SUNRISE CAPITAL (PVT) LTD | 04 January 2017 | LANDING

Pakistan equities started volatile and witnessed a short phase of profit-taking in the wider market, dragging the index down. After that index took a turn and cross the historic barrier of 49,000 levels.  Volatility prevailed in the market as the index traded between an intra-day high of 49069.05 points and intra-day low of 48635.87 points. Stocks closed bearish despite news of SC to hold Panamá gate hearings on daily basis makes the investor cautious and take the index in the negative mode. At close, the Pakistan Stock Exchange’s (PSX) benchmark KSE 100-share Index finished with a decline of 0.25% or 122.56 points, to close at 48,704.99 levels.

Relatively Dull activity witnessed in the market as turnover settled at 403 million shares as compared to 501 million shares in the last trading session. Shares of 403 companies were traded; at the end of the day 165 stocks closed higher, 218 declined, while 20 remained unchanged. The value of shares traded during the day was at recorded the level of PKR 16.37 billion decreased by 20%.

Volatility prevailed in capital market; major activity witnessed in Engineering, Commercial Banks and Cement sector. In Engineering sector, ASL surge their value by 2.77%, while DSL, PECO drop by 2.71%, 4.14%. Mixed sentiments were witnessed in the banking sector as there was a decline in month-on-month CPI number by 0.5% to 3.7% for the month of December 2016.” AKBL up by 4.99%, while BOP, MCB decline their value by 0.28%, 1.80%.Moreover in Cement Sector, loss their previous gains FCCL, BWCL, CHCC drop by 1.27%, 1.58%, 2.52%.

Active list was topped by DSL with 32 million shares as it closed at PKR 12.93 with a negative change of PKR 0.36. ASL was the second highest on the volume chart with 23 million shares closed at PKR 17.04 with a positive change of PKR 0.46. It was followed by FCCL with 15 million shares closed at PKR 47.58 with a negative change of PKR 0.61, PTC with 14 million shares closed at PKR 18.27 with a positive change of PKR 0.16.

Today major trading activities were recorded in Engineering Sector as it was traded above 65 million shares followed by Commercial Banks sector which recorded the volume of 56 million shares whereas Cement sparked at 3rd place by trading above 37 million shares.

Highest increase was recorded in the shares of Ghandhara Ind., which rose by PKR 38.14 to PKR 800.96 per share; followed by Atlas Battery, that improved by PKR 15.17 to PKR 835.33 per share. Major decline was witnessed in the shares of Rafhan Maize, which fell by PKR 340.00 to PKR 8250.00 per share; followed by Pak Tobacco, dropped by PKR 61.55 to PKR 1371.82 per share.

Factors for Today:

·        All eyes on SC as Panama case resumes today

·        Oil prices edge up on expectations of tightening supplies

·        K-Electric allowed 25-paisa per unit hike in terms of fuel adjustment

·        China to loan $1b for new road projects

·        Govt mulling to privatise five entities in 2017

Factors to watch:

·        International Oil prices.

·        PKR vs. US$ movement.

·        Result Season.