The Pakistan Stock Exchange (PSX) has bounced back from a slight dip on Thursday, reaching a 10-month high Friday morning.
Just before trade suspended for Friday prayers, the KSE-100 index crossed the 41,000 level, gaining more than 516 points or 1.26% from where it began on Friday.
“The market started with oil and gas sector earnings per share [EPS] gains that eventually spilled over to other sectors,” said Raza Jafri of Intermarket Securities. “While the market will continue from its peak after the prayer break is over and the trade will resume, it is not speculative to suggest it may also end on a positive note.”
Bank of Punjab had the highest trading volume and was trading over Rs12.3 million worth of shares. It also saw a 2.5% rise in the value of their shares over yesterday.
Following this was Unity Foods Limited, which traded over Rs12 million worth of shares.
This marked a strong comeback for the market, which had hit its lowest level in over five years this past August. Since then, the market has been on the rise with little corrections every now and then, say analysts, to stabilise volatility and excitement cycles
Cement shares were doing well, with all companies gaining points and none losing share value. Market researchers, however, have concluded that this change does not make up for the past two years’ performance of the cement sector.
Some say this spell of stability in the cement sector could have been caused by the number of projected federal and private housing projects that will all need cement. Others attribute it to a 5.8% rise in domestic cement sales.
The automobile sector, on the other hand, shed some more points, which experts say is a reflection of the sector’s overall market situation, which is struggling.