Karachi: The stock market staged strong rally on the first trading day of the week (Monday) as the KSE-100 index gained 208.42 points (0.62 per cent) to close at 34,093.55.
With the market having lost 1.6pc last week, individual investors came forward for cherry-picking at attractive valuations.
Individuals, among the local participants, were seen to be the major drivers of the market with net purchases of $8.39 million mainly in the last trading hour. Foreign investors and banks sold $1.23m and $6.57m worth stocks, respectively.
“Major activity was witnessed in the banking sector with Bank Alfalah, MCB Bank, National Bank and Bank Al-Habib up by 3pc, 2pc, 1.7pc and 1.2pc, respectively,” stated analysts at major brokerage house.
Traded volume declined 27pc to 294m shares while value was down by 36pc to Rs8.1 billion over the previous session.
The local stock market seemed to ignore the Greek crisis that was pushing down global equity markets.
Analyst Ahsan Mehanti at Arif Habib Corp stated that the stocks closed bullish amid satisfactory marking of the seventh review of Extended Fund Facility.
“Higher banking spreads data for May 2015, recent Moody’s upgrade on deposit ratings of five banks and falling borrowing costs played a catalyst role in positive sentiments at KSE ignoring Aptma’s decisions to voluntary shutdown textile industry on energy issues,” analyst said.
Investors’ interest was also seen in cement stocks where DG Khan Cement, Lucky Cement and Fauji Cement rose by 1.7pc, 1.6pc and 0.8pc, respectively.
Analyst Ahmed Saeed Khan stated that the index heaviest weighted sector remained depressed but changed its outlook in the last half-an-hour as most major scrips ended in green. Profit-taking was witnessed in tractor stocks.
