Karachi stock market saw another torrid week as Karachi stock exchange-100 index plummet 641 points during the week.The volatility and instability on the political scene badly affected the market.The allegations on the MQM by the BBC created confusion and uncertainty in the market.The profit taking by the large investors was also a reason for the steep fall in the stock market index.The foreign investors were also net sellers during the week as they offloaded net equity of $ 16 million during the week.
Karachi stock exchange-100 index started the week at 34527 points and ended the week at 33885 points.The weekly share trading volume showed a 22% decline during the week.The weekly share volume was 1790 million shares this week as compared to the 2290 million shares last week.Following are the top gainers and losers companies of the week.
|Bata Pakistan Ltd [75,600,000]||3,291.75||3,549.63||257.88||3,550.00||3,292.00||3,376.88||420|
|Service Industries Ltd [120,288,000]||740.87||793.56||52.69||801.99||705.01||753.91||5,550|
|Bhanero Textile Mills Ltd [30,000,000]||430.00||474.00||44.00||474.00||451.50||474.07||250|
|Ismail Industries Ltd [505,208,000]||222.41||260.00||37.59||266.02||233.53||248.19||3,800|
|Indus Dyeing & Manufacturing Co [180,737,000]||1,023.30||1,059.33||36.03||1,080.00||1,030.00||1,033.50||600|
|Rafhan Maize Products Ltd [92,364,000]||10,900.00||10,200.00||-700.00||10,355.00||10,200.00||10,351.67||40|
|Unilever Pakistan Food Limited [61,576,000]||7,695.00||7,373.73||-321.27||7,373.73||7,310.25||7,464.73||80|
|Hino Pak Motors Ltd [124,006,000]||972.36||878.28||-94.08||975.00||870.00||905.65||71,650|
|Pakistan Tobacco Co Ltd [2,554,938,000]||893.14||820.00||-73.14||897.90||820.00||850.91||22,500|
|Colgate Palmolive (Pakistan) Ltd [479,549,000]||1,630.00||1,584.00||-46.00||1,630.00||1,549.00||1,584.02||3,300|
Courtesy : Business Recorder
The cement sector was top performer of the week.The main reason for the good performance was expected increase in the public sector development budget.
Courtesy : Express tribune
Market analysts are expecting a mix trend next week as political situation is very volatile in the country. Judicial commission proceedings,investigations of Imran farooq murder case and corruption scandals are creating instability in the country.Other than that the short trading hours in Ramadan are also affecting the share trading volumes in the Karachi stock market.The economic fundamentals are very positive in the country but political instability is badly affecting the stock market.
We can say that long term prospects of the market are very bright due to strong Economic fundamentals.World bank has approved the $500 million loan for the country and Forex reserves have recently crossed $ 18 billion. Investors should adopt the policy of wait and see and look for long term gains from their investments.