DAILY MARKET WRAP

The Pakistan Stock Exchange (PSX) broke its streak of steady trading sessions on Friday ending the week in green. Indices maintained a similar trajectory to prior sessions, with gains dominating most of the day's trading. Market volumes exhibited an increase from previous close. As per analysts, investors took a sigh of relief as the monetary policy committee announced no change in interest rates on Thursday.

On the economic front, as per data released by the State Bank of Pakistan (SBP), Foreign Direct Investment (FDI) appreciated by 15.44% on YoY basis to US$146.12mn in the month of August 2022. On MoM basis, FDI was up by 66.58%. Highest amount came in from China. Sector-wise, the Power sector attracted the highest investment.

Moreover, as per State Bank’s data, Pakistan reported a current account deficit of US$160 mn in Aug‘23 as compared to a deficit of US$774 mn in SPLY & of US$809 mn in Jul’23. On cumulative basis, the country reported a deficit of US$935 mn during Jul-Aug FY24 as compared to US$2,035 mn in SPLY.

The benchmark KSE 100 index lost 0.56% on WoW. During the day, it climbed to day’s high of 46,093.01 (up by 442.95 pts). The index settled higher by 103.46 pts at 45,753.52. The KMI 30 index gained 575.96 pts ending at 77,481.46. While the KSE All share index was up by 66.62 pts closing at 30,472.90.

Market volumes swelled from 135.11 mn shares in the previous session to 222.42 mn shares. MCB Bank Limited (MCB -0.12%), Maple Leaf Cement Factory Limited (MLCF +3.05%) and Nishat Chunain Power Limited (NCPL -3.31%) topped the volume chart. The scrips had 27.21 mn shares, 24.65 mn shares and 13.96 mn shares exchanged, respectively.

Sectors contributing positively to the benchmark KSE 100 index included, Cement sector (+95.81 pts), Power Generation and Distribution sector (+29.70 pts) and Miscellaneous sector (+14.05 pts). Company-wise, Lucky Cement Limited (LUCK +42.60 pts), The Hub Power Company Limited (HUBC +24.20 pts) and Pakistan Services Limited (PSEL +20.22 pts), drove the index forward.

The Cement sector gathered 3.76% in its cumulative market capitalization. Lucky Cement Limited (LUCK +3.57%), Bestway Cement Limited (BWCL +1.98%), Kohat Cement Company Limited (KOHC +1.12%) and Fauji Cement Company Limited (FCCL +3.30%), all closed in green.

Values as at 05:12 PM PST