PSX Daily Market Review - 5th March 2019

Trading volume at PSX floor increased by 31.25 million shares or 22.78% on DoD basis, whereas the benchmark KSE100 index opened at 39,550.18, posted a day high of 39,841.74 and a day low of 39,499.36 points during last trading session while session suspended at 39,749.74 with net change of 210.72 points and net trading volume of 141.76 million shares. Daily trading volume of KSE100 listed companies increased by 47.07 million shares or 49.71% on DoD basis.
Foreign Investors remained in net buying positions of 3.56 million shares but net value of Foreign Inflow dropped by 0.98 million US Dollars. Categorically, Foreign Individuals and Corporate remained in net buying positions of 0.53 and 7.17 million shares but Overseas Pakistani Investors remained in net selling positions of 4.14 million shares respectively. While on the other side Local Individuals, Companies and Brokers remained in net buying positions of 14.27, 4.90 and 3.72 million shares but Banks, NBFCs, Mutual Fund and Insurance Companies remained in net selling positions of 0.40, 0.15, 20.22 and 3.61 million shares respectively.

Asian shares retreat, China cuts growth target
Asian shares stepped back on Tuesday after China cut its economic growth target and pledged measures to support the economy amid growing challenges from rising debt and a dispute over trade and technology with the United States. Australian shares dropped 0.6 percent while South Korea’s Kospi lost 0.5 percent. MSCI’s broadest index of Asia-Pacific shares outside Japan dipped 0.2 percent and Japan’s Nikkei dropped 0.3 percent. China cut its growth target for this year to 6.0 to 6.5 percent, in line with expectations, from around 6.5 percent last year.
RCCI to hold APCPC on 6th
The Rawalpindi Chamber of Commerce and Industry (RCCI) is going to organize two days All Pakistan Chambers Presidents Conference (APCPC) on March 6-7. President RCCI Malik Shahid Saleem, while providing details, said that it is an honor and legacy for RCCI that it has been organizing this event for the last ten years on regular basis. The major aim of this conference was to develop a common platform for all chambers and trade associations to raise economic issues at national level, providing suggestions/recommendation to the government related to trade policy, business environment and all issues affecting businesses directly or indirectly, he added.
Rs365b released for uplift projects
The federal government has released Rs 365.231 billion against the total allocation of Rs 675 billion under its Public Sector Development Programme (PSDP) 2018-19 for various ongoing and new schemes. The released funds include Rs 145.34 billion for federal ministries, Rs 169.48 billion for corporations, and Rs 30.28 billion for special areas, according to latest data released by Ministry of Planning, Development and Reform on Monday.
Business community asked to tap Russian market for exports
A delegation of Pakistani entrepreneurs doing business in Moscow visited Islamabad Chamber of Commerce and Industry (ICCI) and said that Russia was a huge market for Pakistani exports and business community of Pakistan should capitalize on this untapped market for promoting exports. Chairman Pakistan Community Russia, Noor Habib Shah, Dr Shahid Hasan, Shahid Ghuman and others were in the delegation. The delegates said that except for oil and gas, Russia was meeting over 95 percent needs of its people through imports and Pakistan has great potential to export many products to Russia including food products, textiles, surgical instruments, pharmaceuticals, leather products, sports goods and others.
Govt to finance provision of gas, electricity to all SEZs
The government has decided to finance the cost of provision of gas and electricity to all the Special Economic Zones (SEZs) out of the Public Sector Development Pro­gramme (PSDP) and withdraw provincial mark-up support and federal freight subsidy to SEZs under the China-Pakistan Economic Corridor (CPEC). The Economic Coordina­tion Committee (ECC) of the Cabinet “directed the Board of Investment (BoI) to submit the case to the cabinet for withdrawal of the two additional incentive packages for SEZs under the CPEC programme — mark-up support by the provincial governments and freight subsidy by the federal government”, according to minutes of a recent meeting of the ECC.

The Benchmark KSE100 Index have continued its bullish momentum above 50% correction of its bearish rally during last trading session and have considered that region as a support to continue its upward move. As of now index would face resistance at 39,860 points initially and then major resistances would try to cap current bullish rally at 40,150 and 40,500 points because those both regions fall on 61.8% correction and on a strong horizontal resistant region. While on flip side index would try to find supports at 39,500 and 39,330 points along with 39,053 points respectively in case of any reversal. It’s recommended to stay cautious and prefer swing trading during current trading session until index succeed in closing above 39,860 points on hourly basis.