PANAMA CASE VERDICT TRIGGERS A STUNNING MARKET GROWTH
The bullish outburst in the wake of Supreme Court’s verdict on Panama case announced last week triggered an overwhelming trading activity leading the KSE-100 Index to a historic session with a quantum jump of around 1,200 points within a short span of time soon after announcement of the verdict by the apex court last week.
Overall the Index was improved by around 1300 points as the bulls continued to dominate during the last trading session with a gain of 965 points to close in green at 49,708 at the close of the last trading session of the week on Friday.
In fact the Panama case decision dictated the market sentiment during the week. Although the Index started off on a weaker note but gained momentum during the latter half of the week, posting the highest ever intra-day level of 49,505pts following the Panama verdict, which was taken positively by the investors.
The index closed the week at 49,709 points, up 4.5%WoW. However, the foreign institutional portfolio investors (FIPI) registered a net outflow of US$32 million during the week. Average volume traded increased by 62.5%WoW while average value traded increased by 81.3%WoW.
Meanwhile the international oil prices continue to fall for the fifth straight session on Friday after US crude oil production hit 20-month high, reported by Energy Information Administration (EIA). The prices have fallen about 4% this week as doubts emerged over OPEC-led production cut. However, analysts suggest prices to find important support at around US$50.00/bbl – US$50.50/bbl.
Prominent stocks among others were including Sui Northern Gas Ltd, Cherat Cement, TRG Pakistan, Hascol Petroleum Limited and Honda Atlas Car were the major gainers while Feroze1888, Attock Refinery, International Steel Limited, Fatima Fertilizer Company Ltd, and Pak. Int. Cont. Ter. Ltd. were the major losers in the benchmark KSE-100 this week.