Morning Market Brief 1st Jun 2022

Technical Overview

The Benchmark KSE100 index is continues facing rejection from its resistant regions since last three trading session but momentum is still positive as index is maintaining above its major supportive region of 42,760pts. For current trading session it's expected that index would show some volatility and initially would take a dip towards 42,800pts but later on recovery would be witnessed and index would try to bounce back towards 43,260pts if it would succeed in maintaining above 42,800pts on hourly chart, while breakout below this region would call for 42,490pts. Daily momentum indicators are exhausting and it's expected that index may take a correction on intraday basis therefore buying on dip would be beneficial with strict stop loss. On bullish side index would start a new rally once it would succeed in closing above 43,500pts on daily chart.

Asia's factory activity slows in May as China COVID curbs weigh

Asia's factory activity slowed in May as China's heavy-handed coronavirus curbs continued to disrupt supply chains and dampen demand, adding to woes for some of the region's economies that are already under strain from surging raw material costs.Manufacturers slowed activity last month in countries ranging from Japan to Taiwan and Malaysia, business surveys showed on Wednesday, a sign of the challenge policymakers face in combatting inflation with tighter monetary policy - without crippling growth.China's Caixin/Markit Manufacturing Purchasing Managers' Index stood at 48.1 in May, improving slightly from 46.0 the previous month but staying below the 50-point threshold that separates contraction from expansion, a private survey showed.Read More...

Business News

Overseas Pakistani Commission Punjab, Hexagon Developments Sign MoU

Overseas Pakistani Commission, Government of Punjab and Hexagon Developments have signed an MoU for facilitation in bringing investment into Lahore and Punjab.The agreement was signed by Syed Khadim Abbas, Commissioner Overseas Pakistani Commission Punjab, and Mayer Schon Husain, Executive Director of Hexagon Developments Limited, in the presence of government officials. Hexagon Developments is a leading property developer in Pakistan focusing on Social Impact through Property Development (SIPD). Being one of the first development companies in Pakistan to focus on social impact as a goal, Hexagon Developments is a debt-free enterprise with real estate holdings across the world. The company plans to announce completion of a luxury office building in central area of Lahore in the Governors House District, located next to the Pakistan Stock Exchange.Read More...

Women For Board Allies’ Programme Organised In Karachi

Corporate boards across the world have traditionally been male dominated. A growing body of international research shows that the presence of women on boards and in business leadership positions can have positive effects on the sustainability of organizations. To celebrate and encourage diversity in the corporate landscape of Pakistan, Diversity Hub-HR Metrics along with Hashoo Foundation and other corporate partners organised “Women for Board Allies” programme at a local hotel the other day where a strategic dialogue on “Building Inclusive Boards for Sustainable Outcomes” was facilitated.This discussion was aimed to accelerate identification of top governance strategies to create a positive, sustainable environment for women leaders. Smart economics and financial sustainability demands for an increased participation and inclusion of women leaders across the corporate sectors.Read More...

Electricity consumers to pay Rs51bn more in June bills

While grilling the power companies for extensive loadshedding and non-utilisation of efficient plants, the National Electric Power Regulatory Authority (Nepra) on Tuesday finalised Rs3.99 per unit additional fuel cost adjustment (FCA) for ex-Wapda distribution companies (Discos) with a financial burden of Rs51 billion during the current billing month.Separately, the Oil & Gas Regulatory Authority (Ogra) on Tuesday reduced the consumer price for Liquefied Petroleum Gas (LPG) by 5.6pc to Rs2,581.35 per 11-kg cylinder for June.The additional FCA was finalised by the regulator at a public hearing presided over by Nepra chairman Tauseef H. Farooqui against a demand of Rs4.0554 per unit additional fuel cost from consumers on electricity consumed in April.Read More...

Govt shocks consumers with Rs213 per litre hike in cooking oil prices

The government on Tuesday shocked consumers by pushing up ghee and cooking oil rates by an unprecedented Rs208 and Rs213 to an all-time high of Rs555 per kg and Rs605 per litre, respectively, even though “these rates still do not exist in the retail markets.An official in the Utility Stores Corporation (USC) in Karachi confirmed to Dawn that the USC had issued a notification of this whooping jump in ghee and cooking oil rates effective June 1.The official, however, did not comment as to why the rates had been jacked up so mercilessly which would hit the consumers badly.The maximum rate of ghee and cooking of renowned brands in the retail markets still hovers between Rs540-560 per kg/litre.Read More...