Morning Market Brief 8th Jan. 2021

The Benchmark KSE100 index have completed expansion of previous triangle's breakout on daily chart inside its bullish price channel on daily chart and right now it's being capped by a resistant trend line on daily and weekly chart at 45,250pts, being last trading day of the week today's closing is very important because if index would not succeed in maintaining above this region then it would face some serious selling pressure in coming week. For current trading session index would try to target 45,650pts initially while breakout above that region would call for 46,050pts in coming days. It's recommended to post trailing stop loss on existing long positions because in case of rejection from its resistant regions index could slide towards 45,050pts or 44,825pts. Overall sentiment would remain bullish until index would not succeed in sliding below 44,500pts on daily chart. Overall sentiment is bullish and index would try to target 45,650pts initially during current trading session where it's being capped by a strong horizontal resistant region along with resistant trend line of its rising wedge on hourly chart and if it would succeed in closing above this region on hourly chart then its next target would be 46,050pts. While on flip side in case of reversal index would try to establish ground above 45,049pts where it's being supported by a strong horizontal supportive region but breakout below that region would push index towards 44,850pts where a rising trend line would try to support index and bulls would pump in fresh volumes.

Asian stocks opened higher on Friday, with Japan hitting a three-decade high as investors looked beyond rising coronavirus cases and political unrest in the United States and bet on an economic recovery later in the year.Futures for the S&P 500 jumped 1.48% and Japan’s Nikkei 225 rose 0.84%, hitting its highest level since August 1990. The broadly upbeat mood came after Wall Street hit record highs on Thursday while bond prices fell as markets bet a new Democrat-controlled government would lead to heavy spending and borrowing to support the U.S. economic recovery. “We’re sure to see a synchronised global recovery in the second half of this year,” said ING analyst Carsten Brzeski.Read More...

Pakistan’s 20.76 million workforce suffered livelihood losses due to coronavirus-related lockdowns and a large majority of them got back to work after July 2020, an official survey reveals. The Planning Commission on Thursday said the country’s 35 per cent (about 55.74m) population of 10 years and older was working before the onset of Covid-19, but due to closure of activities after implementation of lockdowns, this declined to 22pc (about 35.04m people). “This means almost 20.76m population was affected,” the commission said, citing the survey conducted by the Pakistan Bureau of Statistics (PBS). A review meeting presided over by Minister for Planning and Development Asad Umar expres­sed satisfaction that “after July the recovery process started and 33pc of population reported working after April-July 2020”. This means approximately 52.56m people started working again — almost a V-shaped recovery.Read More...

The Oil and Gas Regulatory Authority (OGRA) has issued a licence to K-Electric’s for construction and operation of gas pipeline for the supply of Re-gasified Liquefied Natural Gas (RLNG) for the upcoming 900 MW BQPS-III power plant and supplementing fuel requirement of the power plants located at its Bin Qasim Power Complex. OGRA grants a Licence to K-Electric Limited to undertake regulated activity related to construction and operation of 14-inch diameter x 2.4-kilometre Natural Gas Pipeline along with ancillary/connected facilities for purpose of transmission of Natural Gas/RLNG from Tie-in Point, SSGC Custody Transfer Station located at Bin Qasim to KE Bin Qasim Power Complex.Read More...

The Pakistan Readymade Garments Manufacturers and Exporters Association has endorsed the demand of PM Adviser on Commerce Abdul Razak Dawood to seek zero-rating regime for whole textile chain in the Textile and Apparel Policy 2020-25. PRGMEA said the apparel sector is eagerly waiting for the approval of it from the ECC to make future marketing plan in the light of new policy. PRGMEA central chairman Sohail A. Sheikh and chief coordinator Ijaz Khokhar, in a joint statement issued here, observed that restoration of zero-rating status of the textile sector is vital to maintain the momentum of present enhanced exports, as currently the sector is working at full capacity to meet the high demand of export orders. “It is absolutely essential to sustain this momentum, as economic activities are largely restored to pre-Covid levels in the first quarter of current fiscal year 2020-21, PRGMEA central chairman added.Read More...

Pakistan’s exports of goods and services to United State of America (USA) has witnessed an increase of 6.36 per cent during the first five months of the financial year (2020-21) compared to the corresponding period of last year, State Bank of Pakistan (SBP) reported. The overall exports to the USA were recorded at $1855.564 million during July-November (2020-21) against exports of $1744.463 million during July-November (2019-20), showing the growth of 6.36 per cent, SBP data revealed. Meanwhile, on a year-to-year basis, the exports to the USA during November 2020 also increased by 24.86 per cent, from $315.938 million against the exports of $394.01 million. On a month-on-month basis, the exports of the USA, however, decreased by 4.55 per cent during November 2020 when compared to the exports of $413.314 million in October 2020, the SBP data revealed.Read More...