Karachi, July 27, 2021 (PPI-OT): View from the desk

Bulls managed to pull the KSE100 to an intraday high of +237 points before profit-taking kicked in and erased nearly all of the gains by day end. The equity market closed the session flat at 47,687 levels. The textile sector remained particularly buoyant following strong export numbers and a positive outlook for the sector. KTML (7.5%) closed at its upper circuit while GATM (3.8%) and NML (1.1%) also closed in the green. Traded volume remained mostly flat at 433mn shares, where WTL (-2.6%), BYCO (-2.0%), KASBM (14.0%), TPL (0.4%) and ASC (-0.1%) were the volume leaders today. Going forward we expect range-bound activity to continue in the coming sessions due to rollover week and recommend investors to avail any downside as an opportunity to buy in the Cement and Textile sectors.