RECORDER REPORT

KARACHI: The Pakistan Stock Exchange began the new month with a powerful rally, driven by strong investor sentiment, robust buying interest in key sectors and an inflation reading that came in well below expectations. The benchmark KSE-100 Index surged by 1,353 points, or 0.91 percent, to close at 149,971.12 points compared with the previous close of 148,617.78. During intraday trade, the index touched a high of 150,066.00 points and a low of 148,500.21 points.

BRIndex100 closed at 15,235.00, up 154.57 points or 1.02 percent, with a traded volume of 958.3 million shares. BRIndex30 settled at 44,824.33, gaining 897.27 points or 2.04 percent, on a turnover of 576.5 million shares.

According to Topline Securities, the bulls returned with full force in Monday’s session, with particularly strong appetite in the cement sector where heavyweights including Fauji Cement, Lucky Cement, Cherat Cement, Maple Leaf, and DG Khan Cement closed higher on expectations of improved sales. The index received its biggest boost from Lucky Cement, Oil and Gas Development Company, Fauji Cement, Bank AL Habib, and National Bank of Pakistan, which together contributed 691 points. In contrast, selling pressure in Fauji Fertilizer, Systems Limited, Pakgen Power, Bank Alfalah, and Highnoon Laboratories trimmed 242 points.

Trading activity mirrored the upbeat sentiment, with volumes on the ready counter rising to 1.183 billion shares, while traded value stood at Rs 48.8 billion. Market capitalization swelled by Rs 145 billion to reach Rs 17.8 trillion compared with Rs 17.655 trillion previously, reflecting the depth of the rally.

Market breadth was also positive, with 272 companies advancing, 175 declining, and 33 unchanged out of 480 traded scrips.

Among the most actively traded stocks, Bank of Punjab led the charts with nearly 98 million shares at Rs 16.58, followed by K-Electric with 86 million shares at Rs 5.43, and Pervez Ahmed Company with 54.5 million shares at Rs 3.04.

On the gainers’ side, PIA Holding Company LimitedB soared Rs 301 to close at Rs 27,300, while Hoechst Pakistan Limited jumped Rs 216.81 to Rs 4,026.63. Among major laggards, Unilever Pakistan Foods dropped Rs 920.32 to Rs 32,701 and Nestlé Pakistan fell Rs 77.20 to Rs 8,439.18.

Sectoral performance showed mixed trends. The BR Automobile Assembler Index closed at 24,494.58, down 96.51 points or 0.39 percent, with a turnover of 4.8 million shares. The BR Cement Index outshone the market, climbing 391.92 points or 3.18 percent to 12,707.18 on a hefty volume of 102.1 million shares.

The BR Commercial Banks Index gained 441.3 points, or 1 percent, to finish at 44,580.23 with 138.8 million shares traded. The BR Power Generation and Distribution Index eased 121.17 points or 0.53 percent to 22,700.64 on 106.1 million shares.

The BR Oil and Gas Index advanced 125.02 points, or 0.97 percent, closing at 12,951.43 with 39.8 million shares. Meanwhile, the BR Technology and Communication Index slipped 22.46 points, or 0.68 percent, to end at 3,300.41, though turnover remained strong at 130.4 million shares.

Commenting on the day’s performance, Ahsan Mehanti of Arif Habib Corporation said stocks closed bullish across the board as investors responded positively to data showing CPI inflation easing to 3 percent year-on-year in August.

He noted that reports of the government repaying Rs 2.6 trillion in external debt ahead of schedule, including Rs 1.1 trillion held by the State Bank, along with expectations of higher spending on reconstruction after the devastating floods, played a catalytic role in sustaining the bullish momentum.