PSX Daily Market Review - 2nd July 2018

Trading volume at PSX floor dropped by 6.27 million shares or 3.92% on DoD basis during last trading session, whereas the benchmark KSE100 Index opened at 41,998.66, posted a day high of 42,081.88 and a day low of 41,750.01 during last trading session. The session suspended at 41,910.90 with net change of -86.95 and net trading volume of 90.72 million shares. Daily trading volume of KSE100 listed companies dropped by 6.28 million shares or 6.47% on DoD basis.
Foreign Investors remained in net selling position of 2.56 million shares and net value of Foreign Inflow dropped by 2.81 million US Dollars. Categorically, Foreign Individuals and Overseas Pakistanis remained in net buying positions of 0.07 and 0.8 million shares but Foreign Corporate investors remained in net selling positions of 3.43 million shares. While on the other side Local Companies, Banks, NBFCs and Brokers remained in net buying positions of 0.43, 10.08, 0.29 and 5.48 million shares but Local Individuals, Mutual Fund and Insurance Companies remained in net selling positions of 17.46, 1.02 and 0.43 million shares respectively.

Asia shares sluggish, Mexico peso up on exit polls
Asian shares were subdued Monday ahead of a week packed with major economic events, while Mexico's peso MXN= firmed as exit polls pointed to a decisive victory for presidential front-runner Andres Manuel Lopez Obrador's party. Dealers said the seemingly clear win would at least settle one source of political uncertainty. Yet leftist Obrador is also expected to inject a dose of nationalism into government and sharpen divisions with U.S. President Donald Trump. Oil prices had taken an early spill after Trump tweeted that Saudi Arabia had agreed to lift oil production by “maybe up to 2,000,000 barrels”. The missive was later downplayed by the White House and Saudi Press Agency.
SBP celebrates 70 years of professional excellence
State Bank of Pakistan has celebrated its 70 years anniversary on Sunday with a number of programmes taking place simultaneously here SBP's Main Building. These activities were aimed sharing 70th years history of the central bank and bridging the information gap on various functions and achievements of SBP and its subsidiaries. The programme was attended by a cross section of society, particularly school children, said SBP statement. The bank organized an insightful panel discussion on this historical occasion covering a wide variety of topics including macroeconomic management, SBP's conduct of monetary policy and role in promotion of credit extension to priority areas and use of digital innovations and technology in providing banking services.
Smeda plans mainstreaming women to trigger growth
Small and Medium Enterprises Development Authority (SMEDA) would soon establish skill development centres for women in poverty-stricken areas of DI Khan, Peshawar and Bahawalpur by bringing women enterprises in mainstream economic activities. Talking to journalists, Smeda General Manager Out-Reach (GMOR) Javed Iqbal Khattak said that training centres will provide hands-on support and business services to women entrepreneurs. He added that the centre will be a highly accessible platform for women to get guidance and start their own businesses. He said that Smeda will also soon establish a honey business development center in district Karak.
World tourists arrival grew 6pc: UNWTO
International tourists arrival grew by 6 percent in the first four months of the current year, compared to the same period last year, not only continuing the strong 2017 trend, but exceeding World Tourism Organization (UNWTO)'s forecast for 2018. Growth was led by Asia and the Pacific (+8 percent) and Europe (+7 percent). Africa (+6 percent), the Middle East (+4 percent) and the Americas (+3 percent) also recorded sound results. Earlier this year, UNWTO's forecast for 2018 was between 4-5 percent, said UNWTO in a statement. "International tourism continues to show significant growth worldwide, and this translates into job creation in many economies.
Traders reject hike in petroleum prices
The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Sunday said the second hike in the petroleum prices in a short span is unacceptable terming it a major blow to the poor. The upward revision in the petroleum prices will damage the masses and the economy, therefore, it should be immediately taken back in the national interest, it said. The government is increasing the prices of petroleum products with a rapid pace which amounts to pushing poor masses to hell that will also increase the crime rate, said Ghazanfar Bilour, President FPCCI. In a statement issued here today, he said that price of petrol has been increased by Rs 7.54 per litre while the price of diesel has been increased by Rs 14 which will increase the price of necessities and cost of transportation.

The Benchmark KSE100 Index is trying to continue its bullish rally on hourly chart but chances of evening star on daily chart are still intact and index have major resistances ahead at 42,310 and 42,950 points from its 50% correction along with major horizontal resistant regions. It’s also capped by a descending trend line on daily chart which is generating a crossover with a horizontal resistant region at 42,310 points and these both elements would create a strong resistance for the index. Weekly momentum is already in bearish mode therefore it’s recommended to initiate selling on strength with strict stop loss of 42,310 initially. On supportive side index have supportive regions at 41,000 and 40,900 points.