960422

Battered bulls

find hope

KERB WATCH

J.M.J.

KARACHI: The stock values improved on Monday giving hope and life to the battered bulls.

Institutions were active buyers and there were indications that some foreign funds were diverting towards Pakistan equity market. But the buying was not much that could create a real bullish trend.

The GDR's had improved slightly. PTC GDR was US$ 90.00 and US$ 93.00 and Hub Power was US$ 20.75 and US$ 21.25, hence the corresponding hike in the rates were observed here locally.

PTC in the kerb jacked upto Rs 31.90 and Hub Power was Rs 29.60, which gave support to hopeless market. But still the pundits believe that till the economic entourage was visiting foreign countries, the KSE index will prove to be in the positive mode.

The following were the badla rates:

PTC was .07 paisas to .10 paisas charged by the short sellers. The patent badla dealers charged .10 paisas and the short sellers charged .06 to .07 paisas, which shows that the short sellers have increased. But the situation is not as bad as it was in Hub Power and Fauji Fertilizer.

FFC was really bad as even this week where the institution has delivered a big chunk of the sold delivery. The short sellers were readily paying .50 to .75 paisas to roll over their short positions to the next week hoping that the market may slide further in this particular scrip.

Hub Power's badla was nil to .10 paisas (seedha), but this effect was due to the marked improvement in its GDR rates and the confidence that this scrip does not have the string of problems that PTC has to face, as it is a clear foreign managed company.

Lucky Cement's badla was nil, and the short sellers were of the opinion that the rates of this company will definitely come down. They argue that a cement company, which operating under the most advanced technology is being quoted at Rs 10.00 then how can a company which has to start operations and capture markets be priced at Rs 16.00.

ICI and Dewan Salman were both being charged .25 paisas for the roll over.

One feels depressed when finds that most factors were supporting the bears and it was not fair perhaps the bulls will have to wait much longer to find lady luck on their side.