Karachi  - Stocks on Thursday closed bullish led by oil, cement and fertilizer stocks on strong valuations.

Market rallied in anticipation of lower CPI and expectation of cut in interest rate in the upcoming monetary policy in spite of long weekend. The benchmark KSE-100 index rallied by 0.8pc or 270 points to close at 33,730 points.

Traded volumes decreased by 17pc to 190m shares however value increased by 41pc to Rs13.1 billion compared with yesterday. Engro proved to be the catalyst in the latter part of day’s trade after rumours of EFERT’s private placement to be oversubscribed took shape with the stock ending at Rs316.54, up by 3.9pc. After the recent profit-taking sessions in the cement sector, selective stocks posted recoveries with FCCL, DGKC, LUCK and MLCF all ending 2.4pc, 1.0pc, 1.3pc and 2.1pc higher. In the auto sector INDU opened at its ‘upper- circuit’ after posting a staggering 9MFY15 EPS of Rs81.70 and a cash dividend of Rs20/share. HUBC up 3.4pc also announced its financial result posting an unconsolidated 9MFY15 EPS of Rs5.67. With recovery in global oil prices, PSO, PPL and POL posted slight uptick ending 1.3pc, 1.2pc and 1.2pc higher”, commented analyst Umair Hasan at JS Global.

Engro rallied after unconfirmed news that EFERT shares have been over subscribed through private placement. As a result of which Engro increased by 3.5pc while EFERT rose by 2.4pc. HBL announced above expectations March earnings of Rs.6.73 with a cash dividend of Rs.3.50.

HUBC also gained 3.4pc after announcing above consensus March quarter earnings. Investors seemed enthusiastic in INDU after March result announcement, observed investment analyst Muhammad Rizwan.  Analyst Ahsan Mehanti said, post results consolidation invited profit taking in banking and textile sectors. Surge in crude oil prices near 5 months high, speculations ahead of SBP policy rate announcements expected next month and EFERT share sale announcement by Engro through private placements played a catalyst role in bullish activity at KSE ignoring concerns for  default claims on a stock brokerage.