Morning Market Brief 24th Jun 2022

Technical Overview

The Benchmark KSE100 index had faced rejection from a horizontal resistant region during last trading session and bounced back in downward direction after an intraday spike. As of now it's expected that index would open with a positive gap and would try to target its resistant region again which falls at 42,830pts and breakout above this region would call for 43,015pts and 43,200pts. Overall sentiment would remain bullish because hourly and daily momentum indicators are still in bullish mode and these would try to push index towards 43,500pts in coming days where it would face strong resistance. While on flip side in case of bearish pressure index would try to establish ground above 42,086pts where a horizontal supportive region would try to pump in some fresh volumes. For short term trading it's recommended to start buying on dip with strict stop loss.

Stocks up as commodity slide offers a salve for inflation fears

Stocks and bonds were both headed for their first weekly gain in a month on Friday as investors wagered on central banks bringing inflation to heel, though growth fears dragged on commodities.Copper, a bellwether for economic output with its wide range of industrial and construction uses, slid 3% in Shanghai and is down more than 7% for the week - its sharpest weekly fall since the pandemic-driven financial markets meltdown in March 2020.Oil also fell overnight, and Brent crude futures are down 2% on the week to $110.62 a barrel, while benchmark grain prices sank with Chicago wheat off nearly 9% for the week and at its lowest since March at $9.42 a bushel.The price falls have made for some relief in equities since energy and food have been the drivers of inflation. After some heavy recent losses, MSCI's World equities index is up 2% on the week.MSCI's broadest index of Asia-Pacific shares outside Japan rose 1% on Friday, flattered by short sellers bailing out of Alibaba which rose 5% - amid hints that China's technology crackdown is abating.Read More...

Business News

Pakistan fails to attract bidder for three LNG slots

Amid widespread electricity shortages, Pakistan failed to find a bidder for three LNG slots and received the highest-ever rate for another slot for the last week of July as European customers lap up spot market quantities to compensate for Russian supply disruption.State-run Pakistan LNG Ltd (PLL) floated a tender on June 16 for four cargos — one each in the first and second weeks, and two in the last week, of July. No bidder came up for July 2-3, July 8-9 and July 25-26 delivery windows.This was the third futile attempt by PLL to have an LNG cargo in the first week of July. The earlier two tenders issued on May 31 and June 7 attracted two and one bidder, respectively, but none was technically responsive. Hence, the bids were returned unopened.Read More...

KE seeks massive Rs11.34 hike in monthly fuel cost adjustment

A group of leading Saudi and Kuwaiti investors of K-Electric Ltd had a busy day on Thursday lobbying with top government functionaries to end the impasse over hundreds of billions of rupees worth of unsettled claims and counter claims as the Karachi-based power utility sought an unprecedented Rs11.34 per unit increase in its monthly fuel cost adjustment.The non-settlement of financial claims on K-Electric by the government-owned electricity and fuel suppliers and vice versa has been hampering the transfer of the troubled private power utility to Shanghai Electric of China, which reached a deal with K-Electric’s majority shareholders in 2016 to buy over 66 per cent of its shares for $1.77 billion. The KE delegation met Prime Minister Shehbaz Sharif and his ministers besides the chairman of the power sector regulator and other influential stakeholders.Read More...

Supplementary Budget Lands Under Scrutiny In Punjab PA

The treasury members who participated in the debate on supplementary budget have demanded inquiry into the supplementary grants spent by the previous government.he assembly session at Aiwan-e-Iqbal began with a delay of one hour and 55 minutes under the chairmanship of Panel of Chairman Khalil Tahir Sindhu on Thursday.As per the tradition, the panel chairman invited the leader of the opposition, Sibtain Khan to start the debate but he was not present in the House.aking part in the debate, Azma Zahid Bokhari said the supplementary budget must be passed even though the incumbent government spent very little out of it. “We have no idea where Usman Bazdar and his government have utilized this money but we have to pass it under compulsion,” she averred. She said Buzdar did not even push for the NFC award money from Imran Khan.Read More...

20 Outlaws Arrested, Arms, Over 3kg Charas Recovered

Peshawar Police have arrested 19 outlaws and also recovered arms from their possession in several raids on Thursday.olice official Muhammad Ilyas said that on tip-offs, the cops conducted raids in Pishtakhara, Agha Mir Jani Shah, Paharipura, Faqeerabad, Tehkar and other localities and arrested 19 outlaws wanted by the police in various cases.he cops also recovered 19 pistols during the raids.n another raid, the cops seized more than 3kg charas and also arrested a drug trafficker in Daudzai area of Peshawar. An official said that the accused was arrested after the cops while impersonating buyers did a deal for charas with him.Read More...