Market fuelled by pre-election boost – Elixir Research
By: Harris Ahmed Batla,
Elixir Securities Pakistan (Pvt.) Ltd.
Pakistan equities market sailed over 19,000 levels pre elections adding 192 points to the current trend but struggled for volumes as investors remain selective in their value picks. Concerns over depleting foreign reserves enlighten investors’ interest in dollar denominated revenue plays in the likes of Oils and IPPs closing Pakistan Oilfields POL PA +2.03%, Oil and Gas Development Co. OGDC PA +.4% and Hub Power Ltd. HUBC PA+2.74%. Oil discovery in Pakistan Petroleum PPL PA +3.95% pushed the stock to new highs while Banks and Cements traded mix sentiments.
We expected volumes to remain low before elections over concerns of law and order situation, however value picks mainly financials and oils will keep investors interested.