Karachi stock market saw another dull week as the Karachi stock exchange-100 index fell by 218 points during the week.Slowdown in the Chinese economy and the expected crackdown by the SECP on local brokers were the two main reasons for this fall.The market started the week with the news that SECP may take action against the brokers.The investors reacted very negatively to this news and the stock index fell by 946 points.The stock market showed some recovery in next four days as index rose by 729 points. The main reason of this recovery was increase in the international oil prices .
Karachi stock exchange 100-index started the week at 33891 points and ended the week at 33672 points.The weekly share trading volume showed a 29% decrease during the week.The weekly share trading volume was 1025 million shares as compared to 1445 million shares in the last week.The major gainer and loser companies of the week were as follows.
|Rafhan Maize Products Ltd [92,364,000]||9,300.00||9,400.00||100.00||9,500.00||9,200.00||9,442.50||220|
|Atlas Battery Ltd [173,996,000]||730.00||770.00||40.00||777.00||693.50||734.86||29,450|
|Island Textile Mills Ltd [5,000,000]||770.00||798.00||28.00||840.00||760.00||795.92||400|
|Biafo Industries Ltd [200,000,000]||234.30||259.25||24.95||264.22||226.70||247.89||173,500|
|Hino Pak Motors Ltd [124,006,000]||1,060.00||1,080.48||20.48||1,089.06||1,001.01||1,052.41||8,900|
|Unilever Pakistan Food Limited [61,576,000]||7,499.00||7,130.00||-369.00||7,500.00||7,130.00||7,170.50||100|
|Bata Pakistan Ltd [75,600,000]||3,000.00||2,900.00||-100.00||2,900.00||2,900.00||2,900.00||60|
|Indus Motor Co Ltd [786,000,000]||1,169.44||1,078.66||-90.78||1,180.00||1,073.00||1,097.29||103,520|
|Sapphire Textile Mills Ltd [200,831,000]||888.88||846.01||-42.87||920.00||846.01||883.01||100|
|Pakistan Tobacco Co Ltd [2,554,938,000]||950.00||911.00||-39.00||951.00||902.50||916.91||1,300|
The auto sector was the top performing sector of the week.The main reason for its good performance was 29 % rise in its monthly sales.The Atlas battery and Hino Pak motors were the top performing stocks of this sector at the stock market , as their share prices increased by 5.47 % and 1.89 % respectively.
Top market analysts such as KASB securities are really upbeat about the future of the stock market.They believe that market will react positively to the 50 BPS rate cut by the SBP and also due to overall positive outlook of the economy.The State bank of Pakistan has reduced the discount rate from 6.5 % to 6% and this move has sent positive signals to local investors.The local political situation and fluctuations in the international oil prices can also affect the Karachi stock market in forthcoming days.