KARACHI - After suffering heavy losses on Monday, the stock market rose sharply on Tuesday and hit a 30-month high amid bright prospects of easing current political crisis, with the KSE 100-share index gaining 260.80 points to close at 12,110.26 points. According to the market report, the positive sentiments were quite evident from opening; high dividend yielding stocks led the way mainly from the fertilizer sector, while increasing trend in international oil prices allowed the oil & gas exploration stocks to join the run-up, that was duly followed by banking sector stock mainly on the thrill of year-end payout along with various group specific stocks. Thus, allowing the index to display strength, thereby allowing sustainability, to the triple digit gains attained in early hour. Total market volumes improved to 219.56 million shares as compared to 91.18 million shares of Monday, showing ready market value at Rs9.24 billion or $107.83 million while market capitalization stood at Rs3,282.74 billion or $38.30 billion, respectively. The KSE 30-index closed at 11,700.33 level, increasing 309.75 points or 2.72 per cent. KSE future volume came at 7.20 million shares, valuing Rs1, 042.94 million or 4.19 per cent. Market expert said although high priced stocks did face off-loading by the local participants, across the board short covering and technical pull back, gave the benchmark enough strength to resist the incoming float. The gains thoroughly backed by turnover allowed various short term trading opportunities to the daring participants. Top two volume leaders LOTPTA and KESC contributed almost 40 per cent to the total turnover, that stood at 200 million. Since various grievances on economic and financial front persist, the horizon certainly stayed confined, experts view of reduction in political tussle and loud whispers of accumulation through off-shore accounts and by foreign fund managers allowed the marketmen both from retail and corporate corridors to take full advantage of huge discounts, initially through fresh buying and then on through sector and stocks swapping, in order to take maximum advantage of the discounts, thus allowing the index to attain and sustain 12000 mark, expert said. News flow on political, economic and financial issues will continue to dominate the proceedings at the local bourse; caution therefore stays the call, since based on political data weekend is likely to stay volatile in case dust on the political front stays unsettled, he added. Availability of high dividend yielding stocks at decent discounts was well capitalized by both local and offshore participants, while rising trend in international oil prices attracted funds in the beneficiary stocks triggered short covering, thus allowing the index to display smart recovery well supported by turnover, wherein low priced stayed the major contributors, he mentioned.