PSX Daily Market Review - 13th July 2018

Trading volume at PSX floor dropped by 19.53 million shares or 15.21% on DoD basis during last trading session, whereas the benchmark KSE100 Index opened at 39,570.24, posted a day high of 39,916.44 and a day low of 39,237.81 during last trading session. The session suspended at 39,875.12 with net change of 288.36 and net trading volume of 59.18 million shares. Daily trading volume of KSE100 listed companies dropped by 13.28 million shares or 18.33% on DoD basis.
Foreign Investors remained in net selling position of 8.11 million shares and net value of Foreign Inflow dropped by 6.68 million US Dollars. Categorically, Foreign Corporate and Overseas Pakistani investors remained in net selling positions of 6.18 and 1.93 million shares. While on the other side NBFCs, Mutual Fund, Brokers and Insurance Companies remained in net buying positions of 2.22, 1.71, 29.92 and 3.21 million shares but Local Individuals, Companies and Banks remained in net selling positions of 3.94, 1.16 and 25.62 million shares respectively.

Asian shares extend recovery on Wall Street gains
Asian shares were higher on Friday following gains on Wall Street overnight, as concerns over an escalating U.S. trade war with China took a breather. Asian shares were higher on Friday following gains on Wall Street overnight, as concerns over an escalating U.S. trade war with China took a breather. The U.S. slapped import tariffs of 25 percent on $34 billion worth of Chinese goods on July 6, prompting a matching response from China. But while China has vowed to retaliate to the new tariffs, the lack of a specific response to date has sparked a global relief rally. On Thursday, the Dow Jones Industrial Average .DJI rose 0.91 percent to 24,924.89, the S&P 500 .SPX gained 0.87 percent to 2,798.29 and the Nasdaq Composite .IXIC added 1.39 percent to 7,823.92.
Provinces to get amnesty revenue under NFC Award
Tax amnesty scheme will benefit all the provinces equally, as the federal government will distribute the amount generated from the scheme among four provinces under National Finance Commission (NFC) Award. "The amount generated from tax amnesty scheme is coming under the head of income tax, as it is provided under Income Tax Ordinance 2002. Therefore, it will be distributed among the provinces and federal government under the divisible pool," said an official of the Ministry of Finance.
Traders seek to promote academia, industry ties
 Islamabad Chamber of Commerce and Industry (ICCI) Thursday urged for promoting academia-industry linkages to strengthen the national economy. This was observed by Muhammad Naved Malik, Senior Vice President, ICCI, while talking to Imran Rehman, Vice Chancellor, Institute of Space Technology during visit to IST along with a delegation of businessmen. Speaking the students and faculty members, M Naveed Malik said that universities have latest pool of knowledge and they should help in resolving the key issues of the local industry. He emphasized that universities should focus on applied research that would help in addressing major problems of the society.
Pakistan, China discuss CPEC railways project
A delegation of Chinese consortium in terms of Framework Agreement called on Chairman, Ministry of Railways, Muhammad Javed Anwar here on Thursday and discussed progress on ML-I (Karachi-Peshawar) project. The Chairman highlighted importance of ML-I project and informed that it is an Early Harvest and a strategic project of China Pakistan Economic Corridor (CPEC) framework. The feasibility study of a preliminary design of Phase-I of the Project has been completed and is in final stages of review process so that next steps of project implementation could be initiated on priority. Both sides also discussed areas of cooperation in railways sector. The meeting was also attended by Mr. Sun, Head of Pakistan Mission of CREC and Mazhar Ali Shah, Director General Planning.
Services exports decline 7.91pc
The exports of services from the country witnessed negative growth of 7.91 percent during the first eleven months of the fiscal year 2017-18 against the corresponding period of last year. The exports of services from the country during July-May (2017-18) were recorded at $4.696 billion against the exports of $5.099 billion during July-May (2016-17), showing decline of 7.91 percent, according to latest data of Pakistan Bureau of Statistics(PBS). The imports of services into the country, however increased by 4.98 percent by going up from $8.980 billion during FY2016-17 to $9.428 billion in FY2017-18. Based on the figures, the services trade deficit during the period under review increased by 21.93 percent as it went up from the deficit of $3.881 billion in FY2016-17 to $4.732 billion during FY2017-18, the PBS data revealed.

The Benchmark KSE100 Index have succeeded in bouncing back after getting support from a horizontal supportive region along with supportive trend line of its bearish channel, because daily Stochastic and MAORSI have generated bullish crossovers and these both indicators would try to push index in positive zone. Index would face resistances ahead at 40,200 and 40,850 points while supportive regions for current trading session are standing at 39,100 and 38,900 points. On intraday basis index is trying to expand its last correction and it would try to penetrate 40,200 points region and if succeeded and index would become able to close above 40,200 then next immediate target would be 40,850 points. It’s recommended to trade with strict stop loss during current trading session because volatility in index could be witnessed during current trading session.