August 11, 2020 (MLN): After two consecutive bear sessions, the benchmark KSE-100 index concluded the session today on a grander note as it gained 644 points or up by 1.61% compared to yesterday and closed at 40,559 points. This was the highest index close since February 19, 2020.

The trading floors turned into a darker shade of green on the back of news regarding potential resolution of circular debt by Government which kept energy chain stocks (E&Ps, IPPs and OMCs) in limelight throughout the session. Moreover, IPPs drove index performance on rumors of settlement agreement with Government on sector issues, as per market closing note by Ismail Iqbal Securities.

Another report by Aba Ali Habib Securities highlights that the benchmark KSE-100 index tested six months high of approx. 40,650 level intraday. The index climbed sharply on the back of global cues as the international oil prices are in rising trend due to growing Asian demand amid resumption of economic activities. Another reason which supported the index to remain largely in green zone is that Pakistan has requested Saudi Arabia and the IDB’s Islamic Trade Finance Corporation (ITFC) to extend oil facilities on deferred payment for another year which boosted investors’ confidence.

Besides, several announcements made by the companies throughout the day also forced the index to stay in green, some of which include, TPL Trakker Limited partnered with Bykea Technologies for Location Based Services, Hyundai Nishat Motor (Private) Limited announced the launch of Hyundai Tucson in Pakistan, Sazgar Engineering disclosed its production and sales data for the month of July and Hum Network stated the reasonable grounds behind undue movement in its share price.

Furthermore, amid ongoing earnings season, K-Electric announced its financial results for the half year ended December 31, 2019, as per which, it earned profits of Rs. 2.79 billion.

The Index remained positive throughout the session touching an intraday high of 40,707.10

Of the 96 traded companies in the KSE100 Index 64 closed up 30 closed down, while 2 remained unchanged. Total volume traded for the index was 401.60 million shares.

Sectors propping up the index were Power Generation & Distribution with 168 points, Oil & Gas Exploration Companies with 142 points, Commercial Banks with 106 points, Cement with 84 points and Oil & Gas Marketing Companies with 63 points.

The most points added to the index was by HUBC which contributed 133 points followed by PPL with 74 points, LUCK with 44 points, UBL with 41 points and OGDC with 40 points.

Sector wise, the index was let down by Automobile Assembler with 30 points, Technology & Communication with 17 points, Leather & Tanneries with 3 points, Paper & Board with 3 points and Cable & Electrical Goods with 2 points.

The most points taken off the index was by TRG which stripped the index of 19 points followed by BAHL with 15 points, MTL with 10 points, INDU with 9 points and HCAR with 7 points.

All Share Volume increased by 23.49 Million to 600.04 Million Shares. Market Cap increased by Rs.93.06 Billion.

Total companies traded were 416 compared to 415 from the previous session. Of the scrips traded 254 closed up, 139 closed down while 23 remained unchanged.

Total trades increased by 22,659 to 187,476.

Value Traded increased by 7.34 Billion to Rs.24.87 Billion

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