PSX Daily Market Review - 16th April 2018

Trading volume at PSX floor dropped by 135.52 million shares or 40.71% on DoD basis during last trading session, whereas the benchmark KSE100 Index opened at 46,310.41, posted a day high of 46,349.69 and a day low of 46,036.23 during last trading session. The session suspended at 46,071.86 with net change of -259.85 and net trading volume of 105.27 million shares. Daily trading volume of KSE100 listed companies dropped by 48.02 million shares or 31.33% on DoD basis.
Foreign Investors remained in net buying position of 1.37 million shares and net value of Foreign Inflow increased by 4.76 million US Dollars. Categorically, Foreign Individual and Foreign Corporate remained in net buying positions of 0.04 and 3.34 million shares but Overseas Pakistanis Investors remained in net selling position of 2.00 million shares. While on the other side Local Individuals, NBFCs, Mutual Funds, Brokers and Insurance Companies remained in net buying positions of 9.09, 0.33, 3.54, 4.20 and 1.57 million shares but Local Companies and Banks remained in net selling positions of 6.15and 5.05 million shares respectively.

Asia shares mixed, oil down amid Syria fallout
Asian share markets were mixed and oil prices fell on Monday as relief U.S.-led strikes on Syria looked unlikely to escalate was tempered by concerns at Russia’s potential reaction to new sanctions from Washington. With the situation in the Middle East still fluid, moves were modest and in both directions. EMini futures for the S&P 500 ESc1 nudged up 0.38 percent, while Japan's Nikkei .N225 added 0.2 percent. Yet MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS slipped 0.4 percent as Chinese blue chips .CSI300 took an early 0.7 percent dip. The United States, France and Britain launched 105 missiles targeting what the Pentagon said were three chemical weapons facilities in Syria in retaliation for a suspected poison gas attack in Douma on April 7.
Agri sector grows at 3.81pc
The agriculture sector of the country is estimated to grow by 3.81 percent during the fiscal year 2017-18 against the growth of 2.07 in 2016-17 and 0.15 in 2015-16, showing considerable improvements as compared to last couple of years. Among the agriculture sector, the crops sector witnessed 3.83 percent growth, with important crops growing by 3.57 percent and others crops by 3.33 percent, according to latest data available for six to eight months and projected for the whole year. During the year 2016-17, the growth of crops was recorded at 0.91 percent while there was negative growth of 5.27 percent in 2015-16, the provisional Gross Domestic Product (GDP) estimates revealed.
E-commerce sector holds enormous potential
E-commerce has emerged as a revolutionary contributor to the Information Technology sector. The term E-commerce conjures up a litany of colloquial terminologies one can recall from the basic jargon etched in our brains. Pakistan is the sixth most populous country in the world (approximately 200 million people) and the nascent E-commerce industry in Pakistan has exponential room for growth. There have been a bevy of entrants in the industry as more and more people are making robust forays in the E-commerce industry. The interminable utility of E-commerce has finally caught up with the Pakistani entrepreneurs and investors now overtly recognize the potential it holds. In order to support the burgeoning sector, the government has already initiated a process to develop E-commerce policy which can act as engine of growth.
0.26 million used vehicles imported from 2013 to 18
A total of 259,924 used vehicles of Rs149052 million has been imported since July 2013 to February 2018, official data revealed. According to statistics of FBR, during July 2013 to June 2014, as many as 35751 units of Rs14247 million were brought in the country, while during July 2014 to June 2015, a total 41181 units of Rs24849 million were imported. During next year, 62460 units of Rs33829 were shipped in while during July 2016 to June 2017, a total of 62745 vehicles were imported. In the period between July 17 to February 2018, 57787 units of Rs35165 million were imported. According to official data, the policy of import of cars, as mentioned in Import Policy Order, 2013, is in vogue since 2013 and no further concessions have been effected since June 2013.
APCC meets today to consider Rs1,763b developmental portfolio
The Annual Plan Coordination Committee(APCC) will Monday (today) consider a developmental portfolio of Rs1763 billion for fiscal 2018-19 for the federal PSDP and Provincial ADPs which is Rs350 billion less than the current PSDP. For the current fiscal 2017-18 the National Economic Council approved the national development outlay at Rs2,113 billion with Rs1001 billion for Federal PSDP and Rs1112 provincial ADP. However the developmental portfolio this year is reduced to Rs 1763 billion which includes Rs750 Federal PSDP and Rs1013 Provincial ADPs. According the working paper of APCC available with The Nation the federal PSDP includes Rs607 billion rupee component and Rs 143 billion FEC. While provincial ADPs is Rs1013 billion which will include Rs 865 billion rupee component and Rs148 billion FEC.
Market is expected to remain volatile therefore it'ss recommended to stay cautious while trading today.

The Benchmark KSE100 Index have slipped below a descending supportive trend line during last trading session and week closed after confirmation of a double top and generating a bearish harami on weekly chart. After closing below its major supportive trend line now the index have entered into bearish zone because both Daily and Weekly Stochastic and MAORSI have generated bearish crossovers and these both would try to push index for a short term correction. For current trading session index have supportive regions around 45,900 and 45,600 points where it could find some ground from horizontal supportive regions. If index would slide below 45,600 points in coming days then it would become a little bit difficult for it to recover. Its recommended to sell on strength with strict stop loss during current trading session.