Karachi—Although it was a slight gain of 27.77 points yet it helped KSE-100 Index to close in green at 32,904,32 levels here on the opening trading session of the week on Monday. However the market volume of 86.37 million shares presented a lackluster view of the trading activity besides the on going withdrawal of foreign institutional portfolio investors.
Amid a dull trading session Dewan Cement was the volume leader of the day with a trading volume of 4.99 million shares while Pak Bulk Terminal and Dewan Motor were second and third volume leaders with respective trade of 4.51 million and 4.32 million shares accordingly. It will be interesting to note that the approval of loan by IMF is largely a non-event from the market perspective, The IMF endorsed the current stance on monetary policy adopted by the newly constituted monetary policy committee.
Secondly, the focus on containing fiscal deficit and slippages in target on privatization may prompt the fiscal authorities to bring forward the withdrawal of tax exemption or concession by removal of last batch of remaining Statutory Regulatory Order (SRO) in May-16 instead of Jul-2016. The withdrawal of SRO may have implications for the corporate earnings though the exact detail on magnitude or targeted industries are yet to emerge. Thirdly, unlike past comments contrary to general expectation.