PSX Daily Market Review - 12th March 2019

Trading volume at PSX floor dropped by 6.24 million shares or 8.44% on DoD basis, whereas the benchmark KSE100 index opened at 39,012.48, posted a day high of 39,146.44 and a day low of 38,875.82 points during last trading session while session suspended at 38,924.11 with net change of -26.12 points and net trading volume of 50.34 million shares. Daily trading volume of KSE100 listed companies increased by 4.22 million shares or 9.16% on DoD basis.
Foreign Investors remained in net selling positions of 59.92 million shares and net value of Foreign Inflow dropped by 7.31 million US Dollars. Categorically, Foreign Corporate remained in net selling positions of 63.62 million shares and Overseas Pakistani Investors remained in net buying positions of 3.68 million shares respectively. While on the other side Local Individuals, Companies, Banks and Insurance Companies remained in ne buying positions of 55.25, 3.40, 2.09 and 3.76 million shares respectively but NBFCs, Mutual Fund and Brokers remained in net selling positions of 0.11, 2.26 and 1.75 million shares.

Pound jumps, Asian shares rise after changes to Brexit deal
The pound jumped on Tuesday and Asian shares rose after the European Commission agreed to changes in a Brexit deal ahead of a vote in the British parliament on a divorce agreement. European Commission head Jean-Claude Juncker agreed to additional assurances in an updated Brexit deal with British Prime Minister Theresa May on Monday, but warned UK lawmakers would not get a third chance to endorse it. Sterling, which had risen ahead of the talks between May and Juncker, extended gains in hopes the changes may be enough to sway rebellious British lawmakers who have threatened to vote down May’s plan again on Tuesday.
Turkey offers help to boost SMEs
Ambassador of Turkey in Pakistan Ihsan Mustafa Yurdakul has assured Turkey’s full cooperation and technical assistance to boost SMEs of Sialkot which would be helpful in flourishing the export industries of Sialkot. He stressed the need of strong business-to-business (b2B) contacts between the businessmen of Sialkot-Pakistan and Istanbul-Turkey as well. He said that Turkey was ready to provide easy access to Sialkot-Pakistan exporters to European and Central Asian countries through Istanbul-Turkey, besides, removing all the hurdles, as the Istanbul-Turkey could be a gateway for Sialkot-Pakistan, in this regard. He stated this while talking to the Sialkot’s leading exporters during his visit to Sialkot international airport here. Chairman SIAL Nadeem Anwar Qureshi presided over the meeting here.
Japan provides $189,421 for 3 projects
The Government of Japan has extended financial support of $189,421 for three development projects for local communities in Pakistan. The projects will be implemented by three development organizations: Al-Haseeb Public Girls Elementary School, Milestone Society for the Special Persons and Frontier Organization for Reforms & Transformation.
Govt implements Benami Act
The government on Monday implemented the much awaited Benami Act – in line with its efforts to document the economy – allowing tax officials to confiscate whole properties, expensive vehicles and bank accounts registered with fictitious individuals. The confiscation will involve all kinds of immovable and movable assets registered with fictitious individuals in order to avoid taxes. The implementation of the law will now come into effect after a delay of more than two years. The term ‘benami’ refers to the practice of holding property/assets in the name of one person for the benefit of another. However, benami is often aimed at concealing ownership of assets acquired through illegal means, defrauding creditors, and/or evading payments of government fees, charges or taxes.
PM approves CPEC-style security force, incentives to spur investment in petroleum exploration
Prime Minister Imran Khan on Monday gave a go-ahead for the creation of a dedicated security force for petroleum exploration on the pattern of China-Pakistan Economic Corridor (CPEC) security arrangement in order to offer lucrative incentives for enhanced production of domestic oil and gas resources. While presiding over a meeting of the energy sector, the prime minister also approved a proposal of the Petroleum Division to shift the existing exploration and development policy from ‘approval regime’ to ‘information regime’ providing greater freedom to oil and gas companies in operations beyond discovery stage.

The Benchmark KSE100 Index have tried to post a double bottom on daily chart during last trading session which indicated that index would try to bounce back from its horizontal supportive region of 39,770 points. As of now its expected index would try to take an intraday spike towards 39,150 and 39,350 points if it would succeed in maintaining above 38,770 points while penetration below 38,770 will call for 38,500 and 38,300 points. It’s recommended to adopt swing trading strategy between 38,500 and 39,800 points with strict stop loss on both side because breakout of either side would call for a serious rally in index.