Heavy buying in cement shares leads to recovery on KSE

Heavy buying in cement shares leads to recovery on KSE
Published: 03 June 2004

Stocks on 2 June staged a snap recovery despite tense city situation boosted by heavy buying in cement shares amid hopes of rising export prospects to Dubai. The KSE 100-share index rose by 8.27 points at 5,461.84.

According to market sources, cement prices have soared by 125 per cent during the last about one month and market talk of opening of another export triggered fresh buying in almost all the cement shares even at the highly inflated levels.

Fauji Cement was again massively traded and accounted for 166m shares amid reports of some breakthrough on the export front.

Cement producers are already exporting large consignments of the commodity to Afghanistan and Iraq, but Dubai could be major dumping ground for exports also if a major breakthrough is achieved. The prevailing Dubai prices are said to be attractive for the local producers.

Cement shares, notably low-priced among them again led the market and evoked a lot of sympathetic buying on some other counters, enabling the market to maintain a steady posture.

Fauji Cement topped the list of most actives for the third session in a row, up 80 paisa at Rs19.70 on 166m shares followed by Chakwal Cement, firm by 50 paisa at Rs9.65 on 86m shares, DG Khan Cement, steady by 20 paisa at Rs62.60 on 61m shares, OGDC, higher by 60 paisa at Rs54m shares, Saadi Cement, up 95 paisa at Rs18.65 on 35m shares, Lucky Cement, firm by 40 paisa at Rs43.75 on 29m shares.

Dewan Salman led the list of other actives, unchanged on 26m shares followed by Maple Leaf Cement, lower 25 paisa on 19m shares, F.F. Bin Qasim, steady 10 paisa on 13m shares and Pioneer Cement, up 60 paisa also on 13m shares.