PSX Daily Market Review - 4th Sep 2019

Trading volume at PSX floor dropped by 13.41 million shares or 17.31% on DoD basis, whereas the benchmark KSE100 index opened at 30,082.29, posted a day high of 30,247.32 and a day low of 29,739.58 points during last trading session while session suspended at 29,809.68 points with net change of -247.61 points and net trading volume of 48.68 million shares. Daily trading volume of KSE100 listed companies increased by 0.52 million shares or 1.06% on DoD basis.
Foreign Investors remained in net selling positions of 0.72 million shares but net value of Foreign Inflow increased by 1.23 million US Dollars. Categorically, Foreign Corporate remained in net selling positions of 1.65 million shares but Foreign Individuals and Overseas Pakistani Investors remained in net buying positions of 0.19 and 0.74 million shares. While on the other side Local Individuals, NBFCs, Brokers and Insurance Companies remained in net selling positions of 0.71, 0.06, 1.66 and 1.06 million shares but Local Companies, Banks and Mutual Funds remained in net long positions of 0.65, 0.52 and 2.11 million shares respectively.

Asia stocks bounce on firmer Chinese lead, pound steadies
Asian stocks bounced on Wednesday, led by Chinese markets after a report showed growth in the country’s service sector accelerating despite broader economic headwinds, while the pound halted its decline on hopes a no-deal Brexit may yet be averted. The Shanghai Composite Index added 0.45% while the blue-chip CSI300 index gained 0.5% after activity in China’s services sector expanded at the fastest pace in three months in August, according to a business survey. MSCI’s index of Asia-Pacific shares outside Japan snapped two days of losses and gained 0.5%. While some markets in Asia enjoyed gains, sentiment in the wider region remained subdued amid worries about a global recession. Data on Tuesday showed the U.S. manufacturing sector contracted in August for the first time since 2016 amid worries about a weakening global economy and rising trade tensions between China and the United States, the Institute for Supply Management’s (ISM) report on Tuesday showed.
CDWP approves 13 projects
Central Development Working Party (CDWP) Tuesday approved 13 projects worth Rs142.5 billion. Central Development Working Party (CDWP) met here with Deputy Chairman Planning Commission Mohammad Jehanzeb Khan in chair, approving seven projects worth Rs.10 billion and recommending six projects worth Rs132.5 billion to ECNEC for consideration. Senior officials from federal and provincial governments were also present in the meeting. Projects related to science & technology, education, governance, physical planning & housing and transport & communications and energy were presented in the meeting.
Symposium on behavioral economics in policy making
Lahore School of Economics in collaboration with B4Development (formerly Qatar Behavioral Insights Unit, created by the Supreme Committee for Delivery and Legacy in 2016) hosted a symposium on Behavioral Economics in Policy Making on Tuesday at a local hotel. This symposium is the first ever initiative that will engage policy-makers and researchers alike to discuss the role that behavioral interventions can play in matters of compliance, public finance and accountability in Pakistan. “Hosting the Middle East’s first mega event has inspired us to ensure that we serve as a catalyst for socio-economic progress and development. Integrating behavioral insight experiments within our vast array of programs is an integral part of that mission.
LCCI elections: PIAF-Founders wins all seats of corporate-class
The PIAF-Founders Alliance has won all the seats of corporate-class unopposed for the forthcoming elections of Lahore Chambers of Commerce and Industry to be held in the last week of this month, as none of their rivals filed nomination papers. Those who won the corporate-class elections unopposed included Nasrullah Mughal, Ali Asghar Hussain, Sheikh Ibrahim, Shafiq Butt, Nusrat Tahir, Dr Riaz, Faiz Haider and Amir Anwar. However, the elections for the associate class candidates will be held according to the schedule.
PM assures magnates of pro-business policies
Prime Minister Imran Khan on Tuesday reiterated that his Pakistan Tehreek-i-Insaf government was striving hard to provide all possible facilities to businessmen in order to accelerate the economic activity in the country. “The government is giving top priority to ease of doing business as it is a must for accelerating economic activity,” the prime minister said while talking to a delegation of leading industrialists and businessmen here at the Prime Minister Office. The government was focusing on generating business activity as it would create employment opportunities and reduce poverty, he added. Mr Khan invited industrialists and businessmen to present their proposals to the government for improving the country’s economy. “The process of policy and planning to bring improvement in the economy would be taken forward in accordance with the proposals,” he said.

The Benchmark KSE100 index have tried to retest its resistant region at 30,300 points but could not succeed in penetration about that region, as of now daily and weekly momentum indicators are in bearish mode but hourly Stochastic and MAORSI are ready for a bullish crossover and these would try to start an intraday pull back but it's recommended to stay cautious and avoid initiating fresh positions on either side until index would succeed in either closing above 30,300 or below 29,400 points. On short term basis index seems bearish and it would try to target 27,600 points if it would close below 29,400 points.

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