PSX Daily Market Review - 24th July 2018

Trading volume at PSX floor dropped by 113.68 million shares or 51.05% on DoD basis during last trading session, whereas the benchmark KSE100 Index opened at 41,217.85, posted a day high of 41,219.17 and a day low of 40,422.14 during last trading session. The session suspended at 40,463.98 with net change of -757.77 and net trading volume of 61.17 million shares. Daily trading volume of KSE100 listed companies dropped by 55.28 million shares or 47.47% on DoD basis.
Foreign Investors remained in net selling position of 2.05 million shares but net value of Foreign Inflow Increased by 2.43 million US Dollars. Categorically, Overseas Pakistanis remained in net buying positions of 0.69 million shares but Foreign Corporate investors remained in net selling positions of 2.75 million shares. While on the other side Local Individuals, Local Companies, Banks, and Brokers remained in net buying positions of 9.51, 5.65, 0.17 and 2.33 million shares but NBFCs, Mutual Fund and Insurance Companies remained in net selling positions of 0.02, 15.30 and 0.32 million shares respectively.

Bonds fear fading stimulus, China shares at one-month top
Global bond markets were tense on Tuesday amid talk of central bank tightening and the risk of a robust reading on U.S. economic growth later in the week, though stellar results from internet giant Alphabet supported tech stocks in Asia. Shares in the parent of Google climbed 3.6 percent after hours to hit a record high, valuing the group at a cool $870 billion. That made up for an otherwise dull day on Wall Street where the Dow eased 0.06 percent, while the S&P 500 gained 0.18 percent and the Nasdaq 0.28 percent. In Asia, Shanghai shares seemed to get a boost from news Beijing would adopt a more “vigorous” fiscal policy, including company tax cuts. Chinese blue chips rose 1.6 percent to a one-month high, while MSCI’s broadest index of Asia-Pacific shares outside Japan added 0.47 percent.
Better steps led to enhanced cotton output
Better crop management contributes 80 per cent in achieving higher cotton production, said Director Central Cotton Research Institute (CCRI) Multan here Monday. Addressing a one-day training programme for officials from private seed industry, fertilizers and pesticides, Dr Zahid Mahmood said that 80 per cent of the factors and improvement in them rely mostly on better cotton crop anagement.He, however, also underlined the importance of modern technology intervention to enhance per acre yield. He said that such training programmes served as platform for interaction among researchers and officials from public and private sectors.
Farmers' prosperity linked to uplift projects
Punjab Agriculture (Marketing) Special Secretary Ehsan Bhutta Monday said prosperity of farmers is directly linked with the development projects. This he said while presiding over a meeting held here to review annual development projects at the Agriculture House. He said timely completion of these projects was actually service to farmers, adding that officers should ensure timely completion of projects. He said officers who would discharge their duties responsibly would be encouraged at all levels. Punjab Agriculture Secretary Wasif Khursheed was also focusing on developmental projects, he added. He said that modern ways should be adopted to make the agriculture profitable sector and the revolution in agriculture could be brought through research.
Action against foreign assets holders next month: FBR
The Federal Board of Revenue (FBR) has decided to take action against those who do not declare their hidden local as foreign assets after the expiry of the scheme August 1, 2018. "Tax amnesty scheme will expire on July 31 and it depends on the next government to give further extension to the scheme or not," said an official of the FBR in a talk with The Nation. He further said that FBR is not in favour of granting extension to the scheme, which had already extended. "We will propose the new government to take action against non-taxpayers to broaden the tax base of the country," he said. "The government had already given a golden opportunity to declare hidden local and foreign assets by paying nominal tax".
Minister asks PPIB to exploit local resources
Federal Minister for Power Division, Barrister Ali Zafar advised Private Power and Infrastructure Board (PPIB) to further exploit the indigenous resources and reduce dependence on imported fuels for power generation to save huge foreign exchange. The usage of indigenous resources will not only reduce country dependence on imported fuel but will also cut the power generation cost which is necessary for affordability and sustainability in electricity supplies, the minister said while presiding over 118th board meeting of the PPIB held here Monday. The minister said that affordable and reliable electricity plays an important role in socio-economic development of any country.

PAEL, TRG, ENGRO and ATRL may lead the trend in positive direction during current trading session.

The Benchmark KSE100 Index is moving in a downward price channel and right now it’s moving downward after completing 61.8% correction of its last bearish rally but it’s going to be supported by a strong horizontal supportive region at 61.8% retrace of its latest spike. Daily momentum indicators have turned to bearish but hourly stochastic and maorsi are in bullish mode and they have just generated bullish crossovers. As of now index have supportive regions ahead at 40,400 and 40,000 points while resistant regions are standing at 40,960 and 41,500 points.
PALE, TRG and ENGRO may start a pull back from 33.43, 27.40 and 313 respectively during current trading session because these scripts are near to complete their corrections. ATRL is also looking attractive on current trading price.