Market Rebounds After Initial Dip

Staff Report :

Continuing it momentum market opened on negative and traded in negative zone during the first trading session where index declined to make an intraday low of -625 points (-0.55%).

However, in second half of trading session buying by institutions was observed as they came in to buy the dip, as index recovered to close at 113,247 level (up by 0.54%). Traded value wise AIRLINK ($10.54mn), OGDC ($7.63mn), PPL ($5.86mn), PSO ($4.64mn) and FFC  ($3.2mn) dominated the trading activity.Standard Chartered’s Market Outlook event offers

Top positive contribution to the index came from OGDC, PPL, BAHL, HMB, DGKC and FCCL, as they cumulatively contributed 773 points to the index. Traded volume and value for the day stood at 498mn shares and PKR.27.8bn ($89mn)

KSE 100 Index declined by 3.69% on WoW basis, this decline in market can be attributed to profit taking during the outgoing week. Major development during the outgoing week were: 1) prime Minister statement that United Arab Emirates (UAE) has decided to roll over a $2 billion debt due this month, providing critical financial relief to Pakistan, 2) T-Bill auction held during the week, participation of Rs1,701bn was seen with government raising Rs434bn, where yields have declined in the range of 21-50bps and 3) remittances for the month of Dec-2024 clocking in at US$3.079bn (up 29% YoY and 6% MoM). Average daily traded volume and value for the week stood at 782mn shares. and PKR.31.9bn ($115mn)