PSX surges upward fueled by the energy sector

Karachi: Friday’s market advance was fueled by the oil and technology industries and confidence that bilateral funding, likely to occur this month, will provide much-needed budgetary relief, thereby boosting the economy.

The KSE-100 stock index ended the day at 43,092.95 points after gaining 191.68 points, or 0.45%, at Pakistan Stock Exchange (PSX).

According to Darson Securities’ market analysis, the indices’ gains grew. “The benchmark index hit an intraday low of 42,805.88, but later in the day it was able to recover as massive purchasing was observed in the technology and energy sectors,” a brokerage stated.

JS Research recommended that investors adopt a buy-on-dips strategy in the cement, banking, and energy industries in the future.

TRG Pakistan, Oil and Gas Development Company, Pakistan Petroleum Limited, Pakistan State Oil, and Nestle Pakistan collectively contributed 256 points to the index, as reported by Topline Securities.

Together, Pakistan Services Limited, Hub Power Company Limited, Faisal Bank Limited, Bank Al-Falah, and Thal Limited brought the index down by 61 points. Thursday’s volume of 293.9 million shares plummeted by 20% to 232.8 million shares on Friday. With 21 million shares, Cnergyico PK Limited led in terms of volume.

Today, according to Arif Habib Ltd. (AHL), the PSX experienced another prosperous trading session.

“The market opened in positive territory, but lackluster activity caused the index to drop 96.39 points by the end of the first half of trading,” the brokerage said. “However, after trading resumed, the benchmark index rebounded.”

According to the AHL report, investors have reemerged after the announcement of a $13 billion deal between China and Saudi Arabia. “Volumes were constant across the board, and oil and exploration businesses displayed robust activity,” the study stated.

Exploration and production (+129.3 points), technology and communication (+98.4 points), oil marketing firms (+22.8 points), tobacco (+13.1 points), and food and personal care goods (+12.8 points) were the sectors that contributed to the performance.