LAHORE  -  The KSE 100-index of Pakistan Stock Exchange ended its 3 consecutive sessions’ trend of decline, as the index gained 173 points or 0.46%), closing at 38,237 points. The reversal in trend can be attributed to attractive valuation levels. However, bleak outlook of the economy is still keeping market jittery.

Adviser to the Prime Minister for Commerce and Investment Abdul Razak Dawood said at a news conference that the government’s next target is to export electronic appliances from the country. This led investors to flock towards scrips such as PAEL (+5%) and WAVES (+5%). Volume leaders included PTC, PAEL and KEL, with traded volumes of 12m, 8m and 8m respectively.

Sector-wise, fertilizer, tobacco and cement were the best performing sectors, adding 148 points to the index, while E&P’s remained the worst performing sector as dim outlook for international oil prices kept the sector under pressure. Investor participation continued to improve as traded volumes rose by 35% to 137m, while traded value increased by 10% to $37m.

Experts said that the government’s reliance on China will only grow in the coming years as private sector investment continues to decline in the country despite improvements in security conditions, rise in power production and better infrastructure. The Securities and Exchange Commission of Pakistan (SECP) Policy Board has noted that the stock market was suffering from over-regulation and directed the regulator to rationalize fee structures and stop annual renewal of brokers.