PSX Daily Market Review - 30th Oct 2018

Trading volume at PSX floor increased by 92.72 million shares or 25.17% on DoD basis, whereas the Benchmark KSE100 index opened at 40,556.45 posted a day high of 41,513.63 and day low of 40,556.45 points while the session suspended at 41,453.76 with net change of 897.31 points and net trading volume of 279.10 million shares. Daily trading volume of KSE100 listed companies increased by 41.88 million shares or 17.65% on DoD basis.
Foreign Investors remained in net selling position of 8.77 million shares and net value of Foreign Inflow dropped by 9.31 million US Dollars. Categorically, Foreign Individuals remained in net buying positions of 0.12 million shares but Foreign Corporate and Overseas Pakistanis investors remained in net selling positions of 6.54 and 2.35 million shares. While on the other side Local Individuals, NBFCs and Mutual Fund remained in net buying positions of 41.73, 1.55 and 20.67 million shares but Local Companies, Banks, Brokers and Insurance Companies remained in net selling positions of 0.26, 11.36, 11.44 and 31.85 million shares respectively.

Asian stocks fragile as U.S.-China trade tensions escalate
Asian shares came under pressure on Tuesday with Chinese markets and the yuan falling, hurt by fresh worries about the intensifying Sino-U.S. trade war and tracking losses in Wall Street indexes. MSCI’s broadest index of Asia-Pacific shares outside Japan edged down 0.3 percent. The index has declined more than 12 percent this month and is on track for its biggest October decline since 2008, the year of the global financial crisis. Shanghai shares fell 0.6 percent in early trade while Japan’s Nikkei average rose 0.7 percent, clawing back earlier losses in a volatile session.
Nepra proposes cut on return for energy projects
The National Electric Power Regulatory Authority (NEPRA) will review the return offered to the power sector companies and has proposed downward revision of return for various thermal and hydro projects. In the light of data shared by the power sector stakeholders, NEPRA has proposed cut on the return and the hearing will be held on November 21, 2018 to review the rate of return for the coal, LNG, local gas and hydro projects.
PSCA E-Challan: An effective innovation in traffic management
Traffic management has become a crisis for all in the urban centers as well as for those commuters who travel inter-city on highways in Pakistan. Consequent upon over population, rapid urbanization, mushrooming of businesses and residential housing societies has resulted in congestions at multiple points in the cities and on highways. ccording to some estimates, Lahore is the 13th largest city of Asia and 25th largest city of the world.
Ogra, oil industry seek delay of manganese phase-out plan
The Oil and Gas Regulatory Authority (Ogra) and the oil industry have sought postponement of the manganese phase-out plan for local refineries for at least six months to allow the completion of an independent study. The government had decided in the first week of August to implement the manganese phase out for imported petrol as planned but ordered an independent study to conclude if local refineries really required time to upgrade and for how long.
MCC pledges to improve gender equality in Pakistan
Top CEOs have launched a new group to promote gender equality in their companies. Male Champions of Change (MCC) Pakistan unites male corporate leaders in encouraging women’s participation at all levels of employment and is modelled on an Australian initiative, which today boasts more than 211 CEOs joined in a powerful coalition to achieve gender equality. The CEOs signed a charter establishing MCC Pakistan with a Founding Group representing Telenor Pakistan, Ubank, Netsol, Pepsico, Serena Hotels, Shell Pakistan, PMIC and EY Ford Rhodes.

The Benchmark KSE100 Index has reachedbreached 61.8% correction oo its weekly move. Technically it is about to face resistance from crossover of a descending trend line along with a horizontal resistant line. As of now bears would have their last hope standing at 41,500 points and 42,300 points because closing above these regions would change market sentiment for short term basis in bullish direction. It’s recommended to post stop loss to any short positions at 41,500 points on closing basis and for new entries either wait for closing above 41,500 or initiate short positions on spike with strict stop loss of 42,230 points. After a clear breakout of 41,500 index would try to target 42,300 and 43,011 points in coming days. While on flipside index would find supports around 40,400 and 39,400 points.