Karachi Stock Exchange Weekly Analysis 2 January, 2011

In Karachi Stock Exchange (KSE), index performance was bullish for the consecutive seventh week. The Karachi Stock Market has crossed the psychological level of 12,000, as was expected and reached a position which is highest since July, 2008. And according to experts bullish spell continues in next week also. The Karachi Stock Exchange (KSE) 100-share index closed at 12,022.46 points by gaining 144.26 points or 1.38 per cent. And KSE – 100 index gained 28 per cent in the year 2010.

Following news have played vital role in Karachi Stock Market index movement:
  • IMF (International Monetary Fund) has approved 9 months extension in the SBA (Stand-by Arrangement) programme to allow more time to government of Pakistan to meet its conditionalities
  • Much awaited CSF (Coalition Support Fund) being reimbursed has restored confidence of investors
  • Bestway Holding has signed a share purchase agreement with ADG (Abu Dhabi Group) to purchase its 20 percent stake in UBL (United Bank Limited) at Rs. 80 per share
  • SECP (Securities and Exchange Commission of Pakistan) has reiterated that the chairman of KSE (Karachi Stock Exchange) will continue to be nominated by the apex regulator and will not be selected from among members of the exchange
  • ENGRO has announced trial productions of new Urea plant
  • Because of Urea price hike, and also speculations of earnings, FFC was major gainer
  • Bank and Oil & Gas sector has outperformed market during the week
POL, PSO, NBP, NML, MCB were on top last week. PNSC, Allied Bank Limited, Ibrahim Fibers, Faysal Bank and GlaxoSmithkline were major gainers while Royal Bank, Lakson Tobacco, Dreamworld, Lafarge Pak Cement Ltd and Security Paper Ltd were major losers last week.

NOTE: The information posted in this blog (forum) is based on current afairs & invstors point of view. There may be discrepancy in the ground realities.

Written by: Rana Khurram

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