PSX Daily Market Review 02 March 2017

The Bench Mark KSE100 Index Opened at 48627.90, posted a day high of 4905.51 and a day low of 48627.10 during last trading session whereas session suspended at 48992.16 with net change of 457.93 points and net trading volume of 95.76 million shares. Daily trading volume of KSE100 listed companies increased by 8.04 million shares or 9.16%, DoD basis.

Asian shares rose on Thursday as investors were encouraged by President Donald Trump measured tone in his first speech to Congress, which sent Wall Street stocks sharply higher, while growing bets on a U.S. rate hike this month buoyed the dollar. MSCI broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS rose 0.2 percent, led by rebound in Australian shares . Japanese Nikkei .N225 rose 1.3 percent to a 14-month high. MSCI broadest gauge of the world stocks covering 46 countries .MIWD00000PUS rose nearly 1 percent to a record high, after posting its biggest daily gain in almost three months. On Wall Street, the Dow Jones Industrial Average .DJI blasted through the 21,000-point mark for the first time. Both the Dow and the S&P 500 .SPX rallied around 1.4 percent.
Finance Minister Senator Ishaq Dar has said that next budget would be finalized by keeping in view the primary aim of achieving higher, sustainable and inclusive economic growth. The minister said that the Pakistan Muslim League-N government would accord top priority to the well-being of the people in the budget for FY 2017-18. He further said that the budget would also focus on specific measures for further improving ease of doing business and increasing financial inclusion in the country.
Exporters of Leather in Punjab, especially in Lahore and Multan, are facing the worst-ever crisis due to complete stoppage of cheques of duty drawback claims. Pakistan Tanners’ Association Northern Zone Chairman Azam Malik said that exporters of Lahore and Multan are badly hit by liquidity crisis which is worsening due to held up of their funds in duty drawback refunds. Respective collectorates are unable to release pending cheques against sanctioned claims of duty drawback. “It is irony of fact that in the chase of unrealistic revenue targets the duty drawback claims of exporters are being held up in the system”, Malik said. The PTA (North) chairman said that association has numerous meetings with the collectors concerned but of no use. Their chase of un-realistic revenue targets disabling them to release duty drawback claims for which no authority in Federal Board of Revenue (FBR) is holding them responsible.
Pakistan has taken $4.6 billion fresh foreign loans in last seven months for meeting its budget financing and maintaining its foreign exchange reserves. The country has received loans of $4.6 billion as foreign economic assistance from multilateral and bilateral sources during seven months (July-January) of the ongoing financial year. The loans received is 57 percent of the annual economic assistance of $8 billion that the government has projected to receive during the current fiscal year 2016-17. Pakistan had obtained $440.9 million loan in January that included $300 million from the commercial banks. Due to the massive borrowing, Pakistan total external debt and liabilities ballooned to $74.6 billion. The break-up shows that the external debt rose to $58.7 billion. The total public debt stood at Rs20.6 trillion by the end of Sept 2016, an increase of Rs3.15 trillion since June 2015.
Oil prices rose on Wednesday as investors took heart from strict Organization of the Petroleum Exporting Countries (Opec) compliance with its pledge to cut output, although evidence of increasing United States (US) production capped gains. The Opec reduced its oil output for a second month in February, a Reuters survey found, showing the exporter group has boosted already strong compliance to around 94 per cent. Heftier cuts by Saudi Arabia and Angola helped offset weaker compliance by other members that agreed to limit their output. May Brent crude futures gained 35 cents to trade at $56.86 a barrel by 1505 GMT, while US West Texas Intermediate (WTI) futures for April delivery traded 28 cents higher on the day at $54.29.

ATRL ,NML , PKGS , TRG and PSO can lead the market in the positive direction.

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