The News reported that the Karachi Stock Exchange’s benchmark 100 index recovered 25 points on select buying, particularly in cement stocks on strong speculations about their healthy earnings outlook.

Ms Samar Iqbal an equity dealer at Topline Securities said that “Strong earnings growth in cement stocks kept investors interest alive in the sector.”

The KSE-100 index regained 24.57 points or 0.16% to 15,679.19 points. Earlier during the session, the index moved on both sides of the fence by 99.82 points making the intraday high of 15,754.44 points and the low of 15,654.62 points.

In the previous two sessions, the index lost approximately 93 points. The KSE-30 index increased by 23.15 points, or 0.18% to 12,869.67 points in the session.

Ms Iqbal said that the activity remained confined towards cement and oil stocks with the result season gearing up into full swing. Below expectation earnings announcement by Pakistan Oilfields Limited for the quarter ended September 30th 2012 created selling pressure in the stocks, while its group company Attock Refinery Limited closed at the upper cap on account of above expectation earnings announcement.

Mr Hasnain Asghar Ali COO at Escorts Capital said that the cement stocks led the rally as they were expected to announce healthy earnings on the back of massive decline in the interest rates in recent times. Most of cement companies are running on banks’ financing and the decline in the interest rates has resulted in reducing their cost of operations. Leading bank and fertilizer stocks also invited significant buying and made good contribution in the rally. The oil stocks, however, remained subject to profit selling.

Source – The News.com

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