Latest news with #FaujiFertiliserCompany
Express Tribune
6 days ago
- Business
- Express Tribune
Stocks hit record as ADB loan fuels rally
Foreign funds would divert their liquidity into buying Pakistan's stocks. This would merely increases prices of shares and be profitable for those who already hold stocks. PHOTO: FILE Listen to article The Pakistan Stock Exchange (PSX) on Tuesday soared to an all-time high above 120,000 points as investor optimism grew following a string of positive economic developments. The approval of a $800 million loan by the Asian Development Bank (ADB) for Pakistan's public finance programme and the government's approval of a Rs880 billion Public Sector Development Programme (PSDP) bolstered market sentiment. The KSE-100 index surged to the intra-day high of 1,816 points, before closing the day with an increase of 1,573 points at 120,451. Commercial bank, fertiliser and cyclical stocks led to broad-based gains while higher trading volumes, which reached 578 million shares, reflected renewed investor confidence. According to Ahsan Mehanti of Arif Habib Corp, stocks closed at an all-time high, led by across-the-board activity, after the ADB approved a $800 million financing package. Additionally, the government set the FY26 growth target at 4.2% and approved Rs880 billion for the PSDP. Mehanti added that budgetary relief was expected to be announced for oil refineries, real estate and the agricultural sector. This, alongside the rupee appreciation, played the role of catalyst in bullish close at the PSX. At the end of trading, the benchmark KSE-100 index recorded an increase of 1,573.07 points, or 1.32%, and settled at 120,450.87. In its review, Topline Securities commented that bulls maintained their firm grip on the market, propelling the KSE-100 index to a record close at 120,451, supported by renewed investor confidence and an improving macroeconomic outlook. The index surged to the intra-day high of 1,816 points as momentum picked up sharply after news broke that the ADB had approved a $800 million loan under Pakistan's public finance programme – a major vote of confidence in the country's economic reform trajectory. Adding fuel to the rally, the International Monetary Fund (IMF) gave its nod to Pakistan's budget proposals, reinforcing hopes of continued fiscal discipline and policy continuity, Topline said. Driving Tuesday's rally were key index movers including Fauji Fertiliser Company, HBL, Engro Fertilisers, Lucky Cement and Bank AL Habib, which contributed 691 points, it added. In its commentary, Arif Habib Limited (AHL) remarked that the KSE-100 index unlocked 120,000 points at close on Monday, which bodes well for further upside during the remaining week. Some 65 shares rose while 31 fell, with Fauji Fertiliser Company (+1.79%), HBL (+5.19%) and Engro Fertilisers (+3.56%) contributing the most to index gains. On the flip side, Systems Limited (-0.84%), Service Industries (-1.55%) and Haleon Pakistan (-2.32%) were the biggest drags, it said. AHL also mentioned that the ADB approved $800 million for Pakistan's public finance programme aimed at strengthening fiscal sustainability and improving financial management. Meanwhile, the anti-trust body fined fertiliser makers for fixing a higher sale price, which adversely impacted farmers. "Holding 120k will allow the KSE-100 to extend gains towards 125k," it projected. JS Global analyst Mubashir Anis Naviwala said that the benchmark index surged throughout the day and reached a historic high at 120,451 points. Buying interest was witnessed across commercial banks, fertiliser and cyclical stocks, driving broad-based gains, he said. "With the index at the all-time high, a breakout could lead to fresh momentum and attract further institutional participation. We recommend investors to capitalise on this and invest in fundamentally strong stocks in the fertiliser, cement and banking sectors on any intra-day pullbacks," Naviwala stated. Overall trading volumes increased to 578.2 million shares compared with Monday's tally of 497.9 million. The value of shares traded was Rs26.8 billion. Shares of 467 companies were traded. Of these, 232 stocks closed higher, 187 fell and 48 remained unchanged. K-Electric was the volume leader with trading in 144.6 million shares, gaining Rs0.23 to close at Rs5.32. It was followed by Faysal Bank with 26.7 million shares, gaining Rs4.89 to close at Rs53.77 and Invest Bank with 25.5 million shares, gaining Rs0.04 to close at Rs2.35. Foreign investors sold shares worth Rs956 million, the National Clearing Company reported.
Express Tribune
05-05-2025
- Business
- Express Tribune
PSX ends flat amid geopolitical jitters
The Pakistan Stock Exchange (PSX) witnessed a turbulent start to the week, with the benchmark KSE-100 Index closing nearly flat amid rising tensions with India and SBP policy uncertainty. The index dipped steeply in early trading, falling by 1,036 points. However, it made a strong recovery in the second half, mainly supported by the cement sector, while other stocks closed lower. The index closed the day down by only 11.70 points, or 0.01%, at 114,102.24. Analysts noted that while there may be a positive reaction to the 100 bps rate cut by the central bank, investors remained cautious given the prevailing geopolitical situation. Ahsan Mehanti of Arif Habib Corp remarked that stocks closed flat as investors remained cautious following the government's security measures to ban Indian trade ties and Indian flag carriers. SBP policy uncertainty and a slump in global crude oil prices contributed to the uncertainty, he noted. Rupee instability and fears over the outcome of heightened Pakistan-India border tensions played a catalyst role in the bearish close, added Mehanti. At the close of trading, the benchmark KSE-100 index recorded a decline of 11.70 points, or 0.01%, and settled at 114,102.24. In its market review, Topline Securities commented that the benchmark index was quite volatile during today's session, falling by 1,036 points in early trading. However, it made a strong recovery in the second half, mainly supported by the cement sector, as investors expected a possible rate cut in the monetary policy announcement made today. The index closed at 114,102 points, down just 12 points, or 0.01%. This recovery was mostly helped by key stocks like Fauji Fertiliser Company, DG Khan Cement Company, Fauji Cement Company, Pioneer Cement, and Maple Leaf Cement Company, which together added about 276 points to the index, as mentioned by Topline. Investor interest stayed strong, with 398 million shares traded and a total market turnover of Rs19 billion, it added. In its commentary, Arif Habib Limited (AHL) stated that the week started flat with cement stocks higher and other leading sectors lower. Some 56 shares rose while 42 fell, with Fauji Fertiliser Company (+1.29%), DG Khan Cement (+4.46%) and Fauji Cement Company (+2.79%) contributing the most to index gains. On the flip side, UBL (-2.17%), Oil and Gas Development Company (-1.49%) and Pakistan Petroleum Limited (-1.56%) were the biggest index drags, remarked AHL. It added that Moody's, in a recent report, stated that sustained tensions with India will weigh on Pakistan's growth, hamper the government's ongoing fiscal consolidation, impair access to external financing and pressure its FX reserves. Moreover, Pakistan plans to brief the UN Security Council about the recent tensions with India, highlighting the illegal steps taken by India to suspend the Indus Water Treaty, said AHL. The SBP cut the discount rate by -1% to +11%, and expects FX reserves to rise to US$14 billion by June, added the brokerage. JS Global analyst Muhammad Hasan Ather commented that the KSE-100 index started the week on a volatile note, as investors remained cautious due to ongoing tensions between Pakistan and India, while also awaiting the monetary policy announcement scheduled for later in the day. Overall trading volumes increased to 399.5 million shares compared with Friday's tally of 372.4 million. Shares of 452 companies were traded. Of these, 240 stocks closed higher, 155 fell, and 57 remained unchanged. Power Cement was the volume leader with trading in 41.3 million shares, gaining Rs0.98 to close at Rs14.92. It was followed by WorldCall Telecom with trading in 23.8 million shares, gaining Rs0.07 to close at Rs1.34 and Maple Leaf Cement Company with 23.6 million shares, gaining Rs2.16 to close at Rs71.60. During the day, foreign investors bought shares worth Rs128.9 million, the National Clearing Company of Pakistan Limited (NCCPL) reported.
Express Tribune
22-04-2025
- Business
- Express Tribune
PSX holds ground amid cautious sentiment
Shares of 340 companies were traded. At the end of the day, 93 stocks closed higher, 233 declined and 14 remained unchanged. PHOTO: FILE Listen to article The Pakistan Stock Exchange (PSX) ended marginally higher on Tuesday as late-session selling pressure, driven by a bearish trend in global equities, a weakening rupee, and falling international crude oil prices capped earlier gains. The KSE-100 index opened on a positive note amid news of Finance Minister Muhammad Aurangzeb's reassurance to continue the IMF-guided reform agenda during the opening day of the World Bank Group's Spring Meetings. The index hit an intra-day high of 119,217 points before profit-taking pulled it down to an intra-day low of 118,162 points. At the close of trading, the index stood at 118,430.35 points, reflecting an increase of 46.97 points or 0.04%. Traded volume and value remained strong, with 740.9 million shares exchanged and a total turnover of Rs30.5 billion. According to Ahsan Mehanti of Arif Habib Corp, the market closed flat as late-session pressure weighed on sentiment. The downtrend was attributed to weakness in global markets, currency depreciation, and declining global crude oil prices. However, strong financial results supported the index. Mehanti noted that reports of an expected easing in the State Bank of Pakistan's monetary policy, the government's resolve on US tariff issues, and the anticipated release of the IMF support tranche next month also contributed to the positive close. Topline Securities, in its market review, stated that investor sentiment was supported by corporate earnings announced during the session, although activity remained subdued due to cautious trends in international markets. The index's performance was largely underpinned by gains in Fauji Fertiliser Company, Engro Holdings, Habib Metropolitan Bank, AGP Limited, and Atlas Honda Limited, which collectively contributed 733 points, Topline added. Investor participation remained robust, with 740 million shares traded and overall market turnover at Rs30 billion, the brokerage noted. Arif Habib Limited (AHL), in its commentary, observed that the index continues to trade within the "Tariff Gap," keeping the near-term outlook exposed to downside risks. Among the top gainers, Fauji Fertiliser Company rose 4.9%, Habib Metropolitan Bank climbed 5.78%, and AGP Limited gained 7.25%. On the other hand, UBL fell 4%, Meezan Bank declined 3.26%, and Engro Fertiliser dropped 1.8%, acting as major drags on the index. The Bank of Punjab shed 8.49% after announcing its 1QCY25 earnings per share (EPS) at Rs0.53, a 5% increase year-on-year. However, the absence of a dividend surprised the market, noted AHL. Engro Fertiliser also reported its 1QCY25 EPS at Rs2.17, down 63% year-on-year, alongside an interim cash dividend of Rs2.25 per share. Additionally, the brokerage highlighted that Pakistan's headline inflation for April 2025 is projected to fall sharply to 0.45% year-on-year, a historic low, down from 0.69% in March, based on SBP data across various base years. Ali Najib of Insight Securities described the session as a "Battle of Wills" between bullish and bearish forces, with both sides vying for dominance. Ultimately, the bulls gained the upper hand, albeit by a slim margin, as the index closed with a 47-point gain. Najib added that the market opened on a positive note, buoyed by news of Finance Minister Aurangzeb's assurance to IMF Managing Director Kristalina Georgieva regarding Pakistan's commitment to IMF-guided reforms. This pushed the benchmark to an intra-day high of 119,217 before profit-taking dragged it down to a low of 118,162 points. A total of 451 companies' shares were traded, of which 214 stocks closed higher, 196 fell, and 41 remained unchanged. The Bank of Punjab led in volume with 116.7 million shares traded, falling Rs0.97 to close at Rs10.45. It was followed by Power Cement, which gained Rs0.72 to close at Rs14.26 on a volume of 67.9 million shares, and Pakistan International Bulk Terminal, which declined Rs0.66 to close at Rs9.92 on 58.8 million shares. Foreign investors purchased shares worth Rs102.5 million during the day, according to data from the National Clearing Company of Pakistan Limited (NCCPL).
Express Tribune
12-04-2025
- Business
- Express Tribune
PSX ends deep in red over global jitters
Listen to article Pakistan Stock Exchange (PSX) wrapped up another turbulent week in negative territory as mounting global economic uncertainties and the intensifying US-China trade tensions dampened investor confidence. The benchmark KSE-100 index declined over 1,300 points to close at 114,853. Market activity was overshadowed by broad-based pressure, with heavyweight stocks such as UBL, Fauji Fertiliser Company, Engro Fertilisers, Engro and Mari Petroleum pulling the index down by 837 points. Despite the bearish trend, select pharmaceutical stocks bucked the trend, where Glaxo surged 7.10%. Trading activity was led by Kohat Cement, Glaxo, Pak Elektron, Honda Atlas Cars and Mari Petroleum. Notably, Honda announced plans to launch hybrid electric vehicles (HEVs), signalling long-term growth potential in the auto sector. "Stocks closed sharply lower in the earnings season on bearish global equities and weak global crude oil prices amid fears over the outcome of US-China trade war," said Arif Habib Corp MD Ahsan Mehanti. Rupee instability and 9% year-on-year decline in cement sales for March played the role of catalysts in bearish close at the PSX, he said. At the end of trading, the benchmark KSE-100 index posted a decline of 1,335.88 points, or 1.15%, and settled at 114,853.33. Arif Habib Limited (AHL) wrote that it was another weak session for the stock exchange, with the benchmark index slipping 1.15% day-on-day and 3.31% week-on-week (WoW), reflecting a highly volatile week for global markets. On Friday, 31 stocks posted gains while 64 declined. Major contributors to the index's downward movement included UBL (-3.53%), Fauji Fertiliser Company (-1.85%) and Engro Fertilisers (-3.82%). On the upside, Glaxo (+7.10%), Pak Elektron (+5.17%) and Systems Limited (+1.06%) provided some support to the index, it said. Looking ahead, another volatile week is expected starting Monday, with a continued downside bias for Pakistan's market, AHL added. Topline Securities commented that volatility persisted as the US-China trade war intensified. Pressure was observed at the local bourse as the KSE-100 index largely traded in the negative zone. The top negative contribution to the index came from UBL, Fauji Fertiliser Company, Engro Fertilisers, Engro Holdings and Mari Petroleum as they dragged the index down by 837 points, it said. Investor interest was observed in the pharmaceutical sector, which closed 4.1% higher. Among other important developments, Honda Atlas Cars, in a notice to the exchange, announced that the company was planning to introduce HEV models in the near future. Muhammad Hasan Ather of JS Global said that the KSE-100 index closed down by 1.2% at 114,853, snapping Thursday's rally. The index hit a session low of 114,640, marking an intra-day decline of 1.3%. The market slid amid global economic uncertainty, declining cement sales, rupee instability and falling crude oil prices, all compounded by concerns over the US-China trade war. Despite the broader market dip, the pharma sector outperformed, closing entirely in the green, the analyst said. Overall trading volume was recorded at 458.6 million shares compared with the previous session's tally of 638.1 million. The value of shares traded during the day was Rs31.6 billion. Shares of 441 companies were traded on the ready market. Of these, 137 stocks closed higher, 244 fell and 60 remained unchanged. Pak Elektron was the volume leader with trading in 40.7 million shares, gaining Rs2.32 to close at Rs47.18. It was followed by Sui Southern Gas Co with 38.1 million shares, gaining Rs0.39 to close at Rs39.52 and The Bank of Punjab with 33.2 million shares, gaining Rs0.53 to close at Rs11.18. During the day, foreign investors sold shares worth Rs80 million, according to the NCCPL.
Express Tribune
18-03-2025
- Business
- Express Tribune
PSX bullish on debt reduction hopes
Listen to article Pakistan Stock Exchange (PSX) on Tuesday maintained its bullish momentum, driven by strong investor interest in the wake of unfolding economic developments. Analysts mentioned that investors responded positively to a 97% month-on-month drop in Pakistan's current account deficit, coupled with speculation surrounding the potential resolution of the circular debt issue. The momentum was supported by a strengthening rupee, rising international crude oil prices and a global equity rally. The index advanced to the intra-day high of 1,002 points, before settling at 117,001, up 801 points from the previous day. According to Ahsan Mehanti of Arif Habib Corp, stocks closed bullish as investors weighed a 97% month-on-month drop in the current account deficit that stood at $12 million for February 2025 along with speculation about potential resolution to the circular debt crisis. A strong rupee, surging global crude oil prices and a bull-run in global equities played the role of catalysts in bullish close at the PSX, he added. At the end of trading, the benchmark KSE-100 index recorded an increase of 801.50 points, or 0.69%, and settled at 117,001.09. In its review, Topline Securities stated that bulls dominated Tuesday's trading session, propelling the benchmark index to the intra-day high of 1,002 points. It eventually settled at 117,001, up 801 points. The positive sentiment was largely driven by encouraging economic developments, it said. According to news reports, the International Monetary Fund (IMF) has permitted Pakistan to borrow Rs1.25 trillion ($4.5 billion) from domestic banks to help manage the Rs2.4 trillion circular debt without increasing the public debt level. Topline added that investor confidence was further lifted as the IMF shared a draft of the Memorandum of Economic and Financial Policies (MEFP) with Pakistani authorities, marking progress towards a staff-level agreement under the $7 billion Extended Fund Facility. This reinforced hopes for sustained financial support and economic stability. The index gains were primarily fuelled by Fauji Fertiliser Company, Engro Holdings, Hub Power, TRG Pakistan and Lucky Cement, which collectively added 541 points, it said. Arif Habib Limited (AHL) remarked that the KSE-100 index unlocked the 117,000-point level, with a further upside momentum. Some 64 shares rose while 32 fell, with Fauji Fertiliser Company (+1.43%), Hub Power (+2.29%) and TRG Pakistan (+10%) contributing the most to the index gains. On the flip side, Mari Petroleum (-2.94%), UBL (-0.32%) and Fatima Fertiliser (-2.18%) were the biggest drags, it said. AHL also pointed out that the IMF had authorised Pakistan to borrow Rs1.25 trillion ($4.5 billion) from local commercial banks to reduce its circular debt. "The indices continue to show a bullish price structure and are approaching January's all-time highs, which should be exceeded before profit-taking is considered," it concluded. Ali Najib of Insight Securities commented that media reports about borrowing from banks to settle the circular debt fuelled a rally in the exploration & production and oil marketing companies' sectors. It boosted stocks such as PSO, Oil and Gas Development Company, Pakistan Petroleum, Sui Northern Gas Pipelines, Sui Southern Gas Company and Mari Petroleum, which contributed 161 points to the index. Additionally, strong performances from Engro Holdings, Fauji Fertiliser Company, Hub Power and TRG Pakistan further lifted the market, adding 479 points, he said. Overall trading volumes decreased to 449.5 million shares compared with Monday's tally of 507.5 million. Shares of 447 companies were traded. Of these, 206 stocks closed higher, 180 fell and 61 remained unchanged. The value of shares traded during the day was Rs29.2 billion. Pakistan International Bulk Terminal was the volume leader with trading in 59.1 million shares, gaining Rs0.48 to close at Rs10.66. It was followed by The Bank of Punjab with 36.5 million shares, gaining Rs0.15 to close at Rs11.82 and Fauji Cement with 24.99 million shares, gaining Rs0.31 to close at Rs46.38. During the day, foreign investors sold shares worth Rs158.8 million, the NCCPL reported.
