March 21, 2021 (MLN): After a good start with an increase of 970 points on the first day of the week, the benchmark KSE-100 took a volatile turn, however, it settled with a gain of 1,113 pts or 2.54% during the departed week at 44,901-mark.
According to the report by Spectrum Securities, ‘The prime reasons why the benchmark index remained impulsive was in the anticipation of the interest rate increase in MPS and the negative impact of a government measure to abolish tax exemptions. Despite a majority consensus of unchanged monetary policy, the benchmark index wobbled over slight expectation of upward revision.’
The benchmark index was lifted by the performance of Technology & Communication, which contributed around 296 points to it. The sector remained in focus as it was the most battered down sector over the last week amidst the FBR proposed to change in the tax treatment of the IT sector. This was followed by Commercial Banks, which contributed 214 points owing to the increase in the yield of government bonds, the report added.
Company-wise, the scrips of TRG, HBL, SYS, UBL and PSO closed the week in the green zone, as they gained 227, 140, 66, 64 and 60 points, respectively.
Meanwhile, the KSE All Share Market Cap increased by $1.36 billion or 2.75% over the week, being recorded at $50.95 billion as compared to a Market Cap of $49.59 billion recorded last week.
Figures released by NCCPL showed that foreign investors remained net buyers during the week amounting to $3.04 million, primarily contributed by corporates amounting to $4.34 million. On the local front, Banks/DFIs and corporates sold $11.21 million and $8.18 million worth of stocks, respectively while mutual funds remained a net buyer with the amount of $10.19 million.
