Morning Market Brief 16th Nov . 2021

Technical Overview

The Benchmark KSE100 index had witnessed a volatile trading session yesterday and remain range bound. As of now it's expected that index would try to establish ground above 45,450pts where its being supported by a strong horizontal supportive region along with 50% correction of its last bullish rally therefore it needs to stay cautious because if index would not succeed in maintaining above this region then it may try to target 45,200pts and breakout below 45,200pts would call for 44,760pts. On flip side in case of reversal it would face initial resistance at 45,900pts which would be followed by 46,030pts and 46,200pts. Overall index would remain under pressure as long as its trading below 45,900pts. Currently hourly and daily momentum indicators are in bearish mode and meanwhile weekly bearish engulfing pattern still have its impact intact therefore it's recommended to stay on selling side with strict stop loss of 46,200pts.

Asian shares tick up on China property relief

Asian shares were mostly higher on Tuesday, as relief in China's property sector supported sentiment while investors also kept a close eye on a key meeting between U.S. President Joe Biden and Chinese leader Xi Jinping. Biden and Xi Jinping opened their closely-watched talks warmly, with both leaders stressing their responsibility to the rest of the world to avoid conflict.Read More...

Business News

Petroleum imports almost double in July-October

Pakistan’s oil and eatable import bill recorded a sharp increase in the first four months (July-October) of 2021-22 from a year ago owing to rising prices on the international market and massive depreciation of the rupee. The total import bill inched up by 65.4pc to $25.1 billion in 4MFY22 as against $15.17bn in the corresponding period of last year. The steady increase in import bill of these two sectors are triggering trade deficit and pose a threat to cause pressures on the external side of the government. As a result, unprecedented increase in prices was seen for domestic users.Read More...

ECC okays Rs182bn grants, with major chunk for IPPs

Amid heating up of political climate, the government on Monday approved Rs10 billion supplementary grants for Sustainable Development Goals Achievement Programme (SAP) for utilisation on the recommendations of ruling party parliamentarians. A formal decision to this effect was taken by the Economic Coordination Committee (ECC) of the Cabinet, which also approved about Rs182bn worth of six other supplementary grants, including Rs135bn to independent power producers (IPPs).Read More...

Pakistan, Australia agree to relax trade rules

Pakistan and Australia on Monday agreed to review and work towards relaxing trade regulations for importing and exporting fruits and agricultural products. This was decided during a meeting between Minister for National Food Security and Research Syed Fakhar Imam and Australian Trade Commissioner in Pakistan John Cavanaghon in Islamabad. Speaking on the occasion, Mr Imam said Pakistan has limited exports to Australia in terms of mangoes and citrus fruits due to strict regulations of the National Plant Protection Organisation of Australia. The export of mangoes to Australia has increased from two tonnes in 2013 to 75 tonnes in 2021, however with little focus, the level of this export can be enhanced manifold, he added.Read More...

Rupee recovers 43 paisas against dollar

The exchange rate of the Pakistani rupee strengthened by 43 paisas against the US dollar in the interbank trading on Monday and closed at Rs175.29 as compared to the previous day’s closing of Rs175.72. According to the Forex Association of Pakistan (FAP), the buying and selling rates of dollars in the open market were recorded at Rs 176 and Rs 177.5 respectively. Similarly, the price of the euro appreciated by Rs 1.54 and closed at Rs 200.76 against the last day’s trading of Rs 201.24, the State Bank of Pakistan reported. The Japanese Yen remained unchanged to close at Rs 1.53, whereas an increase of 2 paisas was witnessed in the exchange rate of the British Pound, which was traded at Rs 235.22 as compared to its last closing of Rs 235.20. The exchange rates of Emirates Dirham and Saudi Riyal decreased by 12 paisas each to close at Rs 47.72 and Rs 46.73 respectively.Read More...