Karachi, April 04, 2020: Following a 3-week rout of the KSE-100 Index, the bourse finally rebounded this week with a 12.5 percent return WoW – highest ever weekly return. Optimism in the bourse was sourced from the federal government announcing a series of measures to mitigate risks to the economy from the COVID-19. Banks and E&P rallied as valuations had reached dirt cheap levels.
Towards the end of the week President Trump’s announcement of a possible agreement between Saudi Arabia and Russia to cut production sent oil prices soaring (WTI up 18 percent WoW) and thereby E&P stocks. The KSE-100 closed at 31,622 points (up by 12.5 percent / 3,512 points WoW).
Sector-wise positive contributions came from Commercial Banks (764 points), Oil & Gas Exploration Companies (550 points) and Cement (537 points). Scrip-wise positive contributions were led by HUBC (290 points), LUCK (227 points), and UBL (186 points).
Foreign selling continued this week clocking-in at USD 36.1 million compared to a net sell of USD 13.7 million last week. Selling was witnessed in E&Ps (USD 13.5 million) and Commercial Banks (USD 8.0 million). On the domestic front, major buying was reported by Individuals (USD 13.0 million) and Funds (USD 10.3 million). Average Volumes settled at 228 million shares (up by 52 percent WoW) while average value traded clocked-in at USD 46 million (up by 66 percent WoW).
