PSX Daily Market Review - 14th Feb 2019

Trading volume at PSX floor dropped by 4.83 million shares or 2.93% on DoD basis, whereas the benchmark KSE100 index opened at 40,692.74, posted a day high of 40,839.09 and a day low of 40,484.58 points during last trading session while session suspended at 40,544.11 with net change of -52.17 points and net trading volume of 109.39 million shares. Daily trading volume of KSE100 listed companies increased by 11.23 million shares or 12.32% on DoD basis.
Foreign Investors remained in net buying positions of 4.29 million shares and net value of Foreign Inflow increased by 2.60 million US Dollars. Categorically, Foreign Individuals, Foreign Corporate and Overseas Pakistani investors remained in net buying positions of 0.05, 2.78 and 1.46 million shares. While on the other side Local Individuals, Local Companies, Banks and Brokers remained in net selling positions of 2.26, 3.46, 1.52 and 4.16 million shares respectively but NBFCs, Mutual Fund and Insurance Companies remained in net buying positions of 0.45, 0.46 and 5.20 million shares.

Asia offers muted cheer as China trade beats forecasts
Asian stock markets were in a cautious mood on Thursday as investors hung on for any hint of progress in the latest Sino-U.S. tariff talks, though China trade data handily beat expectations in a welcome relief for the global economy. Beijing reported exports rose 9.1 percent in January on a year earlier, confounding forecasts of a fall, while imports dipped by a surprisingly slight 1.5 percent. As a result China’s trade surplus also topped forecasts while imports from the U.S. plunged 41 percent, which might not please the White House.
Envoy for improving Pak-Malaysia trade
There is a need to intensify efforts for improving two-way trade between Pakistan and Malaysia that would bring far better results for their economies. Both countries have good potential to enhance cooperation in many fields including halal food, tourism, telecommunication and renewable energy. We should encourage frequent exchange of trade delegations to explore all untapped areas of potential cooperation. This was stated by Malaysian High Commissioner Ikram Bin Muhammad Ibrahim during his visit to the Rawalpindi Chamber of Commerce and Industry (RCCI) here on Wednesday.
Asad chairs first meeting of ‘FBR Policy Board’
Finance Minister Asad Umar here Wednesday chaired the first meeting of the “FBR Policy Board” created under the FBR Act 2007. Finance Minister shall be the chairman of the Policy Board and the ministers for Commerce, Textile, Industries and Privatization shall be the ex-officio members of the Board along with chairmen standing committees on Finance and Revenue – Senate and National Assembly. Chairman FBR shall be the secretary of the Board. Among the nominated members (in advisory capacity) were Abdul Razak Dawood, Hammad Azhar, Senator Kauda Babar, Syed Javed (IT professional), Usman Yousaf Mubeen (chairman NADRA) and Abdullah Yousaf (former chairman FBR).
Gwadar projects to create conducive environment for future investment
Federal Minister for Planning, Development & Reforms (PD&R) Makhdoom Khusro Bakhtiar has stressed the need to expedite progress on Gwadar projects such as New International Airport, Hospital, Vocational Institutes and Power Plant. He said that these projects would not only create conducive environment for future investment but would help to upgrade facilities for local population. The ground is set to attract more trilateral investment here in future, he added.
Islamabad to seek PTA with Riyadh
Pakistan will formally propose to Saudi Arabia for initiation of a dialogue on preferential trade agreement (PTA) to promote bilateral trade and investment. The proposal will be raised among other issues during the Saudi Crown Prince Mohammad bin Salman’s two-day visit to Pakistan. The crown prince will reach the country on February 16, accompanied by a high-powered business delegation.

The Benchmark KSE100 Index opened with a positive gap above 40,650 points during last trading session but could not succeed in penetration above 40,860 therefore momentum could not sustain its positivity on intraday basis. As of now index support regions at 40,000 and 39,860 points while resistant regions are standing at 40,860 and 41,200 points while closing above 40,860 points would strengthen positive momentum but it’s not recommended to initiate short or mid-term positions at current level because index would remain volatile till this weekly closing and it would be preferred to trade on intraday basis until index close above 41,500 or below 39,860 points. Cement sector would try to lead positive momentum because major shares of cement sector are standing at their key resistant regions and if these would succeed in penetration of their respective regions then a price increment of 5-10% could be witnessed in coming days.