Stock Watch - Stocks witnessed positive momentum, up over 250 points.

Summary

Stock market started on a very positive momentum earlier in the week after Asad Umar Minister of Finance talked to business community at Karachi on Saturday. He unfolded numerous measures in relation to ease of doing business and reduce taxes on investment in the Finance Supplementary (Amendment) Bill on 23rd January with good news for stock market.

The market remained in bullish trend for first two days of the week and Index gained 565 points. The market sentiments were boosted by the discovery of hydrocarbon in the Indus offshore operated by a joint venture between ENI, Exxon Mobil oil and OGDC and PPL.

During the week, the market gained 257.42 points to close on Friday at 39,306.50. The average volume was low to 118 million share compared to 139 million last week. Average market capitalization increased by Rs.48 billion to Rs.7,926 trillion.

On Monday, the investors' sentiment was buoyant on news on minibudget being focused on ease of doing business as well as government intention to abolish advance tax of 0.2 percent on brokers. News of resolution of Gas Infrastructure Development Cess boosted fertilizer sector. Drug Regulatory Authority of Pakistan continue to benefit pharmaceutical stocks. The KSE-100 Index gained 363.47 points to close on Monday at 39,412.55. The volume declined by 7 percent to 115m.

On Tuesday, the market added another 202 points on the news given by Minister of Petroleum about a big discovery of hydrocarbon with the collaboration of international partner Exxon Mobil, ENI with OGDCL and PPL, which led to increase in shares of exploration and production. The market closed at 39,614.18.

On Wednesday, stocks lose 342 points to close at 39,271.92. This was on account of profit-taking and foreign investors were net seller with $3.57 million.

The bearish trend continued on Thursday and the Index lost another 28.05 on account of volatile trading. The KSE-100 Index closed at 39,306.50.

There was volatile movement in stock on Friday, it finally closed with gain of 62.61 at 39,306.50. The volume increased to 155 million shares.

Participants/Activity

On average shares of 347 companies were traded. Of these 128 were gainers and 198 were losers and 21 remained unchanged.

Foreigners were net seller $9,42m during...