Investors play safe ahead of verdict on NRO

KARACHI: The share market on Wednesday passed through another consolidating session as leading investors and institutional traders remained busy in portfolio adjustments before resuming fresh buying operations.

The market also witnessed a technical pause ahead of the possible apex court ruling on the NRO late in the evening and mostly played safe even on some risk-free shares on the oil counter, analyst Ahsan Mehanti said.

He was, however, a bit skeptical about the post-verdict trend of the market and hoped that all is well that ends well quoting in general market parlance.

‘Investors should have celebrated the election of the new comers in the KSE board of directors for the new year, signaling a major change in the age-old traditions and that could well prove the beginning of an overdue changes in the entire share business and launching of investor-friendly new leverage products,’ some analysts said.

The early buying euphoria, however, could not be sustained as the KSE 100-share index fell from the session’s peak level of 9,341.97 to finish reacted modestly by 12.38 points at 9,253.66. The KSE 30-share index posted a decline of 26.10 points at 9,761.85.

Price changes were mostly fractional on the blue chip counters although bulk of the business was judiciously shared by both the leading investors and their weaker links.

But a leading analyst Hasnain Asghar Ali said the weakness of the rupee continue to have its toll as some of the leading investors did not make fresh buying in an apparent effort to have an overview of the weakening rupee against the dollar on future share trading.

Prominent gainers were led by Pakistan Services and Atlas Honda, up by Rs6.55 and 5.80 followed by Indus Dyeing, Lakson Tobacco, Siemens Pakistan, Ferozsons Lab, ICI Pakistan, and Sanofi-Aventis, which posted gains ranging from Rs2.34 to 5.60.

Leading losers included Unilever Foods and Bata Pakistan, off by Rs58.16 and 45. Other prominent losers were led by Fateh Textiles, Wyeth Pakistan and Rafhan Maize, which fell by Rs24.23 to 40, while Millat Tractors, Abbott Lab, Service Industries and Javedan Cement were marked down by Rs2.51 to 4.46.

Trading volume fell to 146.774m shares from the previous 190m as losers maintained a fair lead over the gainers at 201 to 163, with 27 shares holding on to the last levels.

Japan Power led the list of actives, up one rupee at Rs2.83 on 14m shares, followed by Nishat Chunian, firm by 14 paisa at 17.36 on 10m shares, Bank AlFalah, steady by seven paisa at Rs14.13 on 9m shares, Bank Of Punjab, up one rupee at 21.02 also on 9m shares, Nishat Mills, up 56 paisa at 70.99 on 8m shares, J.S. & Co, lower 59 paisa at 30.74 on 8m shares and Pace Pakistan, firm by 25 paisa at 5.92 on 7m shares.

National Bank followed them, up Rs1.26 at 74.60 on 6m shares, OGDC, easy by 26 paisa at 107.99 on 5m shares and PTCL, lower eight paisa at 17.24 on 4m shares.

FUTURE COUNTER: Nishat Mills remained in active demand and was quoted further higher firm by 65 paisa at Rs71.02 on 0.721m shares, National Bank, up Rs1.39 at 74.80 on 0.356m shares and OGDC, lower by 45 paisa at 107.93 on 0.216m shares.

Azgard Nine followed them, unchanged at Rs20.70 on 0.142m shares and MCB, easy by Rs1.49 at 215.87 on 0.141m shares.

DEFAULTER COs: Genertech Power came in for strong support and was quoted higher by 21 paisa at Rs0.89 on 0.336m shares, followed by Mukhtar Textiles, up 45 paisa at 0.68 on 0.182m shares and Jubilee Spinning, easy five paisa at 5.62 on 68,360 shares.

Haydery Construction fell by four paisa at 0.46 on 27,505 shares, while Crescent Standard Modaraba, fell by eight paisa at 0.40 on 5,300 shares. Others were fractionally traded on light volumes.