KSE index gains 151.14 points
Tuesday, 29 June 2010
KARACHI, June 28 (Business Recorder): The KSE-100 index gained 151.14 points to close at the level of 9,796.85 points during the week ended on June 26, 2010. The market was driven by foreign investors, and participation of locals remained very low, resulting in decline in trading. The offshore investors remained net buyers of shares worth $21.6 million.
Due to lack of interest among local investors, the average daily trading volume at ready counter declined to 78.114 million shares, by 28.4 per cent, as compared to previous week's 109.111 million shares. Market capitalisation, however, increased by Rs 34 billion to Rs 2.748 trillion.
On Friday, the index gained 4.96 points to close the week at 9,796.85 points with 89.161 million shares.
Samra Ansari, analyst at Invest Capital and Securities, said that with closing in the green zone during the week, the KSE-100 Index movement appeared to be somewhat upbeat. With rumours regarding resolution of issues related to the capital gains tax and the prime minister's approval of Rs 42 billion to the PSO for relieving the circular debt issue, a precedent was set for a good week to follow.
However, market activity showed that lack of official clarification on CGT continued to create uncertainty in the minds of the investors. In addition, rumours regarding introduction of margin financing and trading products circulated in the market, but lack of any official introduction did not support market activity.
The meeting held between the SECP and stockbrokers resulted in formation of a committee, but modalities still needed to be finalised.
Due to lack of interest among local investors, the average daily trading volume at ready counter declined to 78.114 million shares, by 28.4 per cent, as compared to previous week's 109.111 million shares. Market capitalisation, however, increased by Rs 34 billion to Rs 2.748 trillion.
On Friday, the index gained 4.96 points to close the week at 9,796.85 points with 89.161 million shares.
Samra Ansari, analyst at Invest Capital and Securities, said that with closing in the green zone during the week, the KSE-100 Index movement appeared to be somewhat upbeat. With rumours regarding resolution of issues related to the capital gains tax and the prime minister's approval of Rs 42 billion to the PSO for relieving the circular debt issue, a precedent was set for a good week to follow.
However, market activity showed that lack of official clarification on CGT continued to create uncertainty in the minds of the investors. In addition, rumours regarding introduction of margin financing and trading products circulated in the market, but lack of any official introduction did not support market activity.
The meeting held between the SECP and stockbrokers resulted in formation of a committee, but modalities still needed to be finalised.