PSX Daily Market Review - 18th May 2017

Trading volume at PSX floor dropped by 5.91 million shares or 1.56% on DoD basis, Whereas KSE100 Index opened at 51813.19, posted a day high of 51948.27 and a day low of 51443.17 points during last trading session, while session suspended at 51511.41 points with net change of -301.78 points and net trading volume of 107.33 million shares. Daily trading volume of KSE100 listed companies dropped by 13.21 million shares or 10.965 on DoD basis.
Foreign Investors remain in net selling of 6.46 million shares and net value of Foreign inflow dropped by 1.44 million US Dollars, categorically Foreign corporate and Overseas Pakistani Investors remain in net selling of 4.61 and 1.89 million shares but Foreign Individuals remain in net buying of 33019 shares. While on the other side Local Individuals, Companies and Brokers remainin net buying of 9.42, 4.25 and 1.79 million shares but Local Banks and Mutual Funds remain in net selling of 8.24 and 1.08 million shares respectively.

Asian stocks fell on Thursday and the dollar was stuck near six-month lows against a basket of currencies as uncertainty mounted over U.S. President Donald Trump future following reports that he tried to interfere with a federal investigation. MSCI broadest index of Asia-Pacific shares outside Japan dropped 0.4 percent. Japanese Nikkei shed 1.5 percent, Australian shares lost 1.2 percent and South Korean KOSPI declined 0.5 percent. Equities in Asia took cues from Wall Street, where the Dow and S&P 500 both sank about 1.8 percent overnight following reports that Trump tried to influence a federal probe.
The government on Wednesday announced it is going to miss the economic growth target for 2016-17 because of an underperformance by the industrial and services sectors. This will be the fourth year in a row that the PML-N government has missed the annual economic growth rate target. The economy grew at the rate of 5.28 per cent against the projected rate of 5.7pc in 2016-17. It is the fastest pace of growth since 2006-07 when GDP expanded by 6.8pc. The target was 5.5pc last year, but the growth rate remained 4.51pc.
Large-sc­a­le manufacturing (LSM) grew 10.46 per cent in March on a year-on-year basis, the highest growth recorded in the last few years. March was the third month in 2016-17 that witnessed healthy LSM growth. Over 8pc growth was recorded in February and November each. Experts interpret it as the beginning of a revival in the industrial production. With higher-than-expe­cted growth in LSM, the government is likely to achieve the revised GDP growth target of 5.2pc for 2016-17.
The current account deficit emerged as the biggest threat to the external sector as it jumped over 200 per cent in the first 10 months of 2016-17. The State Bank of Pakistan (SBP) reported on Wednesday the current account deficit for July-April rose to $7.24 billion. The record increase is indicative of a crisis brewing on the external front. The deficit can widen up to $9bn by the end of the fiscal year as a growing trade deficit sets a new record every month.
Another large-scale, stealthy cyberattack is underway on a scale that could dwarf last week’s assault on computers worldwide, a global cybersecurity firm told AFP on Wednesday. The new attack targets the same vulnerabilities the WannaCry ransomware worm exploited but, rather than freeze files, uses the hundreds of thousands of computers believed to have been infected to mine virtual currency. Following the detection of the WannaCry attack on Friday, researchers at Proofpoint discovered a new attack linked to WannaCry called Adylkuzz, said Nicolas Godier, a researcher at the computer security firm. “It uses the hacking tools recently disclosed by the NSA and which have since been fixed by Microsoft in a more stealthy manner and for a different purpose,” he said.

Today EFERT, ENGRO, HBL ,MCB and PSO may lead the market in the positive direction.

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