Karachi, December 21, 2017 (PPI-OT): Closing Bell – Extends Gains; +508 pts
Pakistan equities extended gains on Thursday with benchmark KSE100 Index closing the day up 1.3% DoD over 38,700 levels. Market after a sideways start dropped lower in early trading however index decline was underscored by lower volumes that led to swift recovery afterwards with momentum mainly steered by Steel plays as the sector came on value hunters radars; notable names including ISL PA +5%, ASTL PA +5%, CSAP PA +5%, MUGHAL PA +5% closed at their respective upper price limits.
Financials also built on yesterday gains where Habib Bank HBL PA +1.3% and United Bank UBL PA +3.4% maintained upward trajectories on healthy interest with investors likely betting on expectations of a possible hike in interest rates. DG Khan Cement DGKC PA +2.4% that shed over 18% MTD found footing and led gains in Cement sector, seeing good exchange of hands of over 8.7mn shares, most in a year. With weekly support developing around 38,000 levels, expect KSE100 Index to break above the interim resistance at 38,900 that will open upside towards the next barriers at 39,500 and 40,200.