KARACHI: The gaining spree at the stock market extended into the first day of 2018 when the KSE-100 index closed higher by 239.56 points (0.59 per cent) at 40,711.04.

The cumulative run-up for the eight sessions in a row has witnessed recovery of 2,792 points in the benchmark index.

Trading on Monday was highly volatile with the KSE-100 index sinking to intradaylowby302pointsin the first session, which dealers and analysts attributed to dismal investor participation mainly since the major regional and international markets were closed on account of the New Year while the local banks were off for public dealings in lieu of financial year closure.

In late trading bullsreturned with a vengeance to recoup all of the losses and toss the index to intraday high by 344 points.However, it succumbed to some selling pressure near the close of the session.

Analysts gave variousreasons for the change of investors` mood in the second half. According to AHL Securities, the sentimentsstarted changing after positive news of increase in price of HDGC by Rs2,000 per tonne, which elatedInternational Steels stock and caused investors to take positive bets on unrelated stocks as well. Topline Securities credited the sharp recovery (in the second half) to lower than expected inflation number for December of 4.57pc.

The volume was down 51pc over the previous session to 118m shares with TRG Pakistan, Dost Steels, Engro Polymers and Chemicals, Dewan Cement and Dewan Farooque Motors contributing a total of 51m shares, reflecting 43pcshare oftotalturnover.

The traded value slumped 52pc to Rs4.48bn.

HBL up 4.12pc, Engro Corp 2.02pc, Bank Al H abib 3.17pc, United Bank 1.11pc and Kot Addu 3.75pc, adding 204 points to the index.

On the flip side, Pakistan Tobacco was down 5pc, MCB Bank 1.15pc and Abbott Lab 4.24pc, taking away 61 points.International Steels stock and caused investors to take positive bets on unrelated stocks as well. Topline Securities credited the sharp recovery (in the second half) to lower than expected inflation number for December of 4.57pc.

The volume was down 51pc over the previous session to 118m shares with TRG Pakistan, Dost Steels, Engro Polymers and Chemicals, Dewan Cement and Dewan Farooque Motors contributing a total of 51m shares, reflecting 43pcshare oftotalturnover.

The traded value slumped 52pc to Rs4.48bn.

HBL up 4.12pc, Engro Corp 2.02pc, Bank Al H abib 3.17pc, United Bank 1.11pc and Kot Addu 3.75pc, adding 204 points to the index.

On the flip side, Pakistan Tobacco was down 5pc, MCB Bank 1.15pc and Abbott Lab 4.24pc, taking away 61 points.