20000311

Raad's murder

dents hopes

of recovery

on KSE

RECORDER REPORT

KARACHI: The assassination of Iqbal Raad, one of the lawyers in the defence team of the former prime minister Nawaz Sharif sent grave signals to investors who off-loaded their holdings, in haste, which made severe dents in the price run on Friday.

During the first session the stock market was weak and dull. Though the index was in the minus territory, the selling had not reached alarming proportions. Traders hoped that as the badla rates are decided, the index would bounce back.

But the desires of the traders and dealers were short-lived and as soon as the news of the killing of Iqbal Raad and two others reached the market, index was once again in hot water. Stock values receded further. Panic selling was witnessed during the fag end of the session which increased the tally of losses.

The KSE-100 index dropped by 21.83 points to 1936.98 from 1958.81 of Thursday. The volume amounted to 213.272 million shares as against 286.033 million shares of Thursday.

Three hundred companies were called on the ready board of which 78 showed plus signs as against 170 losers, while 52 remained unchanged. Market capitalisation moved down to Rs 491.655 billion from Rs 496.962 billion.

An analyst with Westminster and Eastern Services Ltd said that the bears had commenced another spell as the index plunged 22 points. The KSE index continuously diluting its values and it came down to its psychological level of 1900 mark.

The KSE index buoyantly diluted its values during the week and fairly eased off its bulkiness. He believed that due to Eid-ul-Azha holidays, during next week, the market might witness dull activities along with consolidation.

Faisal Abbas of AHR Securities said that the overall market sentiment was bearish where the selling pressure emerged in the initial stage of the trading and continued till the end. Indeed, the weak holders were in a lot of jeopardy , where prices were slipping down on account of non-availability of any support from the institutional side, despite attractive levels of various blue chips, he said.

The killing of Iqbal Raad deteriorated the situation further and the index went down sharply on account of proper absorption, Abbas said.

PTCL on a trading of 57.763 million shares showed a drop of 35 paisa to Rs 32.90, ICI on a volume of 53.541 million shares recorded a drop of 10 paisa to Rs 15.85, Hub Power moved up to Rs 28.15 from Rs 28.55 as nearly 24.562 million shares changed hands, PSO on a turnover of 13.801 million shares moved down to Rs 251.45 from Rs 254 and NDLC on a business of 11.289 million shares recorded a fall of 40 paisa to Rs 5.85.