Weekly Market Roundup

January 19, 2025 (MLN): Driven by the ongoing political drama, the local bourse experienced a rollercoaster ride this week as investors oscillated between buying and selling.

However, positive vibes returned to the market on Friday following the announcement of a significant political verdict involving a senior opposition leader, signalling a potential easing of political uncertainty.

The benchmark KSE-100 index gained 2,024.79 points (1.79%) to close at 115,272.08.

Intraday swings were significant, with the index reaching a high of 115,773.39 (+501.31 points) and a low of 113,083.86 (-2,188.22 points).

This week, the index return in USD terms turned positive at +1.73%, compared to last week’s negative return of -3.69%.

The current account posted a surplus of $582 million in December 2024, elevating the 1HFY25 total to $1.2 billion.
Moreover, cut-off yields in the PIB auction fell by up to 61 basis points.

The UAE further bolstered external stability by rolling over $2bn in SBP deposits for another year.

SBP reserves also edged up by $11 million, reaching $11.73bn.

However, the industrial sector faced headwinds, with LSMI output contracting by 3.8% YoY in November 2024.

The positive economic cues helped stabilize investor sentiment, pushing the KSE-100 index’s fiscal year-to-date returns stood around 47%.

Top Index Movers

During the week, the major contributors to the index were Commercial Banks, Power Generation & Distribution, Pharmaceuticals, and Cement, adding 622.23, 357.17, 319.91, and 198.80 points, respectively.

On the flip side, Investment Banks and Sugar & Allied Industries dragged the index down, erasing 472.49 and 22.79 points, respectively.

Among individual stocks, UBL emerged as the best-performing scrip, contributing 426.99 points to the index. Additionally, HUBC, MARI, and SEARL added 360.06, 120.48, and 100.20 points, respectively.

Conversely, ENGROH was the biggest drag on the index, erasing 488.81 points. OGDC and PPL also contributed negatively, reducing the index by 63.78 points each.

FIPI/LIPI

This week, foreign investors were net sellers, offloading equities worth $9.72m.

Among them, foreign corporates led the selling spree with $12.83m, while foreign individuals sold securities worth $ 323.3 thousand.

On the other hand, overseas Pakistanis purchased securities amounting to $3.43m.

Meanwhile, this week, local investors emerged as net buyers, recording an investment of $9.72m.

Among them, individuals led the buying activity with a net purchase of $15.68m while mutual funds sold securities worth $9.91m.

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