PSX Daily Market Review - 6th April 2018

Trading volume at PSX floor dropped by 36.82 million shares or 13.63% on DoD basis during last trading session, whereas the benchmark KSE100 Index opened at 46,325.39, posted a day high of 46,656.93 and a day low of 46,085.10 during last trading session. The session suspended at 46,560.82 with net change of 457.24 and net trading volume of 113.58 million shares. Daily trading volume of KSE100 listed companies dropped by 34.87 million shares or 23.49% on DoD basis.
Foreign Investors remained in net buying position of 5.46 million shares and net value of Foreign Inflow increased by 1.3 million US Dollars. Categorically, Foreign Corporate and Overseas Pakistanis remained in net buying positions of 4.64 and 0.82 million shares. While on the other side Local Individuals, Mutual Funds and Brokers remained in net buying positions of 5.39, 11.32 and 4.41 million shares respectively but Local Banks and Insurance Companies remained in net selling positions of 15.91 and 3.55 million shares.

Stocks drop, yen rises as Trump proposes more China tariffs
U.S. stock futures slid and the yen rose against the dollar on Friday after U.S. President Donald Trump proposed additional tariffs on China, aggravating trade tensions and smothering a revival in broader investor risk appetite. MSCI’s broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS lost 0.25 percent. The index has spent the week swinging wildly in and out of negative territory amid the back-and-forth of the U.S.-China trade dispute. Australian stocks slipped 0.35 percent and South Korea's KOSPI .KS11 lost 0.3 percent. Japan's Nikkei .N225 fell 0.15 percent. The S&P 500 E-mini futures were down 1.2 percent ESc1, pointing to a lower start for Wall Street later in the session.
Amnesty scheme may retrieve $4b stashed abroad: experts
The business community on Thursday welcomed the prime minister's announcement of one-time tax amnesty scheme to bring back the offshore wealth and regularize foreign assets of Pakistanis living abroad with tax rate of just 2 percent, paving way for the country to receive around $3-4 billion. Punjab Industrial Estates Development and Management Company (PIEDMC) Chairman Abdul Basit said although, all major amnesty schemes in the past had failed to get the desired results and most of the international financial institutions including the IMF and World Bank also opposed amnesty scheme because it discourages honest taxpayers, yet he argued that this scheme would become successful this time keeping in view the global environment against tax evaders and money launderers. "This is first scheme to whiten the foreign assets in the history of Pakistan, not aimed at whiten the black money rather to bring the money for capitalization and investment in Pakistan," he added.
MPs ask SBP to report on waived off loans
The National Assembly Standing Committee on Finance on Thursday has recommended to Ministry of Finance to provide the details of write off loans of last 10 years, from the amount of Rs100 million and above. The committee with Qaiser Ahmed Shaikh in the chair has discussed the calling attention notice moved by MNA Rana Muhammad Hayat Khan regarding inadequate laws for recovery of loans from the defaulters including waived off loans. The committee recommended to State Bank of Pakistan (SBP) to inquire about the matter referred by the member regarding waive off loans by the government. The committee directed the SBP to provide the details in this regard within 15 days for further necessary action.
Neelum Jhelum power house connected to grid
Neelum Jhelum Power House has been connected to the national grid station. According to spokesperson of Power Division, the connection of 500 KV was successfully made from Nokhar to Rawat. He said the Neelum Jhelum Power Plant has a 960 megawatts electricity production capacity. He said 500 KV Rahim Yar Khan and 220 KV Mansehra have also been connected with national grid which will help improve power supply to south Punjab and Hazara division respectively.
Ministries, divs asked to submit revised PSDP estimates by 15th
The Planning Commission has directed the ministries and divisions to submit the revised PSDP 2017-18 estimates by April 15 as ministries are able to utilize less than 50 percent of total allocations during the first three quarters for the current fiscal. Hundreds of projects have zero releases during the first three quarters and the prime minister has directed to impose 60 percent cuts on the allocations of unapproved projects of fiscal 2017-18, official sources told The Nation here Thursday. Against the total allocation of Rs 287792.845 million the ministries have got release of Rs 129117.985 million which is less than 50 percent. However the utilization of corporations, special areas, block allocations for special and federal projects, the utilization was up to the mark, the source said.
Market is expected to remain volatile therefore it'ss recommended to stay cautious while trading today.

The Benchmark KSE100 Index is moving side by side with an upward trend line which would try react as a strong resistance if not broken. Index is also going to complete its 61.8% expansion of its last 38% bullish correction at 47084 points while 61.8% correction of its last bearish rally which was started from history high of the index and ended up at 37,736.73 is also going to complete at 47,246 points therefore these both regions would be very critical points to cross for index on daily and weekly basis along with all these Fibonacci levels a weekly triple top is also being formatted at 47,084 points therefore it needs to be very cautious during coming two or three trading session and its recommended to avoid new buying until unless index close above these regions.