Morning Market Brief 9th jul. 2021

Technical Overview

The Benchmark KSE100 index have give bullish breakout of its descending price channel on hourly chart during last trading session but it's recommended to stay cautious because being last trading day of the week today's closing matters a lot and a profit taking session could be witnessed from small to medium investors. Meanwhile today's closing below 48,350pts would push index again into an uncertain zone because if index would not succeed in closing above this region then it would be considered that index still have not succeeded in closing above its major resistant region and some kind of serious selling pressure could be witnessed in coming days, meanwhile hourly momentum indicators have reached overbought region therefore it's expected that index would face a serious resistance at 48,350pts which would be followed by 48,500pts and 48,760pts. While on flip side if index would not succeed in giving breakout above 48,350pts-48,500pts then it may start sliding below 48,000pts and closing below 47,730pts push it again in same bearish price channel and current bullish breakout would be considered as a false penetration or cheat pattern. It's recommended to post trailing stop loss on existing long positions as rejection from resistant regions this time would push index for a deeper correction. For long positions it's recommended to wait for today's closing above 48,350pts.

Regional Markets

EXCLUSIVE U.S. set to add more Chinese companies to blacklist over Xinjiang

The Biden administration is set as early as Friday to add at least 10 more Chinese companies and other entities to its economic blacklist over alleged human rights abuses and high-tech surveillance in Xinjiang, two sources told Reuters.The U.S. Commerce Department action will follow its announcement last month adding five other Chinese entities to the blacklist over forced labor allegations in Xinjiang.The new additions to Commerce Department's Entity List are part of the Biden administration's ongoing efforts to hold China accountable for human rights violations, the sources said.Read More...

Business News

Pakistan has second-largest reserves of salt but exports very low

A meeting was convened by Advisor to Prime Minister on Commerce and Investment Abdul Razak Dawood to discuss issues related to salt industry and export enhancement plans. The meeting was attended by All Pakistan Salt Association (APSA) and senior officers of the ministry of commerce.During his presentation the president APSA informed the house that though Pakistan has second largest reserve of salts in the world, but the exports from Pakistan are ranked very low. He was also of the view that due to primitive methods of mining the wastage percentage is very high.While discussing the role of the government, he shared the industry’s views that due to neglect, the chemical industry related to salt could not grow.Read More...

Bajwa asks Singapore investors to set up industries in CPEC SEZs

Chairman of China Pakistan Economic Corridor (CPEC) Authority Lt Gen (r) Asim Saleem Bajwa Thursday called upon the investors from Singapore to tap the huge potential in the newly established special economic zones (SEZs) under the CPEC.“I invite you to come in here for the win-win opportunity as we have a huge young human resource and cheaper labour force,” he said while addressing as a keynote speaker at a webinar on Investment Opportunities in CPEC related SEZs. The event was jointly organized by the Pakistan High Commission and the Embassy of China in Singapore.Bajwa said, “We are hungry for industrialisation and development therefore Singapore investors could benefit from our potential,” he added.Read More...

Afghan transit trade pact extended for six months

Pakistan and Afghanistan on Thursday extended the ‘Afghanistan-Pakistan Transit Trade Agreement (APTTA) 2010’ for six months beyond May 11, 2021.The extension was essential to facilitate uninterrupted flow of transit trade between the two countries and to provide sufficient time to technical teams to conclude negotiations on the new APTTA-2021, according to the Ministry of Commerce.The 2010 agreement superseded the Afghanistan Transit Trade Agreement that was signed in 1965. The 1965 agreement granted Afghanistan the right to import duty-free goods through Pakistani seaports.Read More...

Railways mulls end of contract with Pakistan State Oil

The Pakistan Railways (PR) is considering a proposal seeking termination of service contract with its oil supplier— the state-owned Pakistan State Oil (PSO)—and joining hands with any private sector oil marketing company (OMC) for better services in future.Keeping in view recommendations of a third party forensic audit, the Railways has also decided to modernise its all 14 fuel storage sites including their maintenance in collaboration with the OMC pledging for the provision of best services in this regard, Dawn has learnt.Read More...