members’ meeting with federal minister for finance and SECP chairman on Saturday to apprise members on Capital Gains Tax issues at KSE,” said Ahsan Mehanti, a senior analyst and director at Arif Habib Investments. The index closed at 11,774.68 points against 11,515.59 points of the previous day. The intraday high and low were 11,882.70 and 11,515.59 points, respectively. “Hopes for good news regarding CGT issues supported the market to cross intraday high over 11,880 (points) with the investors’ interest in stocks across the board,” Mehanti added. The trading value remarkably increased to Rs6.817 billion from the previous Rs3.53 billion. The market capitalisation also finished in the green zone at Rs3.056 trillion compared to Thursday’s Rs2.99. The companies’ position remained strong as of the total 340 traded scrips, 185 gained, 69 lost and 86 remained unchanged. The KSE-30 index also closed higher by 306.50 points at 10,907.45 against 10,600.95 points of the previous day.
“Positive revision in Pakistan economic growth estimate to 4pc, recovery in global stocks, foreign interest in blue-chip scrips and statement issued by White House on US, Pakistan to work together to reset ties played a catalyst role in bullish sentiment at KSE,” analyst Ahsan Mehanti said.
Lafrage Pakistan was volume leader of the day counting 27.73 million of its shares traded with the opening and closing rates standing, respectively, at Rs 2.01 and Rs 2.06.
Other scrips that traded well include Jahangir Siddiqui Company, Lotte Pak-PTA, Fauji Fertilizer Bin Qasim, Fatima Fertilizer Company, DG Khan Cement, TRG Pakistan, National Bank of Pakistan, Fauji Fertilizer and Engro Corporation whose traded shares numbered, respectively, 14.49 million, 8.6 million, 8.4 million, 7.7 million, 7.0 million, 6.8 million, 6.5 million, 5.8 million and 5.7 million shares. The future market also rallied higher and the turnover increased to 13.397 million from 10.609 million of the preceding session.
