karachi

Stocks on Wednesday closed lower amid consolidation post major earnings announcements at KSE.

The KSE-100 Index oscillated between positive and negative territory throughout the day and end of day fell 115 points down to close at 33,460 points, while volumes too remained lackluster. Traded volumes of 228m shares and value of Rs.9.2 billion declined by 7pc from yesterday. FABL rallied 4.2pc after announcing above expectation March EPS of Rs1.80. FABL remained volume leader with 46m shares traded. Very Impressive result of INDU announced after market closed it is expected to rally tomorrow. Engro announced sell of 7pc shares of EFERT through private placement, observed investment analyst Muhammad Rizwan. Following approval of amalgamation KASB with BIPL, Karachi Stock exchange suspended trading in KASB.

In the banking sector, FABL closed up 3.9pc as the bank announced EPS of Rs1.80 beating market expectations on the back of whopping Gain on Sale of Securities of Rs1.27b against Rs95m in 1Q2014. In OMCs, Hascol down 3.1pc announced EPS of Rs3.02 that came in line with the market expectations while profit-taking was witnessed in the cement sector. Engro remained in the limelight as International Finance Corporation (IFC) has agreed (subject to meeting certain procedural pre-conditions) to take a 20pc equity stake in Engro Elengy Terminal, while the Board of Engro has also authorised the sale of up to 7pc of its shareholding in EFERT through private placements, commented analyst Arhum Ghous. Analyst Ahsan Mehanti said pre-budget uncertainty and concerns for investors claims on a local stock brokerage played a catalyst role in bearish activity at KSE ignoring impact of expected record low CPI Inflation for April’15 and probable cut in SBP Key Policy rate in May’15.