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Karachi stock exchange-100 index closed at 47,806.97 points before the New Year

Pakistan stock market saw records breaking figures as Karachi stock exchange-100 index rose by 1172 points during the week. The bulls easily knocked down the resistance level and market closed at 47,806.97 indexes. Pakistan stock market ended the year at its highest level. Last year it offered highest returns for investors. It offered 46 % returns for the local and international investors. The stock market started with a lazy Monday, where the market closed at 46,689.73.Most of the investors opted to take profit in the late session of first trading session. After lazy Monday, it was Wednesday when investors started the market with the bullish trend and cross the record- breaking level of 47,000 indexes.

The local investors showed a keen interest in the banks, textile, auto industry, and cement sector. The market ended the week at a strong note. The Karachi stock exchange-100 index closed the week at 47,806.97.

Karachi stock exchange-100 index started the week at 46633 points and ended the week at 47,806.97 points. The weekly share trading volume showed decreased by 15 % as compared to the last week. The weekly share trading volume was 1430.21 million shares as compared to the last week’s volume of 1682.6 million shares.

Best and Worst Performing Sectors

Tobacco, Food & Personal care and commercial banks were three top gaining sectors of the week. Tobacco, Food & Personal care and commercial banks grew by 17.6 %, 4.8 % and 2.5 % during the week.

Textile sector was the major losing sector of the week. It lost its value by 0.6 % during the week.

Future Outlook

Market analysts are quite upbeat about the future of the Pakistan stock market. The current political environment, rising oil prices and good investment climate are three most important market movers in the next week. The current government is facing political pressure from opposition parties as Panama case proceedings will start again in the Supreme Court from 4th January 2016.

Good News for the oil investors, crude oil prices began to hike in the international market and the impact began to show in Pakistan stock market as well. But, there are some issues hampering the growth of the oil market. U.S. shale producer companies are ready to speed their production from the next year. The growth of oil prices is encouraging them to get credit from banks and banks are also ready to give them credit. But, still investors can maximize their returns by adopting day trading strategies.

Banking sector is also offering good returns for investors. As per the market analyst’s prediction, the investors should hold their positions in the banking sector in the upcoming week as well.

On the other side, China will export 4,000 MW of electricity to Pakistan. Pakistani official delegation had gone to Beijing to discuss the contract details with the Chinese officials.  This step will increase the power generation capacity in Pakistan. This news is very good for the Power sector investors. They can maximize their returns by investing for the long run.

About Emaad Qureshi