PSX Daily Market Review - 2nd Aug 2018

Trading volume at PSX floor Increased by 3.86 million shares or 1.41% on DoD basis during last trading session, whereas the benchmark KSE100 Index opened at 42,742.89, posted a day high of 42,940.53 and a day low of 42,532.91 during last trading session. The session suspended at 42,810.04 with net change of 97.61 and net trading volume of 123.66 million shares. Daily trading volume of KSE100 listed companies dropped by 34.35 million shares or 21.74% on DoD basis.
Foreign Investors remained in net selling position of 4.45 million shares and net value of Foreign Inflow dropped by 3.11 million US Dollars. Categorically, Foreign Individuals, Foreign Corporate and Overseas Pakistanis investors remained in net selling positions of 0.03, 3.86 and 0.57 million shares. While on the other side Local Individuals and Brokers remained in net buying positions of 8.52 and 2.30 million shares but Local Companies, Banks, NBFCs, Mutual Fund and Insurance Companies remained in net selling positions of 1.21, 0.14, 0.20, 4.11 and 0.20 million shares respectively.

Asian shares face headwinds from fresh trade worries, bonds fragile
Asian stocks were little changed on Thursday, with sentiment fragile after the latest escalation in Sino-U.S. trade war while global bond markets were rattled by Washington’s increased borrowing and Japan’s new tolerance for higher yields. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS was off less than 0.1 percent in early trade while Japan's Nikkei .N225 was flat. On Wednesday, the U.S. administration increased pressure on China for trade concessions by proposing a higher 25 percent tariff on $200 billion worth of Chinese imports. “The trade issues will continue to weigh on markets. On the whole, Japanese corporate earnings have not been bad but many companies remain cautious as they need to see the impact of trade frictions,” said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui Asset Management. MSCI’s gauge of stocks across the globe .MIWD00000PUS is down 0.33 percent so far this week, reversing the gains in the previous four weeks, with Chinese shares .MICN00000PUS taking the brunt.
NTDC connects 660MW Thar Plant with grid
National Transmission and Despatch Company Ltd (NTDC) has completed the construction work of 282 km long 500 kV Double Circuit Quad Bundle transmission line from Engro power plant to Jamshoro in Sindh province. The transmission line was tested and energized successfully on 31 July 2018. While dilating upon the details the NTDC Spokesman said that the transmission line will evacuate 660 MW power from Engro Thar Coal Power Plant situated at Tharparkar. He said that it is a truly a historic event as Thar i.e an energy future of Pakistan has been connected with national grid. Power generated from the plants in Thar will be provided to far flung areas of Sindh through national grid. Managing Director, Dy Managing Director (Asset Development & Management) NTDC has appreciated the NTDC engineers, staff, consultants and contractors for their untiring efforts to complete this vital project.
'Digiskills' classes kick off
Ignite- National Technology Fund under Ministry of Information Technology and Telecommunication has started the first batch of its flagship programme, 'DigiSkills' on Wednesday. Chief Executive Officer (CEO) Ignite Yusuf Hussain said , DigiSkills is Pakistan's largest online, free training program, which aims to equip a million people across the country with digital skills to help prepare them for the future of work. He highlighted aspects of diversity and inclusion, stressing that the courses were intended for everyone - housewives, freelancers, students, TVET graduates, without any Pre-requisite requirement of computer knowledge.
Govts blamed for declining textile exports
Faisalabad Chamber of Commerce and Industry (FCCI) blamed lukewarm attitude of previous governments for impairing the textile exporters' ability to maintain their presence in international markets thus decreasing export from $26 billion to $18 billion. Addressing a meeting of the textile millers before his departure abroad, FCCI President Shabbir Hussain Chawla said that government in-waiting should start homework right now to announce special package based on already formulated PTI Textile Policy so that it could be implemented immediately with the taking over of powers by the PTI government in centre.
MPs for resolving Rs566b circular debt issue on war footing
The Senate Special Committee on Circular Debt has Wednesday said that both the government and the people of Pakistan should be sensitised on the issue of Rs566 billion circular debt and asserted that the issue must be resolved on war footing. Convener of the committee, Shibli Faraz, said that the committee's target was to deal with the menace of circular debt and instructed the Power Division to provide the committee with province wise details (Industrial/Domestic/Commercial) of running defaulters. The meeting was held here under Chairmanship of Senator Shibli Faraz The Ministry of Energy (Power Division) proposed that to resolve the issue of circular debt it was imperative that policies be reframed especially with regards to Discos.

The Benchmark KSE100 Index is trying to maintain bearish momentum on daily chart but it’s getting support from a supportive trend line and it would remain resistant against any pressure until index would succeed in closing below 42,200 or 41,800 points on daily basis. For current trading session it’s expected that index would start with a negative trend but would try to recover before day end and 42,300 and 42,089 would try to push index back in positive direction. Major supportive region would be 41,830 points against current bearish sentiment. Its recommended to wait for a dip before initiating long positions.