Afzal Bajwa Pakistans capital market remained dull and dormant until Moodys Investor service announced positive outlook of the countrys existing rating level last week indicating gradual stabilisation in the economy. The good news on National Finance Commissions 7th Award by the weekend reinforced positive sentiment of stock trade in the bourses. The market opened the week ending Friday last with lack of interest on part of the investors thus contracting the volumes to extreme low. Prevalent political uncertainty revolving around the imbroglio of National Reconciliation Ordinance (NRO) coupled with the security tensions kept the investors on the sidelines. On Monday last the trading activity went through massive ebb and flow to end up the session with marginal losses in the predominant benchmark of the countrys mother bourse. The bears penetrated by the second session of the week that was, and on Tuesday last the market lost well over a percentile chiefly due to political uncertainties and lack of liquidity in the market. Low-priced blue chip stocks, however, attracted buyers by the midweek. Investors interest in plummeted stocks was accelerated when the news of Moodys maintained Pakistans credit rating at B3 came in. Therefore, fresh buying was witnessed especially in the banking and oil and gas sector stocks by the Wednesday last. From midweek to the weekend the market maintained positive thrust. Local as well as foreign investors were witnessed buying stocks in financial and energy sectors. On Wednesday last, when the market took a U-turn, Karachi Stock Exchanges KSE-100 Index bagged two thirds of a percentile. On Thursday last it surged a little over a percentile. Though it failed to maintain the gaining momentum still the market closed bagging a third of a percentile on the last session of the week that was. Pundits were of the view that the much-awaited consensus on the 7th NFC Award would improve sentiment of trade on bourses. The gradual improvement in economic indicators as acknowledged by the Moodys analysis, would attract fresh buying during the days to come. However, they pointed out that the law and order situation across the country would remain a source of concern for the investors. Although the NFC Award finalisation has proven to be a good news in the political scenario after a long time, the pending political issues particularly the constitutional reforms and cabinet reshuffle vis-a-vis the NRO case in the apex court were still there as potential deterrents for the investors. Therefore, analysts were of the view that the market would remain without a direction till the final decision of the Supreme Court of Pakistan on the NRO. They believe that the possible changes in the cabinet after the decision of the apex court on NRO might impact the sentiment of trade on bourses.