Morning Market Brief 30th Aug . 2021

Technical Overview

The Benchmark KSE100 index had found support at a descending trend line which is reacting as a strong support since long and once again it had tried to push index back into bullish zone. As of now it's expected that index would try to recover on intraday basis because a piercing line formation have take place on hourly chart at day end during last trading session, meanwhile hourly momentum indicators have created bullish crossovers therefore buying for day trading could be beneficial. For current trading session index may try to target 47,370pts initially where it would face resistance from a horizontal resistant region and breakout above this region would call for 47,550pts and 47,700pts. While on flip side in case of bearish pressure index would try to establish ground above 46,900pts where it would try to establish double bottom but breakout below this region would push index into bearish zone for short term basis and initially next target would be 46,600pts.

Regional Markets

Asian shares rise on dovish Fed chair, oil up as hurricane batters Louisiana

Asian shares started the week with gains and the dollar was not far off two-week lows after U.S. Federal Reserve Chairman Jerome Powell struck a more dovish tone than some investors expected in long-awaited speech on Friday. Oil prices rose, meanwhile, after energy firms suspended production as Hurricane Ida slammed into the U.S.' southern coast. Japan's Nikkei rose 0.9% soon after the bell, and MSCI's broadest index of Asia-Pacific shares outside Japan gained 0.32% in early trading before Chinese markets had opened. Australia climbed 0.39% and Korea's Kopsi gained 0.54%.Read More...

Business News

PSO spot purchases prices of LNG much higher than PLL

The Liquefied Natural Gas (LNG) cargoes procured by Pakistan State Oil (PSO) during 2021 under spot purchases were more expensive than the purchases of Pakistan LNG limited(PLL) during the year. The high price of spot purchases by PSO is being attributed to mismanagement that had caused delay in tendering process by the company, official source told The Nation .Both PSO and PLL are state owned entities but the prices of spot purchases of previous is comparatively higher than the later. In total in 2021, (from Jan to August) PSO had purchased three LNG cargoes from spot market and made expensive purchases as compare to PLL.Read More...

Pakistan earns $2,123m from IT services’ export during FY 2020-21

Pakistan earned $2,123.035 million by providing different information technology (IT) services in various countries during the fiscal year 2020-21. This shows growth of 47.44 percent when compared to $1,439.970 million earned through provision of services during the corresponding period of fiscal year 2019-20, Pakistan Bureau of Statistics (PBS) reported. During the period under review, the computer services grew by 50.32 percent as it surged from $1,108.690 million last fiscal year to $1,666.615 million during July-June (2020-21). Among the computer services, the exports of software consultancy services witnessed increase of 35.50 percent, from $408.974 million to $554.180 million while the export and import of computer software related services also rose by 30.88 percent, from $318.937 million to $417.415 million.Read More...

Pak, Afghan have up to $10b bilateral trade potential

South Asian Association for Regional Cooperation-Chamber of Commerce and Industry (SAARC-CCI) President Iftikhar Ali Malik said on Sunday that Pak-Afghan bilateral trade has a vast potential of US $8 billion to $10 billion annually, which can be achieved easily. Talking to a delegation of exporters led by Ms Ayesha Shafique in his office, he added that Pak-Afghan trade could further be enhanced if the hurdles in smooth flow of trade were removed by either sides with mutual consultations. Malik lamented that past Afghanistan government had been ignoring Pakistan without having any solid reason and was inclined towards India.Read More...

Pakistan Pavilion launched in Urumqi to showcase Made-in-Pakistan products in China

A “VR Pakistan National Pavilion” was launched at the ongoing 2021 Online (China) Eurasia Commodity and Trade Expo (EACT EXPO 2021) to showcase Made-in-Pakistan products to the globe especially China during the COVID-19 pandemic. According to its operator UNI International Business Consultancy Co Ltd, the VR pavilion is a permanent online pavilion which includes three theme areas, namely, the 70th Anniversary of the establishment of diplomatic relations between China and Pakistan, for cooperation between China And Pakistan, and for Pakistani specialty. “This national pavilion is connected with many e-commerce platforms and an offline national pavilion,” explained Badar Zaman, Commercial Counsellor of Embassy of Pakistan in Beijing.Read More...