KSE-100 index settles above record 27,000-level
Karachi: Stocks, which have gained for all but one session this month, kept their winning streak going on Monday with gain of 87.10 points to cross over the barrier of 27,000 and settle at 27,000.95, a new all-time high.
Encouraged by the SBP announcement, which left discount rate unchanged in the MPS announced on Friday, some sectors thought to be highly leveraged, such as textiles and cement saw sharp rise in stock prices.
Led by PSO and PPL, the oil and gas sector also displayed strength on foreign buying, which was noted to be in the sum of $3.87 million in Pakistan stocks on Monday. Local institutional and individual participation generally remained flat. Investors shrugged off the political and security risks.
Zubair Ghulam Hussain, head of equity sales at Foundation Securities, pointed out that the recent rally was led by the textile, cement and banking sectors and all had reasons to rejoice.
Besides the expected growth in cement dispatches in the spring season and the enthusiasm witnessed in the textile sector following the GSP Plus status, both sectors were believed to be in the throes of large scale Mergers and Acquisition (M&A) activity.
The banking sector reacted to the status quo on rates as UBL and NBP ended in the red.