It was a fantastic week for the investors as the Pakistan Stock Exchange Index gained back healthy 2,585.39 points after seven weeks of depressing trend of decline. It was a gain of almost 9% in single week. The market crossed levels of 28:29:30 and 31 thousands to close at 31,350.02. Heavily oversold stocks were trading at 11-year low price-to-earnings ratio of just five time inviting value customers.
The reason could be the change of SECP team who immediately paid visit to Stock Exchange, approval of "Murahaba Share Financing", calmness at Kashmir situation by President's Trump intervention, news of current account deficit narrowed by 73% in July, extension of Army Chief's service for another three years and the average volume increasing to 175m from 69m week before Eidul Azha holidays.
During the week the market closed on Friday at 31,350.02. The average volume increased to 175m and market capitalization increased by Rs424 billion to Rs6.340 trillion.
On Monday there was a rally of 798 points and stock past 28,000 level to close at 29,562.42. This was a surprise break for investors who were witnessing a 7-week of depressing market. Banking, oil and gas exploration and production and fertilizers were the gainers. In the banking sector Habib Bank and MCB hit their upper locks. The volume increased to 102 million.
The remarkable comeback on Monday continued on Tuesday as the market further gained 856.80 points to close at 30,419.22. The volume increased to 143m. The SECP team's visit boosted the market. Among contributor to the index were HBL, MCB, UBL and Bank Alfalah all of which closed at their upper circuit.
Bull run continued on Wednesday with stock gaining 553.53 points to close at 30,972.75. OGDC, HBL UBL, Engro, Lucky Cement played a major role in pulling up the Index.
On Thursday there was great increase in volume from 135 million to 262 million shares. Also it was the highest...