950829

Advent of new

accounting triggers

large-scale buying

RECORDER REPORT

KARACHI: Bullish flames engulfed the share market on new accounting period on Tuesday, as besides foreign fund managers, local investors, ICP and NIT made fresh deals in the selective scrips.

The price-hike was widespread which indicated the strong presence of speculative support presumably with a view to making a quick buck. The market in just one-go recovered nearly 40 percent which was lost during the last four sessions. The KSE index on Tuesday shot up to 1786.28 from 1744.32 of Monday, indicating a sharp increase of 41.96 points.

The notable feature of the day was that buying interest spilled over to many neglected sectors, especially the textile group. The major gainers were Brooke Bond and Engro Chemical (Rs 7 each), Orix Leasing (Rs 5), Nishat Mills (Rs 3), MCB and Al-Faysal Bank (Rs 2.75 each), Gadoon Textile, Cherat Cement, Dadabhoy Insurance and Tri-Star Power (Rs 2.25 each), Dewan Salman, Genertech, Nishat Tek, Fauji Fertilizer, Bankers Equity and Trust Brokerage (Rs 2 each), while gains in the textile sector ranged between 25 paisa to Rs 2.25.

Zubair Illahi, Manager Capital Market Operations, of Kausar Abbas Bhayani, said that extended settlement for the current clearing and over 25 percent increase in the price of Tri-Pack contributed towards the bull run. The market seems firm and may remain so in the near future.

Business totalled at 15.016 million shares as against 11.018 million shares of Monday. Financial institutions dealt in PTC, Hub Power, Indus Motor, Lucky Cement, Faysal Bank, Askari Bank, Tri-Pack Film, Adamjee Insurance, NDLC and Dewan Salman.

The market again showed that it is totally driven by the developments in the political arena. The government has reportedly worked out a power sharing formula which was to be offered at the sixth round of talks schedule held in Karachi on Tuesday evening. Severl foreign institutions on the cue from the local brokerage houses made som edeals in select scrips like KASB, premier Fund, Bankers Equity, Faysal Bank, Platinum Bank, Sapphire Fibre, Dhan Fibre, Dewan Salman, Lucky Cement, Hub Power, ICI, Adamjee Paper and Sunflo Cit-Russ.

Analysts said that if nothing untoward happened on the law and order front and the Government-MQM talks yielded any fruits, the market would soon witness an unprecedented boom.

Plus signs had a clear edge over the minus ones as many investors, speculators and bargain hunters were quite active in taking mid and short-term positions. At the end, out of 335 active issues 207 landed in the plus territory as against 82 losers while 46 remained pegged at their last levels.

PTC on a business of 2.362 million shares registered a healthy rise of 85 paisa and ended at Rs 35.35. Tri-Star shipping gained 95 paisa and closed at Rs 10.85 and PNSC went up from Rs 6.50 to Rs 6.75 while on a volume of 99,400 shares PIAC remained unchanged at Rs 13.

Hub Power on a volume of 3.576 million shares depicted a significant rise of Rs 1.20 and finished at Rs 22.60. Only PSO recorded a fall of Re 1 while Tri-Star posted a fresh rise of Rs 2.25, Sui Northern Gas, Sui Southern gas, Genertek and Nishat Tek went up by Rs 2 each.

Faysal Bank on third position improved by Rs 1.40 and reached Rs 30.15 while the business to its account amounted to 1.765 million shares. Gains on this counter were widespread and the minimum rise was recorded in Islamic Bank by 35 paisa while the lead gainers were Al-Faysal and MCB with a rise of Rs 2.75 each.

Tri-Pack Films in just two days of listing was among the top five volume leaders and on a turnover of 1.444 million shares showed a quantum jump to Rs 24.75 from Rs 18.90.

Lucky Cement on transactions of 502,000 shares registered a sharp rise of 75 paisa to close at Rs 21.75. Remaining issues also moved with the general trend of the market except D.G. Khan, Essa, Mustehkam and Zeal Pak which were the main losers.

Philips Electrical Company declared an interim dividend of 25 percent for the year to be ended December 31, 1995, after earning Rs 52.809 million and Al-Zamin Leasing declared a 12.5 percent dividend for the year ended June 30, 1995.

BOND SECTION: FEBC remained unchanged at Rs 104.10.

Orient Insurance 30-8-95

EFU General Insurance 30-8-95

Pak Synthetics 30-8-95

Adamjee Insurance 31-8-95

Regal Ceramics 31-8-95