Intraday Report: Oil & gas sector lifts KSE-100 index

February 06, 2024 (MLN): The benchmark KSE-100 index soared to 63,653.38, gaining 650.46 points or 1.03% [01:33pm] driven by a strong demand for oil and gas exploration companies.

The index-heavy companies, OGDC and PPL, with a combined weightage of around 8.6% of the total KSE-100, surged around 5% each and added 144 and 118 points, respectively.

This follows media reports indicating that the long-awaited negotiations between the government and the International Monetary Fund (IMF) regarding the settlement of the energy sector's circular debt have started.

Meanwhile, strong corporate results from the banking sector also boosted investors' confidence.

Sectors supporting the index were Oil & Gas Exploration Companies with 272.15, Commercial Banks with 193.79, Cement with 52.01, Oil & Gas Marketing Companies with 42.85, and Refinery with 22.31 points.

Companies adding points to the index were OGDC with 144.11, PPL with 117.9, MCB with 42.96, BAHL with 42.72, and UBL with 39.76 points.

MCB recorded its highest-ever profit of Rs65.27 billion [EPS: Rs54.94] in 2023, as compared to the Rs34.45bn [EPS: Rs34.45] profit recorded last year.

Meanwhile, companies that dragged the index lower were MTL with 23.38, ENGRO with 19.9, SYS with 18.74, PSEL with 17.94 and POL with 15.32 points.

In the broader market, the All-Share index is at 43,043.09 with a net gain of 465.80 points.

PIAA remains in the limelight trading the highest trading volume, as it gets closer to its debt segregation plan.

To note, the KSE-100 has gained 22,201 points or 53.56% during the fiscal year, whereas the ongoing calendar year has witnessed a cumulative increase of 1,202 points, equivalent to 1.93%.

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