KARACHI - Supported by gain in index heavy weight MCB, Karachi market closed in positive on Friday. The KSE 100-index witnessed another volatile session to close 51 points up at 33,993 points.

ENGRO, up by 2.1%, continued its euphoric growth to close at Rs294.74 and formed the backbone for the market. Cement sector remained under pressure following the announcement of DGKC to build a $300m, 2.5m ton plant near Karachi as investors feared that the expansion announced would mean an end to the cartel. This coupled up with the increase in global coal prices, cement sector can witness some heavy selling. Oil & sector initiated its recovery following a slight rebound in global oil prices, stated analyst Muhammed Mobeen.

ENGRO also kept on rallying amid growth plans post-December result. DGKC’s plant expansion news brought broad based selling in cement stocks amid fear of price war, observed Samar Iqbal at Topline Security. Stocks closed higher led by selected scrips across the board on favorable current account deficit data for Jul-Jan’15 shrinking by $230m at $2.3b. Strong earnings announcements, speculations ahead of SBP policy rates decisions early next month played a catalyst role in bullish activity at KSE despite falling international oil prices and rumors on cement sector price wars likely to dent earnings outlook, commented analyst Ahsan Mehanti.

Volumes increased by 9% to 261m shares, while value also rose by 24% to USD157mn(value Rs15.7bn). Of total 360 active companies in session, 153 closed in advance, 190 in decline while 17 remained unchanged. Substantial increase was witnessed in the stock of Jah.Sidd.Co which was volume leader with 28.01m shares and price per share Rs22.28, followed by Pak Elektron with 24.29m shares and price per share Rs60.66 and PIA with 16.24m shares and price per share Rs9.91 were in limelight in market.

Commenting of weekly performance, market watchers said the Karachi Stock Exchange witnessed mixed sentiments during the outgoing week with the corporate result season in full swing. The benchmark KSE-100 closed up 0.1% WoW at 33,993 while average trading volumes dropped by 22% WoW to 212m shares/day. Higher-than-expected result announcement by DG Khan Cement (DGKC) prompted fresh buying into the cement sector; however news of potential expansion by DGKC cut short investors’ optimism. ENGRO remained in the limelight, announcing better-than-expected 2014 earnings and intention to sell its EXIMP business to Engro Fertilizer (EFERT).