The KSE-100 index extended its gains on Friday from the previous session and added 450 points by the close of trade.The bourse soared past 38,400 points with partial recovery in stocks from the hefty decline in the past few sessions due to tensions on the political front and lack of clarity on how to tackle economic challenges.Earlier, the trading began on a positive note, but selling pressure soon gripped the market, which resulted in a fall of 210 points in the index.The first half of the trading session was marked by a lacklustre activity and dull trading. However, in the second half, the index exhibited an exceptional recovery, backed by positive investor sentiments. It erased all the losses of the first half.Index-heavy stocks from automobile, chemical and cement sectors closed in the black. Exploration and production stocks, however, succumbed to the selling pressure and the entire sector closed in the red.At the end of trading, the benchmark KSE 100-share Index recorded an increase of 448.02 points or 1.18% to settle at 38,430.27.A report of Arif Habib Limited stated that the market performed well and made good progress after losing 222 points. It ended the day with a gain of 485 points."The stocks topping the chart in the first session include small and mid-caps like Lotte Chemical, Engro Polymer, Nimir Resins and Pak Elektron," said the report."However, the second session saw positive moves in blue chips like DG Khan Cement, Lucky Cement and Meezan Bank along with other cement, banking and steel stocks."The chemical sector recorded the highest trading volume with Lotte Chemical, Engro Polymer and Nimir Resins being top three volume leaders and all of them traded at their upper price limits.Investors were either cautious in the beginning or resisted the temptation to pick stocks at the weekend. Positive result from Lotte Chemical and ensuing trading activity gave confidence to investors.However, Engro result failed to impress the investors and its stock fell Rs4.5, the report added.Overall, trading volumes increased to 231.2 million shares compared with Thursday's tally of 223.4 million. The value of shares traded during the day was Rs7.6 billion.Shares of 388 companies were traded. At the end of the day, 309 stocks closed higher, 61 declined and 18 remained unchanged.Lotte Chemical was the volume leader with 20.7 million shares, gaining one rupee to close at Rs16.22. It was followed by Engro Polymer with 13.1 million shares, gaining Rs1.46 to close at Rs33.22 and Nimir Resins with 12.4 million shares, gaining one rupee to close at Rs8.99.Foreign institutional investors were net sellers of Rs673.3 million worth of shares during the trading session, according to data compiled by the National Clearing Company of Pakistan.