PSX Daily Market Review - 5th Jan. 2018

Trading volume at PSX floor dropped by 11.26 million shares or 4.82% on DoD basis during last trading session, whereas the benchmark KSE100 Index opened at 41600.40, posted a day high of 41995.66 and a day low of 41600.40 during last trading session. The session suspended at 41908.71 with net change of 364.44 and net trading volume of 127.65 million shares. Daily trading volume of KSE100 listed companies dropped by 23 million shares or 15.27% on DoD basis.
Foreign Investors remained in net buyinging position of 15.65 million shares and net value of Foreign Inflow increased by 8.55 million US Dollars. Categorically, Foreign Individual and Corporate Investors remained in net buying positions of 0.05 and 15.99 million shares but Overseas Pakistanis remained in net selling position of 0.38 million US Dollars. While on the other side Local Individuals, Banks, Mutual Funds and Brokers remained in net selling positions of 8.44, 0.73, 3.58 and 2.97 million shares respectively but Local Companies and Insurance Companies remained in net buying positions of 1.42 and 0.14 million shares.

Asian shares inched closer to their record 2007 peak on Friday as U.S. jobs data pointed to firm economic growth although the greenback was soft as the spectre of benign inflation capped domestic bond yields. MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS rose 0.2 percent in early trade, with the benchmark index in Australia and South Korea .KS11 both up about 0.5 percent. The MSCI index was about 1 percent off the all-time peak it hit in November 2007 of 591.5. Japan's Nikkei .N225 also gained 0.5 percent to a 26-year high. MSCI’s gauge of stocks across the globe .MIWD00000PUS has risen 2.1 percent so far this week, on course to log its best weekly performance since July.
Total cement despatches remained 22.24 million tonnes in the first half of 2017-18, up 12.3 per cent from a year ago. Capacity utilisation stood at 95pc in the six-month period, according to data released by the All Pakistan Cement Manufacturers’ Association (APCMA) on Thursday. Domestic consumption stood at 19.83m tonnes in the first six months of this fiscal year, up 17.41pc year-on-year. A continuous decline in exports affected overall growth. Exports dropped 17.34pc to 2.41m tonnes during the period under review. Cement units located in Punjab and Khyber Pakhtunkhwa despatched 16.45m tonnes locally, showing an 18.12pc jump over the same period a year ago. Units located in Sindh and Balochistan sold 3.38m tonnes in local markets, up 14pc year-on-year.
Khyber Pukhtunkhwa Oil and Gas Company Limited (KPOGCL), in joint venture with OGDCL, has made massive oil & gas discovery at Baratai Well, Kohat. A statement issued here stated that although well testing is in progress but it is estimated that the well will produce about 30MMCFD of gas and 700 barrels of crude oil. KPOGCL CEO Raziuddin (Razi) took initiative for drilling projects and signed agreement with OGDCL in Baratai Block. Seismic data was acquired, processed and interpreted by the mutual working of KPOGCL & OGDCL technical teams. After several technical meetings, workshops and seismic reinterpretation, drilling was commenced on 24th May, 2017. The well was drilled to a depth of 5014 meters in a record time of 199 days. During drilling operations, several complications were encountered but KPOGCL and OGDCL solved all the problems as a one team by conducting regular meetings and technical workshops.
The total liquid foreign reserves held by the country stood at $20,154.3 million on December 29. The break-up of the foreign reserves position released on Thursday showed that foreign reserves held by the State Bank of Pakistan stood at $14,106.7 million and net foreign reserves held by commercial banks are $6,047.6 million. During the week ending 29th December, SBP’s reserves decreased by $26 million to $14,107 million, due to payments on account of external debt servicing.
The Industries, Commerce & Investment Department (IC&I) secretary has ordered the Haseeb Waqas Sugar Mills , Ch Sugar Mills and Ittefaq Sugar Mills to either produce a stay order from the apex court of Pakistan against the judgment passed by the LHC or shift their units to their original positions, sources in the Sugar Mills Association (SMA) have disclosed. As per the documents, M/s Haseeb Waqas Sugar Mills Limited, Ch Sugar Mills and Ittefaq Sugar Mills , the appellants, had shifted their sugar mills from district Nankana Sahib to district Muzaffargarh, Distt Toba Tek Singh to R Y Khan and Pakpattan to district Bahawalpur respectively without seeking prior permission from the competent authority.
Its recommended to exercise caution while trading during current trading session.

The Benchmark KSE100 Index is capped by a resistant trend line since last two trading sessions and its not bcome able to give a clear breakout of that line therefore it needs to be very cautions during current trading session as there is another resistant region is ahead at 42160 points which would also try to cap current bullish trend. Daily and Hourly Stochastics are trying to generate a bearish crossover but MAORSI on both time frames have still bullish momentum. Its recommended to sell on strength during current trading session.