Morning Market Brief 13th jul. 2021

Technical Overview

The Benchmark KSE100 index had continued its bearish journey towards 61.8% correction of its last bullish pull back during last trading session inside a bullish price channel on hourly chart. As of now hourly momentum indicators are ready for a pullback but daily indicators have generated bearish crossovers therefore it's recommended to stay cautious and post trailing stop loss on existing long positions. Meanwhile it's being caged inside a daily triangle and right now it's standing at supportive trend line of that triangle. Currently it's expected that index would try to establish ground above 47,330pts-47,200pts region but breakout below this region would call for 46,900pts. While on flip side in case of reversal index would call for 47,700pts initially and breakout above this region would call for 47,900pts and 48,065pts. Today's closing matters a lot as index would try to set its trend if it would gave a breakout in either side.

Regional Markets

EXCLUSIVE FAA says new Boeing production problem found in undelivered 787 Dreamliners

The Federal Aviation Administration said late on Monday that some undelivered Boeing 787 Dreamliners have a new manufacturing quality issue that the manufacturer will fix before the planes will be delivered.The FAA said the issue is "near the nose on certain 787 Dreamliners in the company’s inventory of undelivered airplanes. This issue was discovered as part of the ongoing system-wide inspection of Boeing’s 787 shimming processes required by the FAA."The FAA added that "based on data, the FAA will determine whether similar modifications should be made on 787s already in commercial service.Read More...

Business News

Govt to procure another 100,000 tonnes of sugar for strategic reserves

Finance Minister Shaukat Fayyaz Ahmed Tarin on Monday directed to procure another 100,000 tonnes of sugar in due course of time to ensure strategic reserves of key commodities for price stability.Ministry of Industries and Production Secretary has updated the National Price Monitoring Committee (NPMC) that arrangements have been made to import one lac tonnes of sugar by 15th August 2021. However, finance minister has directed to procure another 100,000 tonnes of sugar in due course of time to ensure strategic reserves of key commodities for price stability. The Secretary Industries and Production further apprised that sufficient reserves of sugar will be available till the arrival of the new sugarcane crop.Read More...

Tarin reviews progress on broadening of tax base, POS system by FBR

Federal Minister for Finance and Revenue, Shaukat Fayyaz Ahmed Tarin, chaired a steering committee meeting to review progress on broadening of tax base and integration of retailers into Point of Sales (POS) system by FBR.In the beginning, Member (IT), FBR briefed the participants about operational Terms of Reference (TORs) for integration of retailers into the POS system. The TORs have been formulated in consultation with key stakeholders including representatives from the private sector to have a proper system of check and balance in place, he added. While reviewing the progress of the Steering Committee, the finance minister stated that limited tax base is one of the key challenges and the government is firmly committed to expand the tax base to enhance revenues exponentially.Read More...

Pakistan, China likely to sign framework agreement for Industrial Cooperation

China and Pakistan are expected to sign a framework agreement for Industrial Cooperation during the 10th Joint Cooperation Committee meeting on China-Pakistan Economic Corridor, scheduled to be held via video-link this month.Both countries have already signed MOU on industrial cooperation and now in the upcoming meeting of JCC, it is likely to be taken to next level, China Economic Net reported on Monday.JCC is the highest decision-making body of CPEC, which is co-chaired by Pakistan’s Minister for Planning, Development & Special Initiatives and chairman of China’s National Development and Reforms Commission.Read More...

Azeri firm’s LNG offer ignored because of being expensive: govt

The petroleum division on Monday said it did not avail the offer of Azerbaijan’s state-run company for import of liquefied natural gas on credit because its price was ‘substantially expensive’ besides other challenges.“Socar’s proposal was substantially higher than recent LNG agreement with Qatar Petroleum and spot LNG cargoes purchased through tenders,” the petroleum division said in a statement.Pakistan’s ambassador in Baku Bilal Hayee had last week written back-to-back letters to the government saying the Chief Operating Officer of Socar had contacted him and expressed frustration on the prolonged silence and lack of response from the petroleum division over its offer of two separate credit lines of $120m for LNG and $100m for petroleum products for 60 days.Read More...