Zubair Yaqoob
Karachi
Start of the rollover week marked the return of pain for investors. Market ended the session at a bearish note with an intraday slide of 939pts. Selling pressure was observed across the board, with major pressure in E&P, Cement, Power and Steel sectors. Crude oil prices hinted a decline, which triggered the selling in E&P Stocks. LOTCHEM announced financial results on Monday, and posted a hefty bottom line, resulting in largest volumes on the bourse with price gains, which were kept in check by overall slide in market. Prime Minister is also scheduled to address the nation in the evening, which also hinted a tough tone on Pakistan-India confrontation, although the major drive behind today’s sell-off appears more of a short-covering strategy by short sellers and should subside in the coming sessions. The Index closed at 30,521pts as against 31,350pts showing a decline of 829pts (-2.6% DoD). Sectors contributing to the performance include E&P (-208pts), Banks (-142pts), Fertilizer (-118pts), Cement (-89pts) and O&GMCs (-64pts). Volumes declined significantly from 230.7mn shares to 122.1mn shares (-47% DoD). Average traded value also declined by 47% to reach US$ 24.1mn as against US$ 45.8mn. Stocks that contributed significantly to the volumes include LOTCHEM, BOP, MLCF, KEL and PAEL, which formed 36% of total volumes. Stocks that contributed positively include PAKT (+29pts), BAFL (+3pts), FATIMA (+2pts), GSKCH (+2pts) and LOTCHEM (+2pts). Stocks that contributed negatively include OGDC (-84pts), PPL (-70pts), ENGRO (-68pts), LUCK (-48pts) and HUBC (-46pts).