International Karachi, Friday, January 14, 2011, Safar-ul-Muzaffar 9, Price Rs12 Pages 12
Gilani urges trade roadmap with Iran
Reporter Wali Khan shot dead in Khi Khosa sworn in as Governor Punjab
See on Page 12
Pull the trigger on NWA, US tells Pak
See on Page 12
See on Page 12 Economic Indicators
Political consultation
PM forms 5-man body
$17.09bn Forex Reserves (8-Jan-11) 14.61% Inflation CPI% (Jul 10-Dec 10) $10.98bn Exports (Jul 10-Dec 10) $19.13bn Imports (Jul 10-Dec 10) Trade Balance (Jul 10-Dec 10) $(8.15)bn Current A/C (Jul 10- Nov 10) $(504)mn $5.29bn Remittances (Jul 10-Dec 10) Foreign Invest (Jul 10-Nov 10) $746mn Rs 495bn Revenue (Jul 10-Nov 10) $58.41bn Foreign Debt (Sep 10) Rs 5348.6bn Domestic Debt (Nov 10) Repatriated Profit (Jul- Nov 10) $287.9mn -4.69% LSM Growth (Nov 10) 4.10% GDP Growth FY10E $1,051 Per Capita Income FY10 174.86mn Population
Portfolio Investment SCRA(U.S $ in million)
187.17 Yearly(Jul, 2010--12-Jan-2011) Monthly(Dec, 2010--12-Jan-2011) -8.22 2.28 Daily (12-Dec-2011) 3057 Total Portfolio Inv (7 Jan-2010)
LAHORE: Chief Justice Lahore High Court Ejaz Chaudhry administering oath to Sardar Latif Khan Khosa as Punjab Governor during a ceremony at Governor House. APP
NCCPL (U.S $ in million) FIPI (13-Jan-2011)
11.72
Local Companies (13-Jan-2011)
-6.20
Banks / DFI (13-Jan-2011)
-0.47 1.14
Mutual Funds (13-Jan-2011) NBFC (13-Jan-2011)
-0.78
Local Investors (13-Jan-2011)
-4.75 -0.67
Other Organization (13-Jan-2011)
Global Indices Index KSE 100
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HUBC (1 GDR= 25 Shares) 11.48
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Money Market Update T-Bills (3 Mths) 12-Jan-2011
13.37%
T-Bills (6 Mths) 12-Jan-2011
13.50%
T-Bills (12 Mths) 12-Jan-2011
13.73%
Discount Rate
29-Nov-2010
14.00%
Kibor (1 Mth)
13-Jan-2011
13.28%
Kibor (3 Mths)
13-Jan-2011
13.57%
Kibor (6 Mths)
13-Jan-2011
13.74%
Kibor ( 9 Mths)
13-Jan-2011
14.07%
Kibor (1Yr)
13-Jan-2011
14.18%
P.I.B ( 3 Yrs)
13-Jan-2011
14.23%
P.I.B (5 Yrs)
13-Jan-2011
14.25%
P.I.B (10 Yrs)
13-Jan-2011
14.27%
P.I.B (15 Yrs)
13-Jan-2011
14.60%
P.I.B (20 Yrs)
13-Jan-2011
14.79%
P.I.B (30 Yrs)
13-Jan-2011
14.96%
Commodities *Crude Oil (brent)$/bbl 98.17 *Crude Oil (WTI)$/bbl 91.82 *Cotton $/lb 150.46 *Gold $/ozs 1,389.50 *Silver $/ozs 29.62 Malaysian Palm $ 1,206 GOLD (NCEL) PKR 38,365 KHI Cotton 40Kg PKR 10,610 *Last Updated 20:00 PST
Open Mkt Currency Rates Symbols
Buy (Rs)
Sell (Rs)
Australian $
85.90
86.10
Canadian $
85.90
86.30
Danish Krone 14.00
14.60
Euro
111.90
112.50
Hong Kong $ 10.80
10.90
Japanese Yen 1.042
1.017
Saudi Riyal
22.80
Singapore $
65.60
23.00 65.70
Swedish Korona 12.50 Swiss Franc
12.60
86.90
87.50
U.A.E Dirham 23.15
23.30
UK Pound
132.10
133.80
US $
85.80
86.10
Inter-Bank Currency Rates Symbols
Buying TT Clean Australian $ 85.07 Canadian $ 86.74 Danish Krone 15.05 Euro 112.11 Hong Kong $ 11.00 Japanese Yen 1.030 Saudi Riyal 22.81 Singapore $ 66.41 Swedish Korona 12.64 Swiss Franc 88.34 U.A.E Dirham 23.29 UK Pound 134.70 US $ 85.61
Selling TT & OD 85.27 86.95 15.08 112.38 11.03 1.032 22.87 66.56 12.67 88.55 23.35 135.02 85.80
Weather Forecast CITIES MAX-TEMP ISLAMABAD 21°C KARACHI 27°C LAHORE 20°C FAISALABAD 21°C QUETTA 12°C RAWALPINDI 22°C
MIN 3°C 15°C 2°C 3°C -3°C 4°C
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Pak says will decide NWA onset exclusively ISLAMABAD: Pakistan has emphasised that all regional countries should work towards maintaining state-to-state relations with Afghanistan and not try to play any great game in that country. "All regional countries need to adhere to the policy of non-interference and non-intervention in Afghanistan. People of Afghanistan have suffered heavily so has Pakistan and there is no room for a new great game pertaining to Afghanistan." Responding to questions at the weekly news briefing in Islamabad Thursday, Foreign Office spokesman Abdul Basit said being immediate neighbour; Pakistan understands its See # 12 Page 11
Industrial output slips 5pc in Nov Ghulam Raza Rajani KARACHI: Pakistan's industrial output continued to show downward trend and contracted by 4.69 per cent in the month of November 2010, taking the average contraction to 2.3 per cent in the first fivemonth of fiscal year 201011, according to data from the Federal Bureau of Statistics (FBS). During November, two sub-sectors decline in production as Ministry of Industries reported 7.41 per cent drop and Provincial Bureau of Statistics down by 1.29 per cent, while, Oil Companies Advisory Committee (OCAC) showed a growth in its production by 3.15 per cent in petroleum products. Large scale manufacturing sector broadly contributes 12 per cent in the See # 17 Page 11
Law Ministry approves MTS concept Nawaz Ali KARACHI: The Ministry of Law has finally approved the proposed leverage product for the stock market i.e. Margin Trading System (MTS) and now it is likely that the much-awaited leverage product would be launched in a couple of weeks. According to a reliable source, the law ministry has approved the concept paper and has probably sent it to the secretary See # 18 Page 11
Ministry decides to raise fares by 25pc
ISLAMABAD: Prime Minister Syed Yousuf Raza Gilani on Thursday constituted a five-member committee to establish contact with the leadership of all the political parties in the Parliament to obtain proposals for resolving national issues raised on the floor of both the houses of Parliament. The members of the committee are Abdul Hafeez Sheikh, Minister for Finance, Raja Pervez See # 9 Page 11
Railways seeks Obama meets Rs12bn bailout Zardari today
ISLAMABAD: The meeting of the National Assembly Standing Committee on Railways was held here on Thursday with its Chairman Sardar Ayaz Sadiq in the chair demanded of the Prime Minister Syed Yousuf Raza Gilani through a unanimously passed resolution to release 11.5 billion bail-out package as soon as possible in order to continue its operation. The Committee in the meeting took serious notice of the absence of Director Legal Railways, warning, if he failed to attend the next meeting then the committee will issue summon notice to Director Legal, Railways as per Rules of Procedure of National Assembly. The meeting also passed
on instructions to General Manager, Railways to the effect that all the Divisional Superintendents Railways be directed to have detailed meetings with the Members of Parliament to workout the schedule of trains as to take them into confidence before closure of any passenger trains. The meeting was attended, among others by MNAs Begum Nasim Akhtar Chaudhry, Dr Talat Mahesar, Rahela Baloch, Tariq Mehmood Bajwa, Ramesh Lal, Malik Ibrar Ahmed, Dewan Ashiq Hussain Bokhari, Pir Muhammad Aslam Bodla, Farzana Mushtaq Ghani, Dr Muhammad Ayub Sheikh, Haji Rozuddin, Rana Tanveer Hussain and senior See # 10 Page 11
Sells wheat in int'l mkt after 3yrs
Pak resumes wheat export ISLAMABAD: Pakistan has resumed wheat exports for the first time in three years, selling cargoes to Bangladesh and Myanmar and more deals are likely as the country takes advantage of rising global prices and surplus stocks at home, following last year's bumper harvest. The deals come as fears of global food inflation grow, with devastating floods damaging crops in Australia, forecasts of US corn inventories sliding to uncomfortable levels and dry weather hampering production in Argentina. Asia's third largest wheat producer, Pakistan has sold 200,000-500,000 tonnes mainly to Bangladesh and
Myanmar and international traders are taking positions for more deals after Islamabad lifted a ban on overseas sales last month. "Pakistani wheat is now competitive, they are actively selling cargoes for the last one week or 10 days," said one trader with an international trading company in Singapore. "Traders are taking positions in the domestic market to corner more supplies for exports." US stockpiles of corn and soybeans will be drawn down to uncomfortably thin levels this year, according to a government report on Wednesday that sent grain prices soaring and added to See # 11 Page 11
Techno Power told to return advance
3rd RPP comes under fire in SC ISLAMABAD: Supreme Court of Pakistan Thursday directed the third rental power plant (RPPs) to return the advance money taken in advance from the government of Pakistan at the earliest, media reported. Chief Justice Iftikhar Muhammad Chaudhry while hearing the case, remarked that the companies, who have not initiated the projects, should return the advance money at the earliest, otherwise, cases would be forwarded to FIA. He stated that loot and plunder in rental power projects would not be
allowed. Lawyer of the Wapda Khawaja Tariq informed the court that two rental power plants Naudero-II and Guddu Power Projects have deposited Rs2.25 billion in the bank, adding another power plant has also deposited Rs1.26 billion in the national exchequer. The court while summoning the owner of Techno Power Plant near Sahiwal, issued orders to return the advance money with markup. Later, the court adjourned the hearing till Jan 14 and 24. -Agencies
WA S H I N G T O N : U S President Barack Obama will meet Pakistan's President Asif Ali Zardari in Washington on Friday, the White House said on Thursday. Zardari will be in Washington to attend a memorial service on Friday for Richard Holbrooke who died last month. -Reuters
Summary to restore gas to fertiliser cos rejected
ECC OKs Rs20bn for Bhasha Dam Dam to add 4500 megawatts into national grid Special Correspondent ISLAMABAD: The Economic Coordination Committee of the Cabinet here Thursday allowed WAPDA to raise Rs20 billion for the Diamer Bhasha Dam project, whereas the summary regarding the restoration of gas supply to fertiliser sector has been rejected. The ECC met here under the chairmanship of Federal Minister for Finance and
Economic Affairs, Dr Abdul Hafeez Shaikh. The Committee, on the proposal in a summary moved by the Ministry of Water and Power allowed Wapda to raise Rs20 billion for the Diamer Bhasha Dam project. The Diamer-Bhasha Dam would add 4500 MW of hydro power with live storage capacity of 6.4 million acres foot of water for the
US supports Isb for economic growth: Munter
US deliberates Pak trade push ISLAMABAD: US Ambassador to Pakistan, Cameron Munter here Thursday said US government was supporting Pakistan in using the power of international trade as an engine for economic growth.
He stated this while opening a roundtable conference that brought together private and public sector leaders to discuss ways to improve trade policy and performance in order to boost the country's See # 7 Page 11
irrigation purposes. The Minister for Water and Power has informed the committee that Wapda has already raised Rs8 billion in 2006 and Rs8 billion in 2007 and is currently servicing them. The Rs20 billion funds to be raised by Wapda shall be under the Government of Pakistan guarantee from the market and shall repay to See # 6 Page 11
FX reserves decline to $17.09bn Staff Reporter KARACHI: Country's foreign exchange reserves fell to $17.09 billion in the week ending January 8, down from a record $17.20 billion in the previous one, the central bank said on Thursday. See # 8 Page 11
2
Friday, January 14, 2011
Mirza seeks details of felonies
ISLAMABAD: Prime Minister Syed Yusuf Raza Gilani talking with Samina Khalid Ghurki, Minister for Social Welfare at PM House.-Staff Photo
Warning on illegal increase of gas pressure KARACHI: Apropos to a news item appearing in certain English and Urdu newspapers wherein it was reported that some industrial and household gas consumers are using compressors to increase gas pressure. These newspapers have also cited this method as inexpensive yet safe. Sui Northern Gas Pipelines Limited warns its consumers that increasing gas pressure by any method is highly dangerous, can also be life threatening. Furthermore, it is in violation of the terms and conditions of the Gas connection contract, on the basis of which the Company can impose heavy fines or even disconnect the gas connections. -PR
TV PROGRAMMES FRIDAY Time Programmes 7:00 News 8:00 News 9:00 News 11:00 News 11:05 Headlines 13:10 Newsbeat (Rpt) 14:10 Tonight With Jasmeen (Rpt) 15:00 News 16:00 News 17:30 Samaa Metro 18:00 News 18:30 Samaa Sports 19:30 Crime Scene 20:03 Newsbeat 21:00 News 22:03 Awam Ki Awaz 23:00 News 23:30 24
FRIDAY Time 8:00 9:00 9:15 10:00 10:15 11:00 11:05 12:00 12:15 13:00 13:05 14:00 15:05 16:00 16:02 16:30 17:00 17:05 18:00 18:05 19:00 19:30 20:00 20:05 21:00 22:00 22:05 23:00 23:05 0:00
Programmes Chai Time (Rpt) News Pehla Sauda News Bazaar News Ghar Ka Kharch News Power Lunch News Islamabad Say (Rpt) News Siyasat Mana Hai (Rpt) News Akhri Suada Karobari Dunya News Ghar Ka Kharch (Rpt) News Chai Time Headlines Mang Raha Hai Pakistan Headlines Islamabad Say Pakistan Aaj Raat Headlines Dosra Pehlu News Siyasat Mana Hai (Rpt) News
KARACHI: Home Minister Sindh Dr. Zulfiqar Ali Mirza has sought out the detailed progress report from Inspector General (IG) Sindh pertaining to cases registered in 2010 about terrorism, target killings and other high profile cases. According to details, he directed in his orders that report must include all details pertaining to incidents, their dates, case numbers, credentials of their respective police stations, deceased or injured, their names, addresses, weapons used, inspections, evidences, their statements, all details of suspects, investigating officers and others..-Online
Nat’l carrier told to get its affairs in order ISLAMABAD: Prime Minister Syed Yousuf Raza Gilani on Thursday asked the management of Pakistan International Airlines to improve its services and strictly observe punctuality of flight operations. Chairing a meeting here to discuss the matters of PIA, the Prime Minister said he would like to see PIA to regain past distinction among the international carriers. The Prime Minister urged upon the PIA management to adopt modern management techniques to help improve its services. He observed that though
the modernization of the fleet is quite important yet image of any airline heavily depends mainly on care, courtesy and efficiency of the staff as well as the management. He said the government was cognizant of the financial constraints of the corporation, adding the management could popularize and enhance the business of the airline by improving the passengers' care and improving the services. The Prime Minister stressed upon the need to review the working of the Corporation to introduce cost efficient measures to reduce the expenditure.
Efforts to enhance EOBI to revise Pak-US two-way registration ADGAS, system travel, trade Timelenders Staff Reporter
(TAAP) Karachi Thursday. Seventy countries will be participating in this Trade Show and the U.S Consulate General is eager that a delegation of Travel Agents Association of Pakistan should participate in this Trade Show, U.S. officials added. The reason to invite Pakistani delegates of Travel Agents in this show is basically to promote Tourism between the two countries and also the said visit of Pakistani delegation shall be coincided with the various B2B discussions with the delegates of other participating countries, so that the travel trade of Pakistan can be benefited with all
the edges, Sohrab added. During the briefing, US officials also stated that in San Francisco there are umpteenth places for the tourists and of course the infrastructure is also very good for the tourists in San Francisco, which will be highlighted during the show. This International Pow Wow show has full support from the U.S Government as well as the department of U.S Commercial Service, Karachi will also provide fullest support and cooperation to the Pakistani delegates, the status of the Pakistani delegation during the show, would be VVIP, US officials added.
Quality Award for industrialists announced
PRGMEA hails release of dues
Staff Reporter
KARACHI: To increase bilateral travel trade relations and tourism between Pakistan and USA, the department of U.S Commercial Service, U.S Consulate General, Karachi, is going to organize a Trade Show under the name and style of International Pow Wow from May 21 - 25, 2011 at the Moscone Convention Centre in San Francisco, USA. This was stated by Sohrab Jang and Mohammad Aamir, the Commercial Specialists of US Consulate Karachi in a briefing held at the office of Travel Agents Association of Pakistan,
ISLAMABAD: National Productivity Organization (NPO) has announced the first ever Prime Minister Quality Award for industrialists, showing excellence in their businesses. The announcement to this effect was made by Minister for Industries and Production Mir Hazar Khan Bijrani at a function organized by Federation of Pakistan Chambers of Commence and Industries. President of FPCCI Senator Ghulam Ali, Secretary Industries Abdul Ghaffar Somoro, heads of various associations and
leading members of business community were also present. Minister and Secretary in their brief address praised the NPO and a number of projects they had undertaken including the ones aimed at conserving energy and enhancing the agriculture production. Former President of NPO, S.M. Munir praised the performance of the department and gave a number of suggestions to enhance and improve the quality of various industrial products, it was reported Thursday.-APP
Artificial Limb Centre at Lahore ISLAMABAD: Prime Minister Syed Yusuf Raza Gilani has approved establishment of an Artificial Limb Centre at Lahore in a meeting with the Federal Minister for Social Welfare and Special Education, Samina Khalid Ghurki at Prime Minister's House here on Thursday. The Prime Minister has said that welfare of the neglected, disadvantaged and underprivileged is priority of his Government. He further said the
Government has launched a number of schemes like Benazir Income Support Programme, Child support Programme and Bait-ulMal stipends for the poor students to help the downtrodden of the society. During the meeting, the Prime Minister mentioned that Pakistan Muslim League- Nawaz (PML -N) which was a second major national party has also stressed in their 10 points agenda to focus on relief to the common man.-NNI
Staff Reporter KARACHI: The Zonal Chairman of Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA), Mohammad Jawed Chinoy ,in his statement ,has appreciated the textile ministry's initiative by asking State Bank for the early disbursement of Rs4.825 billion subsidies to the textile sector. This is a welcome step by the ministry which will help exporters overcome the lingering financial crunch, he said. "If the SBP complies with this request this will help to reduce the price of locally manufactured products and making them competitive in international market and we hope that SBP will release these funds soon", he added. He said that the textile industry has not done any substantial investment on modernization of machinery due to the impending cash crisis and high interest rates but despite all these obstacles the sector has been making significant gains by increase in exports. Textile export have witnessed an increase of 22.37 per cent during the period from July to Dec, 2010 as compared to the same period last year which is a clear sign of our competitiveness in the global market, he said.
KARACHI: Travel Agents Association of Pakistan (TAAP) hosted a reception in honor of commercial specialists of US Consulate Karachi Sohrab Jang and Mohammad Aamir. Chairman, Travel Agents Association of Pakistan (TAAP), Yahya Polani, Parvez Hussain, Dr. Sharif, Anwar Rashid, Nadeem Sharif, Hanif Rinch, Col (R) Akbar Sharif, Amin Wali Muhammad, Naeem Sharif and Tafseer-Ul-Islam are seen in the group photograph.-Staff Photo
KARACHI: Employees Old Age Benefit Institution (EOBI) Scheme has been extended to every adult worker of the country and now unorganized sector and even self-employed workers can get benefit of old age from EOBI, this was announced by the Chairman, EOBI, Zafar Iqbal Gondal. Addressing a luncheon meeting with the industrialists at Korangi Association of Trade and Industry (KATI), EOBI chief informed the stakeholders to carry out registration process of all the workers in the industries and commercial organizations in order to have transparency and get the workers in the EOBI network those are yet to be registered or were not mentioned by the employers with the connivance of EOBI's corrupt officials.
enter into pact KARACHI: Leading Pakistan and UAE based training and development organization Timelenders has signed a two year training contract with UAE's natural and petroleum gas operator ADGAS (Abu Dhabi Gas Liquefaction Company) in Abu Dhabi. According to this contract, Timelenders will train the officers of ADGAS in next two years on its flagship Strategic Time Management course and it is another milestone after adding value to over 400 officers at region's leading telecom operator Etisalat in the recent past, says Yameenuddin Ahmed, Head of International Operations at Timelenders. Yameenuddin from Timelenders and Hussain
Etihad Airways reports revenue, capacity growth TFD Report KARACHI: Etihad Airways has reported 29.2 per cent rise in revenues in 2010 to US$ 2,951 million (2009: US$ 2,285 million), significantly outpacing its capacity growth, which saw available seat kilometres (ASKs) rise 19.5 per cent to 45.1 billion (2009: 37.8 billion). The result marked continued progress towards the airline's goal of break-even in 2011 and profitability in 2012. Passenger numbers topped seven million for the first time, up 13.1 per cent to 7.099 million, while seat factors increased by 0.5 percentage points, to 74.0 per cent. The airline confirmed that, as previously forecast, it had reported a positive EBITDAR (earnings before interest, taxation, depreciation, amortisation and rentals) for the full year, the first time it
had achieved this since it was formed in 2003. James Hogan, Etihad Airways' Chief Executive Officer said: "We continued to invest in routes and infrastructure, adding seven new destinations during the year, as well as welcoming more than 800 new employees to the Etihad family. Yet despite this, we brought our costs down whilst increasing passenger numbers and yield. "On top of all of this, we were delighted when our investment in product and customer service was recognised when we were named the World's Leading Airline for the second year running." Etihad launched services to Alexandria, Baghdad, Colombo, Erbil, Nagoya, Seoul and Tokyo in 2010, as well as opening new premium lounges in Dublin and Manchester. Its fleet increased by six to 57 aircraft.
Sharmila says govt firm to check terror KARACHI: Advisor to Sindh Chief Minister on Information Sharmila Farooqui has said that present democratic government has decided firmly to eradicate the terrorists and terrorism from the society and will teach such a lesson to these enemies of peace and democracy that they will never forget. Strongly condemning suicide attack at the Masjid of Bannu Police Station, she said that those who attempted suicide
attacks on religious buildings and those who sent attackers could not be called Muslims. She said no Muslim could think of attacking a mosque and those who did that were the worst enemy of Islam and Pakistan. The Provincial Advisor requested all religious scholars and party leaders to come forward and condemn the religious fanaticism and save the people and the country from these extremists.-NNI
Ali Daiban (Learning Resources Team Leader ADGAS) signed the contract, while. Sabeer Kohinoor was also present in the meeting. Hussain and Yameen believe that Timelenders courses will bring positive changes in the ADGAS officers and the trainings will contribute to the vision of ADGAS of having capable, efficient and highly qualified people to sustain its years of successful operations. The agreement is inline with the Timelenders vision of facilitating individuals and organizations to unleash their potential through worthy and powerful visions, says Suleman Ahmer, the founder and CEO of Timelenders.-PR
He mentioned that the government had already launched a number of schemes including housing schemes for the welfare of PIA employees. He said now it was responsibility of the employees to work with dedication to make the Pakistan flag carrier as a recognized airline in the world. Earlier, the management gave a detailed briefing on issues concerning the Corporation. They also apprised the Prime Minister about proposals regarding joint ventures and cooperation with other carriers to enhance airline business.-APP
Turkish Airlines eyes 11 new destinations ISTANBUL: Europe's fastest growing airline, Turkish Airlines will add new destinations on its rapidly expanding network this year. The world's 8th biggest carrier, Turkish Airlines is planning to launch flights to 11 new destinations. According to the flight program confirmed by the Directorate General of Civil Aviation, Ministry of Transport, Turkish Airlines will begin to operate 3 weekly flights to Guangzhou (China) from Jan 30, 4 weekly flights to Los Angeles (USA) from March 3and 4 weekly flights to Shiraz (Iran) from March 14, 2011. -PR
3
Friday, January 14, 2011 Top Economic Events
Euro rallies for 4th day after auctions, Trichet Dollar slides vs yen as US jobless claims jump NEW YORK: The euro rose against the dollar for a fourth straight day on Thursday in a rally that could continue after solid Spanish and Portuguese bond auctions eased concerns about an escalation of the euro-zone debt crisis. The euro jumped more than 1 per cent to trade well above $1.33 as the single currency's rebound prompted many market players to cover short positions to avoid further losses. Comments from European Central Bank President JeanClaude Trichet that the euro-zone faces short-term inflationary pressures helped raised expectations of interest rate hikes and further supported the euro. Strong demand at the Spanish auction, one day after a solid Portuguese debt sale, helped ease pressure on peripheral bond markets. Analysts cautioned, however, that the sales represented a very small
percentage of supply from those countries this year. "We remain skeptical overall," said M a r k McCormick, currency strategist at Brown B r o t h e r s Harriman in New York. "We don't see any strong momentum behind these moves. We think it's just a short-term move and the euro is going to continue to suffer for the remainder of the quarter." The euro climbed as high as $1.3326 on trading platform EBS, well above the day's low at $1.3088. It last traded up 1 per cent at $1.3274. Traders cited steady buying from Asian central banks and demand from momen-
tum players, options players and investment funds. The euro climbed to a one-month high
of 1.2837 Swiss francs ahead of an emergency meeting of Swiss unions and industry representatives, with the subject expected to be the record-strong Swiss currency. Analysts said the euro may see some support on speculation that a solution to the debt crisis may come soon. Top European Union officials are pushing for
the bloc to increase the size and scope of the 440 billion euro ($574 billion) rescue fund. German Finance Minister Wolfgang Schaeuble said Wednesday that euro-zone countries are working on a "comprehensive package", which may be agreed by February or March, to solve the crisis. The dollar fell 0.2 per cent to 82.80 yen after data showing a jump in US jobless claims to their highest level since October dented optimism about the US economy. "I'd say the data was considerably worse than the recent run of economic news we've had. It comes at a time when the dollar was already under some pressure overnight, and it's exacerbated some of those losses for the greenback," said Omer Esiner, market analyst at Commonwealth Foreign Exchange in Washington. -Reuters
Yuan hits record high
Asian currencies
Won, baht get a leg up from ahead of US summit rate hikes, outlook rosy Rupiah weakens on extended rise in NDFs HONG KONG: The Korean won and the Thai baht led gainers in Asia on Thursday with the help of this week's interest rate increases. Central banks in Bangkok and Seoul raised policy rates by a quarter point. Thai rate rise had been widely anticipated, but Bank of Korea's move came a month earlier than many economists had expected and analysts said Asian authorities seemed increasingly willing to let currency gains help curb price rises. "Asian policymakers are getting more pragmatic of using currency appreciation as an inflation management tool and this shift in thinking will be a key theme this year," said
Adam McCabe who helps manage nearly $6 billion in Asia-focused funds at Aberdeen Asset Management. Most Asian currencies posted strong gains in 2010 driven by foreign capital attracted to the region by its swift recovery from the global financial crisis and prospects for higher returns than offered by sluggish developed economies. With growth still seen strong this year too, these flows are expected to continue. According to latest EPFR data, Global-tracked equity funds absorbed a net $9.2 billion during the first week of January, of which emerging markets equity funds accounted for $3.3 billion.
Sterling at 1mth high vs $; slides vs euro LONDON: Sterling fell sharply against a broadly firmer euro on Thursday but rose to a one-month high versus the dollar, helped by speculation UK interest rates may rise sooner than expected and on weaker US data. The Bank of England kept rates at a record low of 0.5 per cent as expected on Thursday, but many expect that consistently
high inflation may pressure the central bank into raising rates. Money markets are pricing in a rate hike by the end of the year but with a growing chance it could be as early as May and the minutes of the BoE's meeting, due on Jan. 26, will be watched closely. Meanwhile, a solid Spanish debt auction and comments by European Central Bank President Jean-Claude Trichet that the euro-zone faces shortterm inflationary pressures added fuel to a short-covering rally in the euro, including
against the pound. "Sterling is being dragged up against the dollar on the back of a stronger euro after hawkish comments from Trichet and a positive auction result," said Neil Mellor, currency strategist at Bank of New York Mellon. "There are quite a few opinions in the market on the BoE and the focus has definitely shifted to inflation and away
from deflation risks," he added. Sterling rose more than half a per cent to a high of $1.5885 versus the dollar, its strongest since Dec. 14. Traders said stop-loss orders were triggered on the break of $1.5800 and then $1.5850. Sterling ceded more than 1 per cent against the euro, which rose to 84.25 pence, its strongest in nearly a week. "The euro/sterling squeeze has taken out 84.00, with 84.25/30 resistance capping for the moment," a London-based trader said. -Reuters
In 2010, a record $92 billion flowed into emerging market stock portfolios. "Asian growth will be resilient and it will be more soundly placed than in the past," McCabe said at an outlook briefing. The rupiah fell to within sight of a six-month low as rising dollar/rupiah NDFs spooked investors. Funds remained good buyers in the NDFs, with the one month last up to 9135-9155 per dollar. Some small outflows from the bond market also pressured the rupiah lower. Foreigners took out nearly two trillion rupiah from the bond market in the first two days of the week trimming net foreign ownership to 197 trillion rupiah. -Reuters
Swiss franc falls sharply ZURICH: The Swiss franc fell sharply against the euro on Thursday as traders cut short euro positions ahead of Spanish and Italian debt auctions after Portugal's successful debt auction on Wednesday buoyed the single currency. In volatile trading, the franc was also down heavily against the dollar after rising risk appetites boosted equities markets, taking some of the shine off the franc as a safe haven. "Yesterday's auction has lifted sentiment on the euro and today's auctions could provide more of the same," said Sarasin foreign exchange strategist Ursina Kubli. "However, despite the positive news that the Portuguese issue was oversubscribed, the interest rate was set very high and could mean Portugal will need help in the first half of 2011. Pressure on the euro could return quickly," Kubli said. A weaker franc will be welcomed by Swiss National Bank vice chairman Thomas Jordan, who said on Wednesday the franc's strength could dampen Switzerland's economic growth. The franc fell 0.8 per cent against the euro compared to the New York close, trading at 1.2788 francs per euro at 0758 GMT. The franc was 0.8 per cent lower against the dollar at 0.9736 francs per dollar. -Reuters
Aussie dlr whiplashed by job surprise, NZ$ steady SYDNEY/WELLINGTON: The Australian dollar slid then rebounded on Thursday after a surprisingly small rise in employment initially sparked a selloff before underlying strength in the numbers put a solid floor under the currency. A choppy session saw the Aussie drop almost half a US cent to $0.9917 in reaction to disappointing headline data before bouncing back to where it started in early trade at around $0.9950. The slip followed weak data showing a slim 2,300 increase in employment in December, well short of forecasts of 25,000, but on the back of a massive increase the previous month. Yet, the jobless rate also surprised by dropping to a two-year trough of 5.0 per cent, nearing what analysts regard as full employment. On reflection, investors bought the Aussie back up to around$0.9951, which still marked a sharp turnaround from Wednesday's low of $0.9803 when investors were concerned about the impact of Queenslands floods on the economy.
Resistance is seen at $0.9993, then $1.0027 its Dec. 14 high with support at around $0.9900. The currency is seemingly less subject to concerns about the floods in Queensland as waters in Brisbane peaked less than feared. The New Zealand was steady around $0.7620, little changed from late Wednesday levels, after a thin trading range of $0.7610-$0.7639. Much of its recent trading has been trapped within $0.7550 and $0.7650 range and that is expected to continue, with support seen around $0.7554, the 21-day moving average, and resistance at the Jan 10 high of $0.7645 and then $0.7665. The euro remained firm against the Antipodean currencies, at A$1.3171 after hitting a one-week high of A$1.3230 in early trade. The single currency was also firm on the kiwi at NZ$1.7197. After the job data, the Aussie held onto early gains at NZ$1.3052 after it had hit six-week lows at NZ$1.2909. -Reuters
SHANGHAI: China's central bank set the yuan's mid-point above 6.60 per dollar for the first time on Thursday, breaching an important barrier just days before Chinese President Hu Jintao travels to Washington. The yuan's rise in the last few days, on the back of successive record highs in its daily midpoint, reflects a long-held pattern of Beijing allowing appreciation of the currency ahead of big political meetings, where it often faces calls for the yuan to strengthen further. US Treasury Secretary Timothy Geithner ratcheted up that pressure on Wednesday, saying China needed to let the yuan strengthen more quickly, while adding that quicker appreciation could open up access to US "dual-use" technology that is currently restricted for export. While analysts were somewhat sceptical over what might be achieved on the currency issue during the Jan. 19 summit between Hu and US President Barack Obama, the yuan's move beyond 6.6 per dollar is significant. "The breach of the 6.6 level may not be as exciting an event as many market players believe, but its significance
must not be underestimated: The central bank has allowed a new round of yuan appreciation," said Liu Dongliang, senior currency strategist at China Merchants Bank in Shenzhen. "Recently, the central bank has stated its intention of strengthening its anti-inflation fight, giving the market confidence that overall yuan appreciation will be quickened in 2011." The People's Bank of China (PBOC) set the tone for a strong day for the currency by setting the midpoint for daily trading against the dollar at 6.5997. That marked the first time it had been set stronger than 6.60. In spot trading, the yuan rose to as high as 6.5931 versus the dollar in early trade but pulled back slightly to end at 6.6046, a rise of 3.4 per cent since last June. China-based currency traders said they expected the yuan to continue to gain in the next week or two as Beijing looks to lay a positive foundation for Hu's talks with Obama, but that its rise could slow again afterwards. By the end of the year though, China is seen allowing the yuan to rise 5.4 per cent to around 6.3 per dollar as part of its efforts to quell inflation, a Reuters poll of more than 40 economists and strategists showed this week. -Reuters
Indian rupee retreats as stocks slide MUMBAI: The Indian rupee retreated from one-and-half week highs on Thursday as sharp losses in local shares raised worries over sustained foreign fund outflows, while defence-related dollar demand also weighed. The partially convertible rupee closed at 45.24/25 per dollar, 0.2 per cent below its 45.13/14 close on Wednesday. The rupee rose as much as 45.04, its strongest since Jan. 4, in early trade. "What we saw in the forex market today was a direct reflection of the weakness in the stock market," said Ashutosh Khajuria, head of treasury at IDBI Bank. "In the near term, at least until March, the rupee will continue to be under pressure as flows have slowed down and we need capital inflows to fund the current account deficit. So I see the rupee around 45.75 in three-months' time." Foreign funds are net sellers of $520 million worth of shares
this year until Wednesday, pushing the rupee down 1.2 per cent. In 2010, record inflows of $29.3 billion had helped the rupee gain 4.1 per cent. One-month offshore nondeliverable forward contracts were quoted at 45.53, weaker than the onshore spot rate. In the currency futures market, the most traded nearmonth dollar-rupee contracts on the National Stock Exchange and MCX-SX both closed at 45.2525, while those on the United Stock Exchange ended at 45.25, with the total traded volume on the three exchanges at about $5.4 billion. -Reuters
Time 12:00 14:30 15:00 15:00 15:00 18:30 18:30 18:30 18:30 19:15 19:15
Source EUR GBP EUR EUR EUR USD USD USD USD USD USD
Events German Final CPI m/m PPI Input m/m CPI y/y Core CPI y/y Trade Balance Core CPI m/m Core Retail Sales m/m Retail Sales m/m CPI m/m Capacity Utilization Rate Industrial Production m/m
Source
Events
Actual
USD JPY AUD AUD GBP GBP GBP
Federal Budget Balance Core Machinery Orders m/m Employment Change Unemployment Rate Manufacturing Production m/m Industrial Production m/m Asset Purchase Facility
-80.0B -3.0% 2.3K 5.0% 0.6% 0.4% 200B
Forecast 1.0% 1.6% 2.2% 1.1% 1.9B 0.1% 0.7% 0.8% 0.4% 75.6% 0.5%
Previous 1.0% 0.9% 2.2% 1.1% 3.6B 0.1% 1.2% 0.8% 0.1% 75.2% 0.4%
Forecast
Previous
Previous Day -81.1B -150.4B 2.1% -1.4% 25.2K 54.6K 5.1% 5.2% 0.5% 0.6% 0.5% -0.1% 200B 200B
Currencies Rate Name EUR-USD USD-CHF GBP-USD USD-CAD AUD-USD EUR-JPY EUR-GBP EUR-CHF GBP-JPY CHF-JPY CAD-CHF Gold Silver
As per 22.00 PST Ask High 1.3304 1.3322 0.9675 0.9766 1.5852 1.5856 0.9889 0.9905 0.9994 1.0018 110.3900 110.3500 0.8412 0.8408 1.2883 1.2884 131.3900 131.3500 85.8500 85.9800 0.9731 0.9763 1383.3000 1393.0400 -
Bid 1.3301 0.9671 1.5848 0.9884 0.9990 110.3500 0.8408 1.2881 131.3400 85.7900 0.9724 1383.0300 -
Low 1.3090 0.9620 1.5721 0.9856 0.9919 108.6900 0.8316 1.2690 130.5300 85.1000 0.9627 1378.4100 -
London Inter Bank Offered Rates (LIBOR) Karachi: The following are the London Inter-Bank Offered Rates (LIBOR). British Members Association Interest Settlement Rates. AT 11:00 LONDON TIME 13/01/2011 A USD GBP CAD EUR JPY O/N 0.24000 0.55813 0.93667 0.33500 SN 0.09375 1WK 0.25438 0.57063 1.00000 0.54500 0.10288 2WK 0.25656 0.57563 1.04417 0.57750 0.10938 1MO 0.26125 0.59563 1.09833 0.69563 0.12063 2MO 0.28250 0.65313 1.15250 0.80500 0.15000 3MO 0.30313 0.76688 1.24167 0.93188 0.18875 4MO 0.34500 0.84938 1.31667 1.00000 0.24313 5MO 0.40125 0.95438 1.37500 1.08688 0.30000 6MO 0.45656 1.06375 1.44833 1.18000 0.34750 7MO 0.51000 1.14038 1.51333 1.23125 0.39750 8MO 0.56188 1.22375 1.58917 1.28500 0.44313 9MO 0.61656 1.30563 1.65833 1.33250 0.48750 10MO 0.66969 1.38500 1.73833 1.38375 0.51438 11MO 0.72469 1.45250 1.82333 1.42875 0.54000 12MO 0.78375 1.51938 1.90500 1.47000 0.56750
Major Central Banks Overview Central Bank Bank of Canada Swiss National Bank The Reserve Bank of Australia Bank of England Federal Reserve European Central Bank Bank of Japan
Next Meeting
Last Change
January 18, 2011 March 17, 2011 February 1, 2011 n/a n/a n/a n/a
September 8, 2010 March 12, 2009 November 2, 2010 March 5, 2009 December 16, 2008 May 7, 2009 December 19, 2008
Current Interest Rate 1% 0.25% 4.75% 0.50% 0.25% 1% 0.10%
Division of National Bank of Pakistan (NBP) KARACHI, January 13,2011 Treasury Management Division of National Bank of Pakistan (NBP) Monday issued the following Exchange rates: Countries Selling Buying Buying TT & OD TT Clean OD/T.CHQ U.S.A. U.K. EURO CANADA SWITZERLAND AUSTRALIA SWEDEN JAPAN NORWAY SINGAPORE DENMARK SAUDI ARABIA HONG KONG CHINA KUWAIT MALAYSIA NEW ZEALAND QATAR U.A.E. KR WON THAILAND
85.75 135.02 112.38 86.95 88.55 85.27 12.67 1.03 14.49 66.56 15.08 22.87 11.03 13.00 304.16 28.06 65.32 23.56 23.35 0.08 2.82
85.55 134.70 112.11 86.74 88.34 85.07 12.64 1.03 14.46 66.41 15.05 22.81 11.00 12.97 303.45 28.00 65.17 23.50 23.29 0.08 2.82
85.37 134.39 111.86 86.51 88.11 84.84 12.61 1.03 14.42 66.23 15.01 22.75 10.98 12.93 302.66 27.93 65.00 23.44 23.23 0.08 2.81
Revaluation Rates Treasury Bills / PIBs / FIBs Holding Applicable for January 13, 2011
KASB
BMA
ELXIR
GSL
ICSL
12.65 12.75 12.90 13.05 13.38 13.45 13.52 13.62 13.75 14.10 14.22 14.24 14.25 14.25 14.26 14.26 14.24 14.27 14.55 14.70
12.55 12.75 12.80 12.95 13.40 13.35 13.51 13.55 13.72 14.00 14.21 14.23 14.23 14.35 14.37 14.25 14.15 14.26 14.60 14.75
12.55 12.65 12.85 12.95 13.40 13.47 13.50 13.62 13.72 14.00 14.23 14.24 14.26 14.35 14.37 14.24 14.15 14.28 14.55 14.75
12.60 12.70 12.80 13.15 13.41 13.44 13.47 13.65 13.77 14.00 14.23 14.24 14.25 14.28 14.30 14.30 14.15 14.25 14.65 14.90
12.65 12.80 12.90 13.10 13.30 13.35 13.40 13.55 13.70 13.95 14.25 14.22 14.23 14.30 14.35 14.25 14.20 14.25 14.55 14.75
0-7days 8-15dys 16-30dys 31-60dys 61-90dys 91-120dys 121-180dys 181-270dys 271-365dys 2-- years 3-- years 4-- years 5-- years 6-- years 7-- years 8-- years 9-- years 10--years 15--years 20--years
JSCM AvgRate 12.60 12.75 12.80 13.15 13.30 13.40 13.52 13.60 13.75 14.00 14.25 14.25 14.28 14.30 14.35 14.40 14.10 14.28 14.70 14.90
12.60 12.73 12.84 13.06 13.37 13.41 13.49 13.60 13.74 14.01 14.23 14.24 14.25 14.31 14.33 14.28 14.17 14.27 14.60 14.79
Currencies Correlation EUR/GBP Period 1 1 3 6 1 2
AUD/USD EUR/CHF EUR/JPY EUR/USD GBP/USD NZD/USD
week month months months year years
0.68 0.67 0.11 0.69 0.20 -0.36
0.87 -0.07 0.61 0.21 0.63 0.67
0.98 0.23 0.62 0.61 0.77 0.58
0.98 0.80 0.86 0.92 0.72 0.49
-0.33 -0.20 0.38 0.52 0.10 -0.12
USD/CAD USD/CHF
0.26 0.22 0.14 0.65 0.01 -0.36
0.91 0.20 0.40 -0.51 -0.20 0.44
-0.81 -0.75 -0.20 -0.70 -0.03 0.21
Karachi Inter Bank Offered Rates (KIBOR) Karachi: The following are the Karachi Inter-Bank Offered Rates (KIBOR)13/01/2011 1WEEK
2 WEEK
1 MONTH
3 MONTH
6 MONTH
9 MONTH
1YEAR
2YEARS
BID
ASK
BID
ASK
BID
ASK
BID
ASK
BID
ASK
BID
ASK
BID
ASK
BID
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
ABLN 12.40
12.90
12.60
13.10
12.75
13.25
13.30
13.55
13.50
13.75
13.60
14.10
13.65
14.15
13.70
14.20
JSBL
12.50
13.00
12.70
13.20
13.00
13.50
13.40
13.65
13.60
13.85
13.65
14.15
13.85
14.35
13.90
14.40
ASPK 12.40 CIPK
ABPL
ASK
12.90
12.60
13.10
12.85
13.35
13.25
13.50
13.45
13.70
13.50
14.00
13.60
14.10
13.70
14.20
12.40
12.90
12.55
13.05
12.75
13.25
13.45
13.70
13.55
13.80
13.60
14.10
13.75
14.25
14.00
14.50
DBPK 12.50
13.00
12.60
13.10
12.70
13.20
13.15
13.40
13.30
13.55
13.50
14.00
13.55
14.05
13.60
14.10
FBPK 12.35
12.85
12.50
13.00
12.75
13.25
13.40
13.65
13.55
13.80
13.65
14.15
13.80
14.30
13.90
14.40
FLAH 12.30
12.80
12.50
13.00
12.75
13.25
13.25
13.50
13.45
13.70
13.55
14.05
13.65
14.15
13.75
14.25
HBPK 12.35
12.85
12.60
13.10
12.80
13.30
13.30
13.55
13.45
13.70
13.60
14.10
13.70
14.20
13.80
14.30
HKBP 12.50
13.00
12.75
13.25
12.80
13.30
13.45
13.70
13.65
13.90
13.75
14.25
13.85
14.35
13.90
14.40
NIPK
12.65
13.15
12.75
13.25
13.10
13.60
13.50
13.75
13.65
13.90
13.70
14.20
13.75
14.25
13.85
14.35
HMBP 12.35
12.85
12.60
13.10
12.85
13.35
13.35
13.60
13.50
13.75
13.55
14.05
13.60
14.10
13.70
14.20
SAMB 12.40
12.90
12.60
13.10
12.80
13.30
13.30
13.55
13.50
13.75
13.50
14.00
13.65
14.15
13.75
14.25
MCBK
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
NBPK
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
0.00
SCPK 12.50
13.00
12.60
13.10
12.70
13.20
13.20
13.45
13.35
13.60
13.50
14.00
13.55
14.05
13.75
14.25
UBPL 12.25
12.75
12.50
13.00
12.65
13.15
13.20
13.45
13.40
13.65
13.50
14.00
13.70
14.20
13.70
14.20
AVE
12.91
12.59
13.09
12.78
13.28
13.32
13.57
13.49
13.74
13.57
14.07
13.68
14.18
13.78
14.28
12.41
0.00
4 Friday, January 14, 2011
The Financial Daily International Vol 4, Issue 153
Publisher & Editor-in-Chief: Amir A. Ashary Editor: Shakil H. Jafri Executive Editor: Manzar Naqvi
Expectations 2011
Honorary Advisory Board Haseeb Khan, FCA
S. Muneer Hussain Rizvi
Asim Abbas Ashary, CPA
Khurram Shehzad, CFA
Akhtar M. Zaidi, FCA
Prof. Zakaria Sajid (KU)
Dr. A. Hadi Shahid, FCA
Zahid Bukhari SVP HBL (retd)
Muhammad Arif
Ismat Sabir Head office
111-C, Jami Commercial Street 11, Phase VII, DHA Karachi Telephone: 92-21-35311893-6 Fax: 92-21-35388428 URL: www.thefinancialdaily.com Email Address: editor@thefinancialdaily.com
Lahore office 24- Peshawar Block, Fortress Stadium, Lahore Telephone: 92-42-6675595 Fax: 92-42-6664349 Email Address: editor@thefinancialdaily.com
Sky is the limit, inflation says Whatever the numbers maybe, the fact is that price of virtually everything is skyrocketing in the country, from eatables to luxury goods and from electricity to POL products. With each passing day more and more people are being pushed below the poverty line. Suspension of productive activities due to load shedding of electricity and gas is affecting production and productivity. However, a very small percentage of population seems least affected by the price spiral mainly because of the proliferating undocumented economy, tax exemptions and above all the dubiety of the whole affair. Over the last couple of years electricity tariff has been persistently increased in the name of recovery of full cost. While the tariff has been on the rise outages have become more frequent and of longer duration. Similarly, efforts are going on to increase the rates of duties and taxes on every item including the basic necessities. High speed diesel mostly used in public transport has become more expensive than motor gasoline. Price of LPG used at homes, where natural gas is not available, is touching new highs. The basic rule that says "market forces determine prices" does not seem to be in place as either the local prices are driven by the global prices or due to rising cost of doing business. The phenomenon commonly termed 'cost-pushed-inflation' seems to be fully operative. Added to these are imprudent policies and the most blatant example is hike in price of onion. In the aftermath of devastating floods, prices of all the vegetables went up but receded as soon as their import from India was allowed. As the new crop came, huge quantities were exported to India. Unchecked export once again catapulted onion price in the local markets. Despite resistance put up by certain quarters government has once again allowed export of onion to India and local prices will soon be adjusted accordingly. It seems that something has gone grossly wrong with the regime responsible for maintaining prices in the retail markets. The most unmanaged issue has been recent increase in prices of sugar and urea. Despite ample availability of the two commodities in the country hoarders and profiteers made a fortune. These commodities were duly imported and government also paid billions of rupees as subsidy but prices hardly came down. It may not be wrong that supply constraints are not the sole reason for hike in prices, it is the failure of government to ensure sale of commodities at stipulated prices. Maybe the groups indulging in such activities also put the regulators and law enforcers in their pockets.
Disclaimer:
All reports and recommendations have been prepared for your information only. Summary and Analysis are not recommendation to buy or sell. This information should only be used by investors who are aware of the risk inherent in securities trading. The facts, information, data, indicators and charts presented have been obtained from sources believed to be reliable, but their accuracy and completeness cannot be guaranteed. The Financial Daily International and its employees are not responsible for any loss arising from use of these reports and recommendations.
Muhammad Arif New Year has arrived with lot of hopes and fears. Year 2010 was not a good year specifically for Pakistan and accordingly People have gone further skeptical on economic as well on political fronts. It may be on TV screens or some public place, every body is looking passive. This is highly thought provoking time and people on forefront in every walk of life needs to come forward with some alternates and solutions otherwise the things would move towards further and bigger disaster. First we take political front. In current situation parties on helm of affairs or in opposition are looking too fragile in front of establishment who has ruled the country explicitly for more than 45 years and implicitly for remaining period, since 1947. However this transition in which we are travelling right now was over due and every country in the world has gone through such pain staking periods after getting away from some despotic system. Take the example of Greece and Spain in Europe. Many Latin American countries have gone through such phases and many countries belonging to Asean have seen such days after getting away from military rule. One should remember that no political system is ideal and one can pinpoint lot of shortcomings in each system but since Plato's era before Christ to this date, democratic systems have been found more friendly to the common man and that has been adopted everywhere for onward and smooth progress. Islam also provides a system that is required to be run through brotherhood and cooperation. But whether we are following these basic principles is any body's guess. Political parties providing infrastructure to the democratic systems normally differ with each other but basically they are the bastion of a tolerant society that is the need of the time in our part of the world. Issues of governance and corruption would continue and may precipitate in 2011 but without political support they can not be set right. WikiLeaks in 2010 also exposed every one in Pakistan but one step forward they have also exposed establishment as well. This is a new phenomenon in case of Pakistan where establishment have always been treated as a sacred cow. As an independent view, political front would remain fragile in Pakistan in 2011. Religious extremism would further rise and can force moderate and liberal parties to unite against religious extremists. Military establishment which nourished such views in Pakistan to use them in their own interest would move one step back. Such mood would have the backing of judiciary, media and civil society which would be a blessing for the actions to eradicate such extremism that has now started killing its own people. Remember, in 1970 Religious parties lost the election but they rehabilitated themselves in Ziaul Haq and Mushrraf era through a chain of madaris. Madarsah system needs serious reforms to make them a place for education and not for any other activity and not to repeat incident like Lal Masjid. With complexities and realignment that may come if half of 2011 is passed through without any major political change than the system
would start getting some strength onward. Processes and not wishes can strengthen any system, so let us hope for better as without political stability we can not achieve economic stability which is the concerning part for a common man in Pakistan. Now coming to the economic front, Year 2011 is going to witness 6 monetary policy statements, one budget that can be further tied up with some supplementary budgets. However these documents are part of normal schedule as was followed in 2010. Slow GDP growth within the range of 2-3% and head line inflation ranging above 15% would remain alarming points for our economy. Especially SPI covering low income group would witness higher surge. Food items and energy bills may surmount above 60-100%. PSDP already been cut drastically may come down to zero. Tax revenues may not reach to their targets. But apart from these flip sides export revenue is on rise (mainly due to bet-
Industrialists or Agriculturists are ready to join tax net that is why nobody likes to register themselves as tax payer. This has resulted in to lowest Tax to GDP ratio in the region i.e. less than 9% of GDP. As regards RGST, practically speaking, the prices charged by the Services/Wholesale/Retail side are already being shouldered by the common man. RGST is consumer based tax. Say for example importers adds its cost in some product, say makes it Rs 50. Now comes manufactures he further adds the cost to 75. Than comes whole seller, he makes the cost to 100. Thereafter comes retailer, he makes the cost to 120. Finally consumer gets the product at 120. But in this process importers and manufactures are obliged to deposit their part as Tax but whole seller and retailer do not do it. Taking example of Services sectors, hotels, restaurants, hospitals, Doctors, Engineers, Lawyers charge from their customers but do
dies, so raise in discount rate can help only in supporting its $/PKR parity. Another view can be to hold discount rate only to support real sector where credit off take is on rise but has not picked up satisfactorily. Up till Dec 31, 2010, it has reached Rs 162 billion as compared to Rs.109 billion last year. This view has its own merit and SBP needs to look in to this view just to make out of box decisions so as to kick start Pakistan's economy. Regarding IMF support there is lot of confusion and very strangely Government does not even try to nullify these apprehensions. Politicians have made a hell about IMF support. To say simply that by removing corruption we can get rid of IMF support is to live in fool's paradise. Whether corruption can be removed overnight is nothing but a political statement. This can be done but for its result we have to wait for some time. Secondly for any bilateral support i.e. through debt or grant, you need Paris club certification that is based on IMF clearance. So basically IMF loan carries two pronged objectives i.e. to get Balance of Payment support and secondly to get clearance from Paris Club. Apart from above discussion than what can be the plans for making our economy better off in 2011. To me or any independent analyst it is the structural changes that are very much required. We know our pitfalls but to remove them we need institutional changes based on legislation. There can be a long list of agenda but for simplicity sake they can be:1. New SBP Act (already with the Parliament) that would make government borrowing from SBP not more than 10% of its revenues. Such kinds of legislation already exist in many countries. This would help in controlling inflation 2. New Government Securities Act to replace Current Public Debt Act framed in 1944. New Act would provide balance sheet approach for government domestic as well external borrowings further by adding depository /Swap/Buy back/Sukuk issuance arrangements. 3. Legislation making it possible for Provincial/Local governments to access capital markets for making their funding arrangements. 4. Legislation making it possible to monitor financing under infrastructure projects. 5. To complete process of demutualization of Stock Exchanges. 6. To discontinue reintroduced deliverable futures that basically brought fall of KSE in 2005. 7. Inviting IFC (corporate arm of World Bank) and ADB to float their instruments in Pakistan and use them to raise money for infrastructure financing. That would provide further depth to corporate bond instruments. 8. Making Fund management retail based. For this they should be directed to access funds from retail side by at least 40% of their total portfolio. 9. Introduction of margin Financing (already approved by the KSE) by elevating risk management framework of banking sector and not to replicate any financing arrangement on Badla or Mark I or Mark II basis. 10. To dispense with using KIBOR (currently KIBOR carries BID ask spread of 100 bps and 50 bps for lending above 4 weeks. In Libor such spread varies in between 5-10 bps. Such spread makes the KIBOR pricing as non transparent) as benchmark for corporate lending and to adopt prime rate (used by the worldwide) for each bank to make corporate lending more competitive and transparent.. The writer is visiting lecturer at Sheikh Zayed Sultan Institute University of Karachi and KASBIT. (E-mail arifsbp@gmail.com)
“
Apart from this, Reformed General Sales Tax (RGST) remained part of main headlines in 2010. All political parties except Peoples Party opposed implementation of RGST. This skirmish would continue in 2011. This is being propagated that it is being implemented on behest of IMF. However apart from this charge, the parties in Pakistan should look into this matter seriously. RGST would be an extension of indirect tax and would cover services, wholesale and retail sector.
ter international cotton prices) along with inward remittances. Though IMF has its reservations for further release of funds but ultimately that would melt down. So better performance from external sector with less current account deficit can be a good sign for the Fiscal policy. Apart from this, Reformed General Sales Tax (RGST) remained part of main headlines in 2010. All political parties except People party opposed implementation of RGST. This skirmish would continue in 2011. This is being propagated that it is being implemented on behest of IMF. However apart from this charge, the parties in Pakistan should look in to
not pay their part of tax. We learn many stories that Nawaz Sharif or Gilani do not pay enough taxes. However argument comes from their side that on their businesses they pay corporate taxes. In fact on corporate tax, rates are quite high but missing link is that industrialists and agriculturists do not pay any tax on their personal incomes. This requires documentation and without doing so we can not move towards increase in overall tax revenue. Through RGST we can move towards process of documentation and that can be the main benefit of RGST. Another bright side is the upward movement of KSE that has already
Taking example of Services sector, hotels, restaurants, hospitals, doctors, engineers, lawyers charge from their customers but do not pay their part of tax. We learn many stories that Nawaz Sharif or Gilani do not pay enough taxes. However argument comes from their side that on their businesses they pay corporate taxes. In fact on corporate tax, rates are quite high but missing link is that industrialists and agriculturists do not pay any tax on their personal incomes. this matter seriously. RGST would be an extension of indirect tax and would cover services, wholesale and retail sector. Already importers and manufactures are in net of GST. The main argument against this levy is that immediately it would not fetch enough funds and secondly it would push inflation further. In fact these arguments are faulty and are forwarded by PML- N on behalf of chambers in Punjab, MQM on behalf of chambers in Karachi and ANP on behalf of chambers in Peshawar. Truly speaking no one either
crossed 12000 against KSE 100 index after touching floor of 5500 in 2008. Though portfolio investment has remained negative in FY09 and FY10 but in FY11 it has picked up marginally. FDI during this period has gone down i.e. $573 million against $ 730 million last year. So one can view mixed movements of corporate activities in 2011. On monetary policy the surge in discount rate would seem to continue in order to cap inflation. Inflation would not be contained due to supply side factors and withdrawal of subsi-
Freedom of Media A common man has access to print and electronic media or listening to people if has interaction with them in workplace or on streets. There is less communication of sitting at nights and discussing issues. The media in all forms has become an important aspect in everyday life. It has gradually taken the role of forming and shaping the opinions of people towards issues which later on become trends of society. Freedom and introduction of so many channels is a blessing if utilized properly and to its optimum. To shoulder heavy responsibilities needs a careful planning from objectives to the achievement of mission. It is a team
work based on monitoring the pulse of the latest situation and the emerging trends in the society due to outside and inside influences. Education and experience matters a lot in this field. Specially programmes dealing with the national issues need scrutiny at all levels. What, when how and to whom to communicate the actual ground realities with what desired outcomes. Awareness and qualification can give a layout and techniques to handle the issues. Who is communicating and how delivering the message, having a grip on the situation and an eye on the sensitivities is very important. Here comes maturity and experience.
Running a show for the sake of getting attention and creating an environment of allegations/counter allegations is not all what people want. The main emphasis is to make people aware of the problems the country is going through. Comprehension of issues and finding amicable and positive solutions is must. Making the audience mentally strong is also the responsibility of the media, so that people do not fall prey to negative propaganda. They have a sense and vision to differentiate between right and wrong when it comes to national and sensitive issues. Their resilience to negative propaganda be strengthened. People are more
concerned about their own role as citizens. They need to be apprised about their contributions in all forms when it comes to protecting the national honour, showing solidarity and fighting terrorism. People need direction and line of action from their leadership. Awareness into such issues would lead to more practical steps from not only political leadership but all influential members of society. Freedom of media is not only a concept but a revolution which can bring a positive change and overcome the turmoil in society. Media has to keep a balance when it comes to responsibilities and commercialism. Anwar Perveen, Islamabad
5
Friday, January 14, 2011
South East Asian stocks
European shares end lower on ECB rate rise concerns
Thai stocks lead region higher but in low volume
KSE-100 Index Opening Closing Change % Change Turnover (mn)
MTS hopes let bulls lug KSE mighty up
12,281.24 12,459.44 178.20 1.45 229.46
LSE-25 Index Opening Closing Change % Change Turnover (mn)
3,843.67 3,936.50 92.83 2.42 7.57
ISE-10 Index Opening Closing Change % Change Turnover (mn)
3,055.54 3,103.90 48.36 1.58 0.24
Major Gainers
Symbol
Close
Change
NESTLE 2,500.50 ULEVER 4,439.50 APL 383.24 COLG 960.24 MTL 541.10
45.40 23.33 18.22 10.24 9.94
Nawaz Ali
Major Losers
Symbol RMPL IDYM PECO ILTM SIEM
Close
Change
2,062.00 216.57 180.12 166.00 1,212.41
-16.98 -11.13 -8.81 -8 -7.99
Top 5 Volume Leaders
Symbol
Close Vol (mn)
LOTPTA DGKC FFBL AHCL NBP
15.50 31.02 39.12 27.19 79.24
59.42 25.48 12.94 9.74 6.96
Active Issues Plus Minus Unchanged
215 169 25
NEW YORK: CEO of Sirius XM Radio Mel Karmazin, Beth Ostrosky Stern and Executive Vice President of NASDAQ Bruce Aust ring the NASDAQ closing bell at NASDAQ.-Reuters
HK advances as financials play catch-up; China rises
Tesco, tobaccos smoke out FTSE points
KARACHI: Bulls, on Thursday, stampeded the Karachi Stock Exchange (KSE) over the news of Margin Trading System (MTS) concept paper approval piling up gains worth 1.45 per cent. Intense foreign buying was also the highlight of the day. The benchmark KSE 100Index closed at 12,459 points after gaining 178 points while KSE 30-Index jumped by 223 points -1.86 per cent-- and KSE All-Share index rose by 114 points -1.34 per cent-- to close at 12,238 and 8,638 points respectively. "Aggressive buying was witnessed as investor sentiment turned buoyant on news of approval of the leverage product by the law ministry", said Murtaza Jafar, equity dealer at JS Global Capital. Bulls were there since the opening bells as the session started with 33 points on. After that gains kept on multiplying as investors took positions
mainly in oil, banking, and cement stocks over news that the law ministry has approved the concept paper of Margin Trading System (MTS) which created hopes that the much awaited leverage product would be launched soon. It should be noted that the stock markets are functioning without any leverage products for a long time therefore experts think that launch of such a product would definitely be a sentiment-booster. Further, expectations of some good corporate results along with continued interest of foreign investors and higher international oil prices heated up the bullish activities and index near closing bells touched the highest level of the day at 12,479 points (+ve 198 points) and finally called it a day thereabout. According to NCCPL data, foreign investors did a net-buying of $11.72 million on Thursday which totaled $34 million so far this month. See # 13 Page 11
HONG KONG/SHANGHAI: Hong Kong shares rose on Thursday, extending their weekly gains to over 5 per cent as broad buying of large caps, in particular laggard financials, by funds helped lift the market. Hong Kong's benchmark Hang Seng rose 0.5 per cent, supported for a second day by heavyweight HSBC Holdings Plc, which climbed 1.4 per cent on nearly four times its average 30-day traded volume. "We're seeing large programme inflows into the region," said a Hong Kongbased trader at a large US investment bank, referring to trading in an entire portfolio of stocks rather single stocks, often done electronically. Mainland banking counters, which have lagged the broader market, were seen catching up as healthy turnover on the Hong Kong stock exchange suggested the latest gains had momentum.
While HSBC provided the biggest boost to the broader market, China Construction Bank Corp rose 1.4 per cent, and ICBC, gained 1.5 per cent, helping the financial sub-index outperform the benchmark. China's largest lender, ICBC, said it would not conduct further fundraising from the capital markets within three years, the Securities Times reported, citing the bank's chairman. Still, concerns about the exposure of mainland banks to local government funding vehicles and the impact of weakness in the property market are likely to keep the sector under pressure. China's key stock index closed 0.2 per cent higher supported by strength in oil firms as US crude extended gains to under $92 a barrel, but thin volumes showed investors were cautious ahead of a series of upcoming economic data. The benchmark Shanghai Composite Index rose to
DEWAN FAROOQ MOTORS
US stocks late-morning
Production (July 10 to Nov 10) 186 Sales (July 10 to Nov 10) 70 Production (Nov 10) 0 Sales (Nov 10) 0
Market flat, pares losses from jobless claims
Dhiyan Nikkei at 8-mth high on financials, realty 2ND HALF MAYBE BITTER HALF
Sector Updates FERTILISER 000 tonnes
Urea Offtake (Jan to Nov 10) 5,463 Urea Offtake (Nov 10) 845 Urea Price (Rs/50 kg) 870 DAP Offtake (Jan to Nov 09) 121 DAP Offtake (Nov 10) 152 DAP Price (Rs/50 kg) 3,137
AUTOMOBILE ASSEMBLER PAK SUZUKI MOTOR Units Production (July 10 to Nov 10) Sales (July 10 to Nov 10) Production (Nov 10) Sales (Nov 10)
33,929 32,092 7,087 6,813
INDUS MOTOR CO Production (July 10 to Nov 10) 20,987 Sales (July 10 to Nov 10) 20,375 Production (Nov 10) 3,974 Sales (Nov 10) 3,753
HONDA ATLAS CAR Production (July 10 to Nov 10)6,626 Sales (July 10 to Nov 10) 6,247 Production (Nov 10) 1,145 Sales (Nov 10) 1,075
BANKING SECTOR Scheduled bank (Rs in mn) Deposit (December 3,10) 4,824,464 Advances (December 3,10) 3,050,639 Investments (December 3,10) 1,916,917 Spread (October 10) 7.49%
OIL MARKETING CO (000 tons) MS (Jul 10 to Nov 10) MS (Nov 10) Kerosene (Jul 10 to Nov 10) Kerosene (Nov 10) JP (Jul 10 to Nov 10) JP (Nov 10) HSD (Jul 10 to Nov 10) HSD (Nov 10) LDO (Jul 10 to Nov 10)) LDO (Nov 10) Fuel Oil (Jul 10 to Nov 10) Fuel Oil (Nov 10) Others (Jul 10 to Nov 10) Others (Nov 10)
PRICES (Ex-Refinery) MS (1 Dec 10) MS (1 Nov 10) MS % Chg Kerosene (1 Dec 10) Kerosene (1 Nov 10) Kerosene % Chg JP-1 (1 Dec 10) JP-1 (1 Nov 10) JP-1 % Chg HSD (1 Dec 10) HSD (1 Nov 10) HSD % Chg LDO (1 Dec 10) LDO (1 Nov 10) LDO % Chg Fuel Oil (1 Dec 10) Fuel Oil (1 Nov 10)
932 186 66 12 589 124 2,792 612 26 4 3,641 572 3 1
Rs 45.15 44.53 1.39% 52.04 51.25 1.54% 52.27 51.48 1.53% 55.20 54.24 1.77% 50.52 49.51 2.04% 43,019 42,046
NEW YORK: US stocks were little changed on Thursday, paring losses after weaker-thanexpected jobless claims and helped by a rise in Marathon Oil. Contributing to the weakness was a sharp drop in shares of Merck on disappointing drug trial news. The drugmaker was the biggest per centage decliner on the S&P 500. Weekly initial claims for unemployment benefits rose the most in six months, the Labor Department said, suggesting the jobs market still faces headwinds. "Profit taking corrections often happen when there is a negative piece of news, and this job claims news could be one negative event that those market traders were looking for," said Tim Ghriskey, chief investment officer of Solaris Asset Management in Bedford Hills, New York. Marathon Oil Corp rose 9 per cent to $44.08 after it said it would spin off its refinery and pipeline operations into a stand-alone company. See # 16 Page 11
TOKYO: The Nikkei average rose to its highest close in eight months on Thursday, buoyed by gains in undervalued financial shares and advances in European and US stocks after a successful bond auction in Portugal eased fears over the euro zone debt crisis. Financials, which fuelled the Nikkei's climb the day before, extended gains as foreign investors added underweight banking stocks to their portfolios. Mitsubishi UFJ Financial Group, Japan's biggest bank by assets, gained 1.3 per cent. "The financial sector may be buoyed further in the coming sessions if earnings figures from the US financial sector show strength," said Hidenori Suezawa, chief strategist at Nikko Cordial Securities. The banking sector, which has gained 25 per cent since November, is still considered undervalued as its price-to-book ratio stands around 0.7, underperforming the average PBR of 1.2 for the Nikkei 225 components. A share is seen as undervalued if the PBR is below 1.0. The rally in the financial sector could spill over into other sectors, analysts said. "After looking into financial firms and confirming recovery in the corporate sector, the next sector investors may look at could be leasing if companies decide to
2,827.7 points, extending a 0.6 per cent rise on Wednesday. The index is nearing the key technical 250-day moving average level at 2,831 points. Petrochina Co, the largest company on the Shanghai stock exchange by market value, rose 1.3 per cent while China Petroleum & Chemical Corp gained 2 per cent. Software companies also outperformed after China's state council said it was planning new measures to promote the software and integrated circuit industries. SVA Information Industry Co , the biggest gainer on the Shanghai market, jumped nearly its 10 per cent daily limit, while Shanghai Baosight Software Co rose 7.1 per cent. Analyst said a 9.6 per cent fall in Sinovel Wind Group Co shares in its Shanghai trading debut weighed on sentiment. It was the biggest loser in the Shanghai market.-Reuters
increase capital spending," Chisato Haganuma, chief strategist at Mitsubishi UFJ Morgan Stanley Securities, wrote in a report. The property sector was also among the top gainers, adding 2.2 per cent, as foreign funds piled into real estate shares supported by the Bank of Japan's asset buying scheme and as vacancy rates in high-grade buildings in Tokyo fell in the October-December quarter. The property sector has gained around 20 per cent since the scheme was launched in October, outperforming the Nikkei's 13 per cent rise over the same period. The benchmark Nikkei ended up 0.7 per cent or 76.96 points at 10,589.76. Immediate resistance looms at the May 13, 2010, high of 10,638.23. The next target eyed by investors is the 10,847.90 mark recorded on May 6. The broader Topix added 0.9 per cent to 937.74. Nikko Cordial's Suezawa said that, if US earnings show brisk demand for consumer goods, investor interest in exporting manufacturers such auto and electronics makers could continue lifting the Nikkei. "There are hopes that the Nikkei is on track to rise to 11,000 in the medium term and 12,000 by the end of the year," he said.-Reuters
LONDON: The leading share index fell on Thursday, as a disappointing trading update from Tesco upset food retailers and tobacco stocks were hit by a broker's downgrade. At the close, the FTSE 100 was down 26.84 points, or 0.4 per cent, at 6,023.88, after hitting a 31-month closing peak on Wednesday. Tesco was the biggest FTSE 100 faller, down 4.3 per cent after the world's third-biggest retailer missed Christmas sales forecasts. "Tesco's figures are proof that bigger is not always best and while it has managed to hold its share of the UK grocery market ... further gains are likely to be limited," said Manoj Ladwa, a senior trader at ETX Capital. Weakness in tobacco issues was a big drag on UK blue chips, as negative broker See # 15 Page 11
Indian shares at 7-wk closing low MUMBAI: Indian shares fell for the seventh day in eight sessions on Thursday, with disappointing results from software services bellwether Infosys Technologies adding to investor gloom over rising prices and the prospect of tighter monetary policy. Food inflation in the world's second-fastest growing major economy eased marginally from a one-year peak in early January, but remained high enough to keep pressure on annual headline inflation in
December and reinforce expectations of an interest rate rise this month. Infosys Technologies fell 4.8 per cent in its biggest one-day slide in 20 months, after it missed estimates for profit and future sales growth and warned of sluggish global economic growth. The 30-share BSE index fell 1.8 per cent, or 351.28 points to 19,182.82, its lowest close in seven weeks and the outlook remained subdued. See # 14 Page 11
Salman Naqvi, Head of Sales Aba Ali Habib Securities The bullish activities are likely to sustain in the market due to continued foreign buying, higher international oil prices, expectations of better corporate results, and hopes of early launch of leverage product. Therefore the main index can soon touch 12,800 level. Investors are recommended to take positions in oil, gas, and fertiliser sectors as well as selective stocks of the banking and cement sectors. Market would remain positive today.
Hamad Aslam, Head of Research BMA Capital Market is in overbought zone and a technical correction is overdue as a result index can fall as low as 11,500 points down the line. However, from that point onwards we can see result-based rally in the market. Investors better avoid taking new positions and wait for dips. At lower levels they can invest in fertiliser, OMC, and power sectors. The launch of MTS and upcoming corporate results would spark off fresh bullishness, however, a likely increase in the interest rate would prove otherwise. Market would remain positive in the first session today, however, we might see some correction in the second half.
6
Friday, January 14, 2011
Market
KSE 100 Index
Symbols
Volume
229,463,724
Value
11,649,856,824
Trades
98,160
Advanced Decline Unchanged Total
Current High Low Change
215 169 25 409
All Share Index
12,459.44 12,481.06 12,281.24 h178.20
Current High Low Change
8,638.23 8,652.16 8,523.72 h114.51
OIL AND GAS
Company
Paid up Cap(mn)
Current High Low Change
KMI 30 Index Current High Low Change
12,238.23 12,262.57 12,014.57 h223.66
20,130.03 20,143.22 19,880.67 h249.36
High Low 1,624.98 1,591.53 Total cos Defaulter cos P/BV (x) ROE (%) 3.76 32.54
PE
Open
High
Low
Close Chg
Volume
365.02 138.87 11.53 128.80 311.18 171.13 221.09 327.44 107.25 293.73 32.89 205.19
383.27 140.75 11.65 132.98 320.50 174.99 224.75 335.25 108.99 298.51 33.14 208.00
370.90 135.00 11.35 129.03 312.00 171.25 220.90 328.05 107.06 294.10 32.00 204.50
383.24 18.22 137.61 -1.26 11.42 -0.11 131.90 3.10 316.59 5.41 174.62 3.49 223.31 2.22 332.10 4.66 107.50 0.25 297.65 3.92 32.99 0.10 205.66 0.47
1173103 4411260 733594 314443 433320 1717373 1665113 4143367 84548 2027736 20313 160421
Last 60 days High Low 383.27 140.75 12.49 136.48 320.50 185.00 228.88 335.25 114.50 300.53 40.28 209.89
287.99 88.32 10.49 111.50 203.00 149.50 184.00 231.01 72.05 262.00 31.05 182.05
% Change 1.63 5-Day High 1,628.77 5-Day Low 1,590.91
2010 Div BR (%) (%) 300 31 200 55 90 255 80 40
2011 Div BR (%) (%)
20B - 15.00 20B -
-
CHEMICALS
Open 716.27 Turnover 83,238 P/E (x) 5.61 Company
Paid up Cap(mn)
Pak Int Cont.Terminal PNSC
1092 1321
High Low 737.35 714.35 Total cos Defaulter cos P/BV (x) ROE (%) 1.43 25.53
Close 732.48 Listed cap 3,242.17 mn Payout (%) 11.08
Change 16.20 Market cap 12,915.83 mn Div Yield (%) 1.97
PE
Open
High
Low
Close Chg
Volume
Last 60 days High Low
7.04 40.98
69.30 35.91
71.00 37.70
68.75 36.50
70.39 37.70
38050 45188
77.77 40.42
1.09 1.79
60.05 32.36
PE
Open
High
Low
Agritech Limited 3924 8.06 Biafo Ind 200 5.23 BOC (Pak) 250 13.74 Clariant Pak 273 7.20 Dawood Hercules 1203 8.40 Descon Chemical 1996 Descon Oxychem Ltd. 1020 Dewan Salman 3663 Engro Corporation Ltd 3277 11.50 Engro Polymer 6635 Fatima Fertilizer 22000 Fauji Fertilizer 6785 9.97 Fauji Fert. Bin Qasim 9341 7.38 Ghani Gases Ltd 725 9.52 ICI Pakistan 1388 8.76 Leiner Gelatine 75 Lotte Pakistan 15142 5.54 Mandviwala 74 Nimir Ind Chemical 1106 Pak Gum 42 Shaffi Chemical 120 Sitara Chem Ind 214 10.21 Sitara Peroxide 551 14.63 United Distributors 92 Wah-Noble 90 7.81
Company
22.65 48.75 100.00 195.11 200.43 3.16 8.41 3.16 205.25 15.05 11.66 136.59 39.19 12.60 153.31 14.00 14.54 1.61 1.93 26.51 2.35 124.00 13.50 9.75 39.71
22.70 48.50 102.00 195.00 204.00 3.37 8.54 3.29 210.90 15.22 11.67 138.20 39.50 12.70 156.89 13.00 15.54 1.76 1.99 25.19 2.45 124.95 13.68 8.81 41.40
22.25 46.75 99.51 187.00 200.00 3.10 8.35 3.09 203.15 14.65 11.37 135.84 38.76 12.40 153.47 13.00 14.44 1.54 1.88 25.19 2.40 121.25 13.30 8.76 39.50
Close Chg 22.25 48.15 100.01 188.25 202.61 3.11 8.36 3.16 209.31 14.75 11.51 137.65 39.12 12.56 155.45 13.00 15.50 1.63 1.93 25.19 2.40 124.62 13.46 8.76 40.60
-0.40 -0.60 0.01 -6.86 2.18 -0.05 -0.05 0.00 4.06 -0.30 -0.15 1.06 -0.07 -0.04 2.14 -1.00 0.96 0.02 0.00 -1.32 0.05 0.62 -0.04 -0.99 0.89
Close 1,511.18 Listed cap 52,251.88 mn Payout (%) 48.81
Last 60 days High Low
Volume 6100 115 15861 143692 57585 2511 61755 2250045 4584221 1676627 1421032 2862419 12940966 23208 665387 200 59415110 40396 579428 301 935 5008 106598 2690 17269
Change 17.61 Market cap 339,782.54 mn Div Yield (%) 5.26
24.85 59.20 103.94 209.98 204.98 3.74 9.25 4.24 210.99 15.87 11.80 138.20 39.51 13.07 156.89 24.00 15.54 2.50 2.74 27.40 3.40 139.40 14.69 11.75 43.75
20.26 36.10 74.00 149.72 165.73 2.10 3.92 1.39 174.65 12.90 9.16 106.01 29.03 11.00 121.00 12.57 8.90 0.80 1.35 17.01 1.80 101.00 8.35 8.51 32.00
% Change 1.18 5-Day High 1,511.18 5-Day Low 1,464.06
2010 Div BR (%) (%) 45 15 40 40 95 17.5 55 25 50
2011 Div BR (%) (%)
- 12.50 5B -
-
FORESTRY AND PAPER Performance of SR Forestry & Paper Index Open 1,227.44 Turnover 60,110 P/E (x) 6.29 Company
High Low 1,236.75 1,215.21 Total cos Defaulter cos P/BV (x) ROE (%) 0.47 7.47
Close 1,233.80 Listed cap 1,186.83 mn Payout (%) 25.28
Paid up Cap(mn)
PE
Open
High
Low
Close Chg
Volume
707 50 411
8.84 6.90
18.60 45.80 44.96
19.05 45.99 44.79
18.50 45.90 44.30
18.99 0.39 45.95 0.15 44.70 -0.26
51095 200 8815
Century Paper Pak Paper Product Security Paper
Change 6.37 Market cap 3,419.18 mn Div Yield (%) 4.02
Last 60 days High Low 19.69 48.90 47.70
15.28 38.75 38.00
% Change 0.52 5-Day High 1,235.13 5-Day Low 1,226.02
2010 Div BR (%) (%) 2533.33B 50 -
2011 Div BR (%) (%) -
-
Open 1,263.13 Turnover 337,659 P/E (x) 4.71 Paid up Cap(mn)
Agriautos Ind Atlas Battery Atlas Engineering Ltd Atlas Honda Dewan Motors Exide (PAK) General Tyre Ghandhara Nissan Ghani Automobile Ind Honda Atlas Cars Indus Motors Pak Suzuki Sazgar Engineering
PE
High Low 1,306.10 1,269.07 Total cos Defaulter cos P/BV (x) ROE (%) 1.19 25.35
Close 1,288.16 Listed cap 6,768.53 mn Payout (%) 20.42
Open
High
Low
Close Chg
Volume
144 5.99 77.00 101 6.00 196.14 247 19.86 21.19 626 9.78 136.36 890 2.27 56 4.84 203.19 598 21.96 25.00 450 3.46 5.05 200 6.88 4.35 1428 - 11.72 786 6.45 274.55 823 11.32 70.85 150 3.98 21.68
80.00 201.90 22.24 136.95 2.36 205.19 26.25 5.36 4.44 12.00 286.98 72.00 21.70
77.40 195.00 22.24 135.00 2.20 200.01 25.26 4.95 4.07 11.72 278.75 70.01 21.11
79.01 2.01 201.03 4.89 22.24 1.05 135.00 -1.36 2.30 0.03 204.99 1.80 25.47 0.47 4.98 -0.07 4.40 0.05 11.89 0.17 282.71 8.16 71.07 0.22 21.35 -0.33
17440 18552 101 580 99877 118 13174 14754 607 38602 63581 69025 1247
Company
Paid up Cap(mn)
Crescent Steel Dost Steels Ltd Huffaz Pipe International Ind
PE
Open
High
Low
565 4.35 675 555 9.71 1199 12.09
26.99 2.55 15.52 56.28
28.24 2.72 15.65 59.09
26.71 2.51 15.40 57.00
Close Chg 27.81 2.56 15.53 58.03
0.82 0.01 0.01 1.75
Close 1,085.71 Listed cap 3,596.11 mn Payout (%) 30.91
242302 82303 24107 187763
28.45 3.39 16.51 62.20
Open 1,695.79 Turnover 560,644 P/E (x) 37.91 Company Adam Sugar AL-Noor Sugar Baba Farid Bawany Sugar Chashma Sugar Clover Pakistan Colony Sugar Mills Crescent Sugar Faran Sugar Habib SugarSPOT Habib-ADM Ltd J D W Sugar Mehran SugarXDXB Mirza Sugar Mithchells Fruit Nestle Pakistan Noon Sugar Pangrio Sugar Premier Sugar Quice Food S S Oil Sakrand Sugar Sanghar SugarSPOT Shahmurad Sugar Shakarganj Mills Sind AbadgarSPOT Tandlianwala Thal Industries Wazir Ali
Paid up Cap(mn) 58 186 95 87 287 94 990 214 217 600 200 490 157 141 50 453 165 109 38 107 57 223 119 211 695 104 1177 150 80
PE
Change 24.91 Market cap 10,559.66 mn Div Yield (%) 9.04
24.00 2.00 12.50 44.00
Company
Paid up Cap(mn)
Al-Abbas Cement Attock Cement Balochistan Glass Ltd Berger Paints Bestway Cement Cherat Cement Dadabhoy Cement Dandot Cement Dewan Cement DG Khan Cement Ltd Fauji Cement Fecto Cement Flying Cement Ltd Frontier Ceramics Gharibwal Cement Kohat Cement Lafarge Pakistan Cmt. Lucky Cement Maple Leaf Cement Pioneer Cement Safe Mix Concrete Shabbir Tiles Thatta Cement
PE
1828 866 6.61 858 182 3257 956 24.30 982 13.23 948 3891 3651 129.25 6933 15.24 502 3.75 1760 77 2319 1288 13126 3234 6.85 5261 1.30 2228 200 361 798 443.75
Open 3.10 62.48 2.43 21.44 18.10 10.60 1.75 2.59 2.13 30.33 4.92 7.05 1.77 1.56 7.50 6.41 3.20 74.68 2.77 7.02 7.00 8.50 17.48
High 3.19 63.35 2.90 21.70 17.55 10.70 1.75 2.26 2.20 31.45 5.05 7.20 1.86 2.40 7.77 6.60 3.43 76.55 2.81 7.17 7.00 8.70 17.90
Low 3.02 62.05 2.41 21.25 17.50 10.51 1.66 2.25 2.09 30.36 4.93 7.00 1.70 1.51 6.55 6.36 3.16 74.75 2.73 6.94 6.50 8.35 17.50
Close Chg 3.05 62.76 2.45 21.40 17.51 10.69 1.72 2.26 2.13 31.02 5.03 7.20 1.76 1.70 6.60 6.50 3.36 76.27 2.79 7.13 7.00 8.52 17.75
-0.05 0.28 0.02 -0.04 -0.59 0.09 -0.03 -0.33 0.00 0.69 0.11 0.15 -0.01 0.14 -0.90 0.09 0.16 1.59 0.02 0.11 0.00 0.02 0.27
Close 1,009.82 Listed cap 54,792.74 mn Payout (%) 19.04
9808 52172 8539 23644 1300 18089 12020 4500 145062 25483061 900963 16151 89096 42424 699 16816 1058767 4268155 192387 89285 515 999 515000
3.98 65.99 4.24 24.16 24.80 12.75 2.49 3.49 3.10 32.10 5.55 8.20 2.25 5.00 9.19 8.70 3.79 79.98 3.30 8.58 7.50 9.60 22.24
Change 25.04 Market cap 47,057.76 mn Div Yield (%) 4.34
Last 60 days High Low
2010 Div BR (%) (%) 30 40
20B
2011 Div BR (%) (%) -
-
Change 16.21 Market cap 71,748.31 mn Div Yield (%) 2.36
Company
Paid up Cap(mn)
AL-Abid Silk Diamond Ind Hussain Industries Pak Elektron Tariq Glass Ind
134 90 106 1174 231
PE 3.42 3.87 2.63
2.80 57.60 1.10 14.53 17.10 10.00 1.31 1.11 1.40 25.27 4.72 4.85 1.60 1.18 2.70 5.80 2.79 69.20 2.66 6.52 5.25 6.30 17.02
Company Cherat Papersack ECOPACK Ltd Ghani Glass MACPAC Films Merit Pack Packages Ltd Tri-Pack Films
Paid up Cap(mn)
PE
Open
115 2.78 78.66 230 2.71 1067 5.04 54.42 389 3.49 47 58.63 22.50 844 65.40 128.63 300 9.39 127.10
High
Low
Close Chg
79.40 78.00 78.20 2.84 2.64 2.66 56.45 54.00 54.85 3.70 2.93 3.10 23.60 22.90 23.45 129.00 125.10 127.53 129.00 127.00 128.79
-0.46 -0.05 0.43 -0.39 0.95 -1.10 1.69
Close 1,049.44 Listed cap 3,043.31 mn Payout (%) 15.55
Volume 37592 8503 16864 691 4656 72343 11964
2010 Div BR (%) (%) - 100R 50 - 122R - 20R 40 - 50R
Change -2.90 Market cap 39,591.10 mn Div Yield (%) 5.34
Last 60 days High Low 83.23 3.30 56.45 4.05 25.90 136.74 129.90
2011 Div BR (%) (%) -
-
34.00 1.82 45.30 1.60 15.10 101.00 100.00
% Change -0.28 5-Day High 1,052.34 5-Day Low 1,046.14
2010 Div BR (%) (%) 20 25 -
25B 10B -
2011 Div BR (%) (%) -
-
INDUSTRIAL ENGINEERING Performance of SR Industrial Engineering Index Open 1,564.47 Turnover 206,551 P/E (x) 8.61
High Low 1,591.48 1,564.96 Total cos Defaulter cos P/BV (x) ROE (%) 3.27 38.02
Company
Paid up Cap(mn)
PE
Open
High
Low
Ados Pak
66
1.05
16.03
16.25
16.25
AL-Ghazi Tractor
215
Dewan Auto Engineering 214
5.68 236.49 -
1.27
Ghandhara Ind
213 12.06
13.13
Hinopak Motor
124
KSB Pumps
132
7.19
Millat Tractors XB
366
7.08 531.16
Pak Engineering
- 127.02 59.55
57 500.33 188.93
1.59
1.17 12.91
Volume
Last 60 days High Low
16.25
150
18.20
14.12
-
240.00
200.00
150
1.46
0.22 0.85 0.19
13.02 -0.11
126.00 124.00 126.00 -1.02 60.78
59.99
Change 21.71 Market cap 34,312.48 mn Div Yield (%) 15.28
Close Chg
238.00 236.00 237.34 13.25
Close 1,586.18 Listed cap 1,336.62 mn Payout (%) 131.49
60.01
0.46
542.75 533.00 541.10
9.94
181.00 179.50 180.12 -8.81
1369 2577
2.40
Open 33.44 11.68 7.24 14.52 20.92
High 31.84 10.71 7.39 15.52 21.96
65.75 141.00 15.00 95.25 1.20 142.90 21.00 4.12 4.00 10.60 227.00 66.75 17.92
2010 Div BR (%) (%) 90 100 60 20 150 10
2011 Div BR (%) (%)
20B 20B
-
-
Low
Close Chg 0.00 -1.66 0.55 0.01 -0.04 -2.84 -0.19 -0.73 0.31 -0.52 -0.18 0.16 0.79 -0.07 -2.53 45.40 0.15 0.02 0.81 0.03 0.00 0.01 -0.20 0.47 0.10 -0.15 1.82 -2.91 -0.98
Close 1,701.61 Listed cap 11,335.33 mn Payout (%) 30.57
Volume
Change 5.82 Market cap 230,933.35 mn Div Yield (%) 0.81
Last 60 days High Low
803 20.50 12.46 3625 53.02 41.00 131 68.20 49.45 1991 6.73 1.21 8351 15.47 8.50 690 78.40 46.15 1459 5.70 2.60 11001 7.00 5.00 1736 21.73 19.00 297686 36.50 29.00 4100 13.10 11.69 7721 92.50 69.51 18463 68.49 50.50 3474 7.18 4.20 293 89.90 61.50 519 2550.00 1830.00 2843 14.84 9.00 1700 6.99 4.25 140 53.81 34.29 171000 3.20 2.02 2500 3.89 3.00 1000 3.90 2.11 6957 15.00 13.00 10365 13.50 9.85 115 7.88 4.06 191 11.20 4.75 564 38.70 28.88 500 98.70 56.20 500 8.89 4.75
% Change 0.34 5-Day High 1,701.61 5-Day Low 1,669.92
2010 Div BR (%) (%)
2011 Div BR (%) (%)
25 50 10 15 25 25 25B 40 7010B 12.5R 35 20B 10 40 450 10 10 15 10 10 15 -
-
-
High Low 1,169.75 1,110.25 Total cos Defaulter cos P/BV (x) ROE (%) 0.34 10.64 Low 31.77 10.70 6.41 14.42 20.80
Close Chg 31.77 10.70 6.42 15.36 21.96
-1.67 -0.98 -0.82 0.84 1.04
Close 1,159.76 Listed cap 3,763.71 mn Payout (%) 6.27
Volume 427 1500 1502 1190040 70901
Change 32.27 Market cap 5,308.80 mn Div Yield (%) 1.97
Last 60 days High Low 40.00 15.84 11.49 15.62 21.96
23.00 7.55 6.10 12.90 15.90
% Change 2.86 5-Day High 1,160.62 5-Day Low 1,127.50
2010 Div BR (%) (%)
2011 Div BR (%) (%)
-20B 20R - 10B 17.5 -
-
-
PERSONAL GOODS Open 1,007.46 Turnover 13,320,429 P/E (x) 7.29
% Change 1.63 5-Day High 1,009.82 5-Day Low 991.31
Performance of SR General Industrials Index High Low 1,061.57 1,036.83 Total cos Defaulter cos P/BV (x) ROE (%) 1.28 43.91
80.00 201.90 22.24 143.80 2.89 217.44 26.25 5.67 5.75 13.40 286.98 77.90 26.00
% Change 1.98 5-Day High 1,288.16 5-Day Low 1,227.71
Fundamental Highlights As on Jun 30, 2010
Technical Analysis RSI (14-day)
68.40
Total Assets (Rs in mn)
MA (10-day)
12.17
Total Equity (Rs in mn)
MA (100-day)
13.23
Revenue (Rs in mn)
2,832.00 222.64 2,086.52
MA (200-day)
14.39
Interest Expense
1st Support
12.85
Profit after Taxation
2nd Support
12.71
EPS 10 (Rs)
6.363
57.78
1st Resistance
13.19
Book value / share (Rs)
10.45
2nd Resistance
13.39
PE 11 E (x)
12.16
Pivot
13.05
PBV (x)
135.56
1.26
GHNI closed down -0.11 at 13.02 Volume was 116 per cent above average and Bollinger Bands were 13 per cent narrower than normal. The company's profit after taxation stood at Rs5.766 million which translates into an Earning Per Share of Rs0.27 for the 1st quarter of current fiscal year (1QFY11). GHNI is currently 9.5 per cent below its 200-day moving average and is displaying an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into GHNI (bullish). Trend forecasting oscillators are currently bullish on GHNI.
First Dawood Investment Bank Ltd
Fundamental Highlights As on Jun 30, 2010
Technical Analysis RSI (14-day)
56.80
Total Assets (Rs in mn)
MA (10-day)
1.84
Total Equity (Rs in mn)
688.56
MA (100-day)
1.78
Revenue (Rs in mn)
292.79
MA (200-day)
1.78
Interest Expense
3,148.11
123.89
1st Support
1.81
Profit after Taxation
377.68
2nd Support
1.72
EPS 10 (Rs)
6.028
1st Resistance
1.99
Book value / share (Rs)
10.99
2nd Resistance
2.08
PE 11 E (x)
0.69
Pivot
1.90
PBV (x)
0.18
FDIBL closed down -0.090 at 1.84 Volume was 70 per cent below average (consolidating) and Bollinger Bands were 50 per cent narrower than normal. The company's profit after taxation stood at Rs43.733 million which translates into an Earning Per Share of Rs0.70 for the 1st quarter of current fiscal year (1QFY11). FDIBL is currently 3.6 per cent above its 200-day moving average and is displaying a downward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect volume flowing into and out of FDIBL at a relatively equal pace. Our trend forecasting oscillators are currently bearish on FDIBL.
Crescent Jute Products Limited
HOUSEHOLD GOODS
% Change 2.35 5-Day High 1,085.71 5-Day Low 1,060.80
GENERAL INDUSTRIALS Open 1,052.34 Turnover 152,710 P/E (x) 2.91
-
Performance of SR Personal Goods Index
Last 60 days High Low
Volume
High
Open 1,127.50 Turnover 1,264,371 P/E (x) 3.18
CONSTRUCTION AND MATERIALS High Low 1,019.87 989.58 Total cos Defaulter cos P/BV (x) ROE (%) 0.57 7.10
Open
High Low 1,716.43 1,667.72 Total cos Defaulter cos P/BV (x) ROE (%) 11.49 30.30
1.21 19.50 20.30 19.13 19.50 3.62 51.21 51.00 49.01 49.55 - 59.95 60.90 60.50 60.50 5.00 5.50 5.00 5.01 1.08 10.74 10.75 10.50 10.70 11.65 74.11 71.61 71.00 71.27 2.87 3.60 3.77 3.31 3.41 6.78 6.49 5.78 6.05 4.23 20.75 21.50 20.50 21.06 6.86 31.04 31.30 30.30 30.52 11.31 12.40 12.37 12.20 12.22 3.19 89.86 91.95 88.71 90.02 3.19 53.20 54.00 52.60 53.99 0.63 6.29 6.29 6.00 6.22 8.73 83.03 86.85 80.00 80.50 27.47 2455.10 2550.00 2457.00 2500.50 9.85 10.24 9.30 10.00 0.91 6.20 6.25 6.00 6.22 4.33 43.69 44.50 41.51 44.50 6.68 2.91 3.00 2.77 2.94 0.27 3.20 3.50 3.20 3.20 1.35 2.80 2.81 2.80 2.81 1.27 14.46 15.00 14.25 14.26 7.50 11.00 11.50 11.05 11.47 5.40 5.99 5.05 5.50 5.29 11.15 11.10 11.00 11.00 351.64 36.86 38.70 38.60 38.68 7.09 59.11 56.20 56.20 56.20 7.99 7.01 6.99 7.01
Performance of SR Construction and Materials Index Open 993.61 Turnover 32,948,971 P/E (x) 8.06
-
Performance of SR Household Goods Index
Last 60 days High Low
Volume
2011 Div BR (%) (%)
-
FOOD PRODUCERS
INDUSTRIAL METALS AND MINING High Low 1,103.15 1,062.18 Total cos Defaulter cos P/BV (x) ROE (%) 1.13 33.10
40 15
Performance of SR Food Producers Index
Performance of SR Industrial Metals and Mining Index Open 1,060.80 Turnover 536,575 P/E (x) 3.42
2010 Div BR (%) (%)
Performance of SR Automobile and Parts Index
Company
High Low 1,521.88 1,481.87 Total cos Defaulter cos P/BV (x) ROE (%) 3.25 35.00
% Change 2.26 5-Day High 732.48 5-Day Low 716.27
AUTOMOBILE AND PARTS
Performance of SR Chemicals Index
Paid up Cap(mn)
Ghandhara Industries Limited
Performance of SR Industrial Transportation Index
Close Change 1,616.78 25.87 Listed cap Market cap 65,194.15 mn 1,243,798.83 mn Payout (%) Div Yield (%) 55.94 4.84
Attock Petroleum 691 6.64 Attock Refinery 853 7.71 BYCO Petroleum 3921 Mari Gas Company 735 17.87 National Refinery 800 4.69 Oil & Gas Development 43009 11.81 Pak Petroleum 11950 9.08 Pak Oilfields 2365 7.84 Pak Refinery Limited 350 P.S.O 1715 5.04 Shell Gas LPG 226 Shell Pakistan 685 10.55
Open 1,493.57 Turnover 85,455,999 P/E (x) 9.28
Alert ! Unusual Movements
INDUSTRIAL TRANSPORTATION
Performance of SR Oil and Gas Index Open 1,590.91 Turnover 16,150,997 P/E (x) 11.57
KSE 30 Index
Company
Paid up Cap(mn)
(Colony) Thal Ahmed Hassan Amtex Limited Artistic Denim Azgard Nine Babri Cotton Bannu Woolen XD Bata (Pak) Bilal Fibres Blessed Tex Mills Chenab Limited Colgate Palm Colony Mills Ltd Crescent Jute D S Ind Ltd Dawood Lawrencepur Dewan Farooque Spin. Dewan Mushtaq Textile Din Textile Ellcot Spinning Faisal Spinning Gadoon Textile XD Gul Ahmed Textile Gulistan Spinning Gulshan Spinning Hajra Textile Hira Textile Mills Ltd. Ibrahim Fibres ICC Textile Idrees Textile J K Spinning Janana D Mal Kohat Textile Kohinoor Ind Kohinoor Textile Masood Textile Mohd Farooq Mukhtar Textile Nishat (Chunian) Nishat Mills Pak Synthetic Paramount Spinning Premium Textile Ravi Textile Rupali Poly Saif Textile Sally Textile Salman Noman Sana Ind Sapphire Textile Sargodha Spinning Service Fabrics Service Ind Shadab Textile Shahpur Textile Shahtaj Textile Suraj Cotton Thal Limited Treet Corp ZahidJee Textile Zil Limited
56 144 2594 840 4493 33 76 76 141 64 1150 316 2442 238 600 514 600 34 204 110 100 234 635 146 222 138 716 3105 100 180 184 43 208 303 1455 600 189 145 1596 3516 560 174 62 250 341 264 88 42 55 201 312 158 120 30 140 97 180 307 418 341 53
-
PE
Open
High
Low
2.65 9.41 6.54 0.50 0.51 5.28 0.27 0.82 36.05 3.89 50.88 3.06 0.16 0.57 0.63 0.86 0.76 4.33 1.27 0.91 0.73 3.69 4.11 0.91 0.27 0.53 3.57 2.04 1.96 5.98 3.24 0.73 0.44 4.87 0.38 0.21 2.38 3.56 0.85 0.48 7.91 0.37 0.67 0.90 5.48 9.47 0.51 3.75
1.01 17.50 4.08 23.19 9.38 13.35 14.40 640.00 1.05 52.09 3.11 950.00 2.35 1.05 1.70 43.47 3.99 5.05 25.43 20.95 33.40 69.64 31.00 6.60 7.50 0.59 3.92 45.99 1.20 3.55 6.10 17.00 0.99 1.64 5.00 20.25 1.33 0.47 23.26 68.04 9.70 10.00 29.50 1.50 37.76 4.51 4.28 5.68 46.95 104.04 2.45 0.16 229.70 13.30 0.33 19.41 40.00 126.61 59.87 3.80 53.34
1.29 17.50 4.23 23.80 9.75 14.00 14.84 645.00 1.00 54.69 3.15 966.00 2.49 1.25 1.74 43.25 3.86 5.80 26.70 21.78 35.05 69.90 32.00 7.45 7.48 0.50 3.99 47.00 1.60 3.80 6.00 18.00 1.00 1.69 5.24 20.74 1.30 0.73 23.78 70.00 10.35 10.00 29.00 1.50 38.78 4.75 4.25 5.69 47.00 100.00 2.60 0.38 232.70 13.20 0.70 19.90 40.00 129.95 60.20 3.80 56.00
0.85 16.50 4.05 23.10 9.38 12.35 14.11 625.00 1.00 54.50 3.05 949.99 2.48 0.91 1.70 42.91 3.80 5.10 26.50 20.75 34.79 69.00 30.11 6.65 6.95 0.44 3.91 45.75 0.32 3.60 6.00 16.00 0.99 1.46 4.90 19.25 1.08 0.40 23.15 68.20 9.60 10.00 28.03 1.35 37.51 4.56 3.90 5.15 46.05 100.00 2.50 0.38 229.50 13.20 0.47 19.50 39.85 127.11 59.35 3.80 54.31
Open 979.88 Turnover 178,323 P/E (x) 7.74
-
-
0.21
-
-
-
-
83908
14.80
10.55
-
-
-
-
1400
147.89
114.01
-
-
-
-
4688
78.90
58.55
-
-
-
-
113630
542.75
443.00
650
25B
-
-
1387
310.00
179.50
100
-
-
-
1.24 16.52 4.14 23.53 9.66 12.35 14.50 637.01 1.00 54.69 3.06 960.24 2.49 1.12 1.74 43.25 3.80 5.10 26.60 20.75 34.98 69.58 30.11 6.65 7.48 0.50 3.91 46.89 1.14 3.78 6.00 16.35 1.00 1.56 5.00 19.32 1.11 0.45 23.63 69.71 9.60 10.00 28.03 1.49 38.78 4.70 4.23 5.61 46.88 100.00 2.50 0.38 231.00 13.20 0.48 19.65 40.00 128.30 59.49 3.80 56.00
0.23 -0.98 0.06 0.34 0.28 -1.00 0.10 -2.99 -0.05 2.60 -0.05 10.24 0.14 0.07 0.04 -0.22 -0.19 0.05 1.17 -0.20 1.58 -0.06 -0.89 0.05 -0.02 -0.09 -0.01 0.90 -0.06 0.23 -0.10 -0.65 0.01 -0.08 0.00 -0.93 -0.22 -0.02 0.37 1.67 -0.10 0.00 -1.47 -0.01 1.02 0.19 -0.05 -0.07 -0.07 -4.04 0.05 0.22 1.30 -0.10 0.15 0.24 0.00 1.69 -0.38 0.00 2.66
Volume 10011 500 166181 1958 5158201 28585 2165 1211 500 10550 11004 287 1462 39483 60681 1601 1500 5004 689 1918 700 2922 1092 103 501 1001 8448 138720 10517 27027 626 6569 700 3314 59001 10490 12150 268 1959940 5307185 9104 2000 7505 8030 1384 5667 11191 3320 230 500 201 500 897 3000 101 2286 20000 111851 54721 10000 12834
Change 3.03 Market cap 138,372.44 mn Div Yield (%) 2.29
Last 60 days High Low 1.99 17.95 11.85 24.59 12.32 17.85 14.84 747.48 2.80 54.69 3.90 966.00 3.33 1.38 2.37 47.00 8.00 7.44 27.54 22.20 36.75 71.40 32.00 8.86 10.30 1.10 4.88 47.50 2.70 4.45 9.50 19.40 1.50 2.00 5.97 21.40 2.08 0.95 25.14 70.00 10.50 11.25 31.03 1.99 39.00 6.85 5.75 6.00 48.95 109.00 3.43 0.48 276.50 15.09 1.01 21.90 40.00 132.00 63.30 4.87 58.99
0.52 16.50 4.00 19.10 9.20 8.10 10.82 446.00 0.61 45.25 2.94 723.00 2.16 0.16 1.52 36.10 3.00 1.80 21.50 17.21 29.00 38.30 22.00 5.01 6.30 0.30 3.35 34.98 0.30 2.60 4.05 13.25 0.51 1.10 4.82 18.01 0.50 0.14 18.19 49.65 5.25 8.00 25.00 1.26 31.25 3.10 3.57 2.01 28.40 89.80 1.50 0.16 169.00 7.56 0.18 15.61 29.00 86.50 37.50 2.00 36.00
2010 Div BR (%) (%) 30 20 - 15B 20 50 5 20 10B 35 50 70 12.5 10 10 20B 10 20 10 20 5B 15 100R 15 25 45R 10 10B 50 40 10 5B 60 50 5 10 45 50 80 20B 35 -
% Change 0.30 5-Day High 1,013.09 5-Day Low 1,007.46 2011 Div BR (%) (%) -
-
Performance of SR Pharma and Bio Tech Index
2011 Div BR (%) (%) -
Close Chg
Close 1,010.49 Listed cap 47,070.70 mn Payout (%) 16.68
PHARMA AND BIO TECH
% Change 1.39 5-Day High 1,586.18 5-Day Low 1,549.21
2010 Div BR (%) (%)
High Low 1,016.38 1,004.59 Total cos Defaulter cos P/BV (x) ROE (%) 0.63 8.64
Company Abbott (Lab) Ferozsons (Lab) GlaxoSmithKline Highnoon (Lab) IBL HealthCare Ltd Otsuka Pak Sanofi-Aventis Searle Pak
Paid up Cap(mn) 979 250 1707 165 200 100 96 306
PE
Open
9.46 107.04 6.80 88.02 15.11 84.38 8.10 29.66 6.64 8.44 7.91 35.69 11.38 142.50 5.72 62.05
High
High Low 991.94 971.49 Total cos Defaulter cos P/BV (x) ROE (%) 1.73 22.31 Low
Close Chg
108.00 107.10 107.90 0.86 90.00 89.00 90.00 1.98 84.89 83.85 84.01 -0.37 29.25 28.51 29.25 -0.41 8.50 7.70 8.23 -0.21 35.50 34.00 35.45 -0.24 143.00 141.38 143.00 0.50 65.00 61.00 63.65 1.60
Close 984.67 Listed cap 3,904.20 mn Payout (%) 44.54
Volume 4379 4695 13415 7801 38123 2182 915 106781
112.50 113.00 89.98 30.48 9.00 35.70 146.40 65.00
89.88 82.20 68.50 23.50 7.16 29.26 116.00 59.00
55.48
Total Assets (Rs in mn)
1,287.92
MA (10-day)
0.98
Total Equity (Rs in mn)
(132.33)
MA (100-day)
0.87
Revenue (Rs in mn)
566.00
MA (200-day)
1.07
Interest Expense
1st Support
0.95
Loss after Taxation
(82.76)
2nd Support
0.76
EPS 10 (Rs)
(3.483)
1st Resistance
1.29
Book value / share (Rs)
39.18
2nd Resistance
1.44
PE 11 E (x)
Pivot
1.10
PBV (x)
(5.57) (0.19)
CJPL closed up 0.07 at 1.12 Volume was 115 per cent above average and Bollinger Bands were 19 per cent narrower than normal. The company's loss after taxation stood at Rs34.802 million which translates into a Loss Per Share of Rs1.46 for the 1st quarter of current fiscal year (1QFY11). CJPL is currently 1.3 per cent above its 200-day moving average and is displaying an upward trend. Volatility is low as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect volume flowing into and out of CJPL at a relatively equal pace. Trend forecasting oscillators are currently bullish on CJPL.
Saritow Spinning Mills Limited
Fundamental Highlights As on Jun 30, 2010
Technical Analysis RSI (14-day)
45.17
Total Assets (Rs in mn)
MA (10-day)
1.98
Total Equity (Rs in mn)
MA (100-day)
2.22
Revenue (Rs in mn)
MA (200-day)
2.04
Interest Expense
520.47
1st Support
2.00
Profit after Taxation
48.15
2nd Support
1.57
EPS 10 (Rs)
3.627
1st Resistance
2.68
Book value / share (Rs)
3.82
2nd Resistance
2.93
PE 11 E (x)
0.32
Pivot
2.25
PBV (x)
0.51
50.76 716.58 39.64
SSML closed up 0.52 at 2.48 Volume was 100 per cent below average (consolidating) and Bollinger Bands were 19 per cent wider than normal. The company's profit after taxation stood at Rs20.226 million which translates into an Earning Per Share of Rs1.52 for the 1st quarter of current fiscal year (1QFY11). SSML is currently 20.3 per cent above its 200-day moving average and is displaying a downward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect volume flowing into and out of SSML at a relatively equal pace. Trend forecasting oscillators are currently bearish on SSML.
BOOK CLOSURES Company
From
To
Ellcot Spinning Mills# Prosperity Weaving Mills# Mehran Sugar Mills Habib Sugar Mills Dawood Lawrencepur Lakson Tobacco Haseeb Waqas Sugar Mills Sanghar Sugar Mills Nagina Cotton Mills (TFC) Standard Chartered Bank Sindh Abadgar's Sugar Mills Shahtaj Sugar Mills Shashma Sugar Mills The Premier Sugar Mills Pangrio Sugar Mills Fecto Sugar Mills Thal Ind Corp Mirza Sugar Mills Baba Farid Sugar Mills
14-Jan 14-Jan 14-Jan 15-Jan 15-Jan 18-Jan 18-Jan 19-Jan 19-Jan 19-Jan 19-Jan 20-Jan 21-Jan 21-Jan 22-Jan 22-Jan 22-Jan 22-Jan 22-Jan
20-Jan 20-Jan 21-Jan 29-Jan 21-Jan 25-Jan 25-Jan 31-Jan 25-Jan 01-Feb 28-Jan 01-Feb 30-Jan 30-Jan 31-Jan 29-Jan 28-Jan 31-Jan 29-Jan
D/B/R 10,10(B) 25,25(B) 10 15 10 10 10 10 15 10 -
Spot AGM/Date 06-Jan 07-Jan 10-Jan 11-Jan 12-Jan 14-Jan 14-Jan 14-Jan -
20-Jan 20-Jan 21-Jan 29-Jan 21-Jan 25-Jan 25-Jan 31-Jan 25-Jan 28-Jan 27-Jan 31-Jan 31-Jan 31-Jan 29-Jan 28-Jan 31-Jan 29-Jan
INDICATIONS
Change 4.79 Market cap 32,982.47 mn Div Yield (%) 5.75
Last 60 days High Low
Fundamental Highlights As on Jun 30, 2010
Technical Analysis RSI (14-day)
2010 Div BR (%) (%) 20 30
% Change 0.49 5-Day High 989.01 5-Day Low 979.88 2011 Div BR (%) (%)
20B - 15.00 -
-
# Extraordinary General Meeting
OTHER SECTORS Symbols Climax Eng. Pakistan Cables TRG Pakistan Ltd. Shezan International Pak Tobacco Shifa Int.Hospitals Eye Television Media Times Ltd P.I.A.C.(A) AKD Capital Limited Pace (Pak) Ltd. Netsol Technologies
Open 5 54 3.25 136.66 115.9 32.53 23 41.07 2.53 48.93 2.41 21.42
High 4.1 56.7 3.4 138.8 117.95 33.75 23.5 39.02 2.64 49.29 2.44 22.49
Low Close 4.1 54.05 3.22 134.5 111.56 31.5 21.85 39.02 2.45 47.51 2.32 21.45
4.1 55 3.37 136.01 111.56 32 22.32 39.02 2.5 48.99 2.37 22.49
Change -0.9 1 0.12 -0.65 -4.34 -0.53 -0.68 -2.05 -0.03 0.06 -0.04 1.07
Vol 1000 13466 2049141 87521 806 1851 138910 156 345199 1601 1170448 1268981
7
Friday, January 14, 2011
FIXED LINE TELECOMMUNICATION Performance of SR Fixed Line Telecommunication Index Open 1,127.55 Turnover 3,914,182 P/E (x) 6.17 Paid up Cap(mn)
Company
Pak Datacom Pakistan Telecomm Co A Telecard WorldCall Tele Wateen Telecom Ltd
High Low 1,141.51 1,126.99 Total cos Defaulter cos P/BV (x) ROE (%) 0.79 12.84
PE
Open
High
Low
Close Chg
78 5.07 37740 12.87 3000 0.65 8606 6175 -
80.50 19.19 2.16 2.55 3.52
82.20 19.35 2.21 2.71 3.58
81.00 19.18 2.15 2.55 3.47
82.20 19.30 2.19 2.68 3.49
1.70 0.11 0.03 0.13 -0.03
Close 1,137.75 Listed cap 50,077.79 mn Payout (%) 62.56
Last 60 days High Low
Volume 101 2972597 342993 598491 55352
Change 10.21 Market cap 78,601.03 mn Div Yield (%) 10.14
106.00 20.12 2.69 3.45 4.25
76.50 18.21 2.12 2.40 3.35
% Change 0.91 5-Day High 1,147.68 5-Day Low 1,127.55
2010 Div BR (%) (%) 80 17.5 1 -
2011 Div BR (%) (%)
-
-
-
Ask Gen Insurance Atlas Insurance Century Insurance EFU General Insurance Habib Insurance IGI Insurance New Jub Insurance Pak Reinsurance Pak Gen Insurance PICIC Ins Ltd Premier Insurance Silver Star Insurance United Insurance XB Universal Insurance
204 6.46 369 6.32 457 6.76 1250 400 3.50 718 17.16 791 15.50 3000 44.92 250 1.73 350 303 6.51 253 4.47 400 2.21 263 -
Paid up Cap(mn)
Genertech Hub Power Japan Power KESC Kohinoor Energy Kot Addu Power Nishat Chunian Power Ltd Nishat Power Ltd Sitara Energy Ltd Southern Electric
High Low 1,382.83 1,349.70 Total cos Defaulter cos P/BV (x) ROE (%) 1.45 9.35
Close 1,371.03 Listed cap 95,369.29 mn Payout (%) 104.13
Change 15.15 Market cap 112,989.85 mn Div Yield (%) 6.72
PE
Open
High
Low
Close Chg
Volume
Last 60 days High Low
198 11572 7.23 1560 7932 1695 10.13 8803 5.50 3673 3.77 3541 28.55 191 3.59 1367 -
0.75 38.94 1.72 3.00 18.67 45.38 17.00 17.47 19.15 2.18
0.90 39.54 1.84 3.24 19.40 45.85 17.25 17.80 19.25 2.28
0.75 38.85 1.64 2.98 18.00 44.89 16.90 17.30 18.77 2.19
0.88 0.13 39.49 0.55 1.64 -0.08 3.07 0.07 18.23 -0.44 45.25 -0.13 17.20 0.20 17.70 0.23 19.24 0.09 2.24 0.06
20009 4284723 120048 3419740 51296 4609689 2495837 1380131 2199 68432
1.45 39.54 2.25 3.55 25.25 45.85 17.50 17.80 21.85 2.80
0.60 33.15 1.40 2.04 17.95 38.35 11.60 12.80 17.98 2.05
% Change 1.12 5-Day High 1,371.03 5-Day Low 1,326.22
2010 Div BR (%) (%) 50 15 50 20 -
2011 Div BR (%) (%)
7.8R -
-
Paid up Cap(mn)
Company
PE
Open
EFU Life Assurance
850 41.19
71.13
New Jub Life Insurance
627 28.79
41.70
Company
High Low 1,561.21 1,526.40 Total cos Defaulter cos P/BV (x) ROE (%) 1.12 11.41
Close 1,543.24 Listed cap 12,202.80 mn Payout (%) 66.79
PE
Open
High
Low
Close Chg
Volume
Last 60 days High Low
5491 8390
8.02 3.27
27.02 21.99
27.09 22.10
26.63 21.46
26.94 -0.08 21.68 -0.31
40874 661168
34.75 29.70
25.71 19.95
% Change -0.79 5-Day High 1,563.94 5-Day Low 1,543.24
2010 Div BR (%) (%) 20 15
2011 Div BR (%) (%)
25B
-
-
BANKS Performance of SR Banks Index
Paid up Cap(mn)
PE
Open
Allied Bank Limited 7821 7.04 Askari Bank 6427 8.40 Bank Alfalah 13492 14.13 Bank AL-Habib 7322 8.31 Bank Of Khyber 5004 5.48 Bank Of Punjab 5288 Bankislami Pak 52801020.00 Faysal Bank 7309 4.79 Habib Bank Ltd 10019 7.97 Habib Metropolitan Bank 8732 8.49 JS Bank Ltd 8150 KASB Bank Ltd 9509 MCB Bank Ltd 7602 11.01 Meezan Bank 6983 10.04 Mybank Ltd 5304 National Bank 13455 6.92 NIB Bank 40437 Samba Bank 14335 Silkbank Ltd 26716 Soneri Bank 6023 Stand Chart Bank 38716 13.06 Summit Bank Ltd 5000 United Bank Ltd 12242 8.12
Company
70.91 17.63 11.00 38.19 4.14 9.21 3.90 14.77 127.87 27.91 2.57 2.45 238.68 18.54 2.67 77.96 2.98 2.00 2.79 7.70 8.37 3.74 67.55
High
High Low Close 1,255.31 1,209.42 1,242.05 Total cos Defaulter cos Listed cap - 257,548.02 mn P/BV (x) ROE (%) Payout (%) 1.21 13.94 40.49 Low
Close Chg
72.80 70.50 72.44 1.53 17.90 17.40 17.64 0.01 11.15 10.93 11.02 0.02 38.85 38.00 38.55 0.36 4.31 4.10 4.11 -0.03 9.39 9.03 9.30 0.09 4.25 3.82 4.08 0.18 15.00 14.45 14.85 0.08 128.97 126.25 127.60 -0.27 28.40 27.74 27.75 -0.16 2.59 2.51 2.56 -0.01 2.53 2.45 2.53 0.08 250.48 238.50 248.46 9.78 19.19 18.60 18.98 0.44 2.89 2.70 2.73 0.06 79.48 77.66 79.24 1.28 3.18 2.93 3.02 0.04 2.03 1.98 2.00 0.00 2.83 2.72 2.75 -0.04 7.69 7.00 7.11 -0.59 8.50 8.26 8.49 0.12 3.85 3.50 3.83 0.09 69.39 67.65 69.10 1.55
Volume
Change 25.66 Market cap 744,169.72 mn Div Yield (%) 4.66
Last 60 days High Low
255031 72.99 1569109 18.10 1392277 11.52 580156 39.49 5484 4.70 3412239 10.59 647228 4.25 607043 17.10 156709 128.97 48604 29.28 70681 3.00 4453 2.85 3835913 250.48 38477 20.30 227814 3.10 6961865 79.48 3128685 3.35 54354 2.65 2205239 3.05 906270 8.48 13152 9.04 290314 4.23 3411077 70.65
52.65 14.65 8.70 31.44 2.76 8.04 2.77 13.55 98.51 19.01 2.25 2.16 195.71 14.50 1.90 63.53 2.59 1.51 2.50 5.80 6.15 2.67 52.15
% Change 2.11 5-Day High 1,242.05 5-Day Low 1,185.01
2010 Div BR (%) (%)
2011 Div BR (%) (%)
20 - 20B - 66R 55 -63.46R 10 -
-
-
NON LIFE INSURANCE Performance of SR Non Life Insurance Index Open 798.53 Turnover 4,142,274 P/E (x) 13.17 Paid up Cap(mn)
Company Adamjee Insurance
1846 14680 21102 105868 2500 3105 9191 2568445 1872 1178 39100 15901 3131 1750
12.75 39.93 12.00 48.63 15.39 99.88 60.90 17.52 8.50 10.75 12.93 8.17 7.40 4.00
10.00 29.12 9.65 36.32 10.31 77.50 53.11 13.91 5.56 2.10 8.33 6.01 4.71 2.21
10 -
25R 20B -
-
UPTO 100 VOLUME
-
Symbols STPL SIEM MUREB HUSS BAPL MOON SMTM LIBM GRAYS FCONM WYETH HWQS RMPL MIRKS FFLM GATI FECS HADC SSML PRWM SCL SPLC BCL FIBLM ULEVER JUBS REWM MQTM CPMFI FIMM AATM BROT CWSM CFL ILTM JVDC KOHP SJTM DWSM GRYL LAKST IDSM ICL PAKMI KOSM IDEN LEUL KOHS CSIL TSMF CICL DSML QUET AABS SHJS GVGL PHDL ESBL ALICO DATM FZTM HMIM IDYM RCML YOUW CRTM MEHT STML TOWL SGMLPS ALTN TSPL BWHL JOPP PTEC NATF PSEL
High Low 812.71 790.94 Total cos Defaulter cos P/BV (x) ROE (%) 0.68 5.20
Close 804.34 Listed cap 11,111.34 mn Payout (%) 79.54
Change 5.81 Market cap 49,344.14 mn Div Yield (%) 6.04
PE
Open
High
Low
Close Chg
Volume
Last 60 days High Low
1237 26.90
91.93
93.40
91.90
92.79 0.86
1352600
93.40
66.50
% Change 0.73 5-Day High 804.34 5-Day Low 785.61
2010 Div BR (%) (%) 10
2011 Div BR (%) (%)
-
-
-
High Low 849.02 830.21 Total cos Defaulter cos P/BV (x) ROE (%) 3.59 3.85
Close 848.60 Listed cap 2,290.72 mn Payout (%) 355.53
Change 18.93 Market cap 9,900.92 mn Div Yield (%) 3.82
% Change 2.28 5-Day High 856.93 5-Day Low 829.67
High
Low
Close Chg
Volume
Last 60 days High Low
2010 Div BR (%) (%)
2011 Div BR (%) (%)
72.50
71.01
72.50 1.37
4654
86.95
62.75
-
-
-
-
42.99
41.50
42.90 1.20
4358
49.31
39.95
-
-
-
-
Performance of SR Financial Services Index Open 399.05 Turnover 4,096,304 P/E (x) 10.68 Paid up Cap(mn)
Company
Change -12.28 Market cap 32,981.72 mn Div Yield (%) 6.83
Paid up Cap(mn)
Open 1,216.39 Turnover 29,531,860 P/E (x) 8.69
-0.19 0.73 0.02 -0.23 -0.20 -1.00 -0.98 1.00 0.00 0.03 -0.46 0.09 -0.51 -0.90
FINANCIAL SERVICES
GAS WATER AND MULTIUTILITIES
Sui North Gas Sui South Gas
10.66 39.75 10.81 41.86 14.70 92.50 57.49 17.52 7.32 10.59 12.05 7.19 6.74 3.04
LIFE INSURANCE
-
Performance of SR Gas Water and Multiutilities Index Open 1,555.52 Turnover 702,042 P/E (x) 9.78
10.66 38.75 10.75 41.70 14.61 90.10 56.51 16.60 7.32 9.95 12.00 7.06 6.71 3.00
Open 829.67 Turnover 9,013 P/E (x) 5.13
Performance of SR Electricity Index
Company
10.66 39.93 11.35 42.70 14.70 95.00 57.68 17.52 8.30 10.60 12.51 8.10 7.29 3.12
Performance of SR Life Insurance Index
ELECTRICITY Open 1,355.88 Turnover 16,452,121 P/E (x) 15.50
10.85 39.02 10.79 42.09 14.90 93.50 58.47 16.52 7.32 10.56 12.51 7.10 7.25 3.94
High Low 412.25 395.77 Total cos Defaulter cos P/BV (x) ROE (%) 0.26 0.91
PE
Open
High
Low
AMZ Ventures 225 1.41 Arif Habib Investments 360 3.51 Arif Habib Limited 450 13.33 Arif Habib Corp 3750 5.00 Dawood Cap Mangt. XB 150 1.32 Dawood Equities 250 First Credit & Invest Bank Ltd 650 13.33 IGI Investment Bank 2121 17.88 Invest and Fin Sec 600 717.00 Invest Bank 2849 Ist Cap Securities 3166 Ist Dawood Bank 626 0.66 Jah Siddiq Co 7633 JOV and CO 508 JS Global Cap 500 7.37 JS Investment 1000 28.25 KASB Securities 1000 Orix Leasing 821 4.55 Pervez Ahmed Sec 775 Sec Inv Bank 514 14.00 Stand Chart Leasing 978 4.71 Trust Brokerage 100 Trust Inv Bank 586 3.11
0.60 17.75 25.98 26.50 1.60 2.10 3.25 2.77 7.17 0.70 3.02 1.93 10.78 3.99 27.74 6.64 4.71 6.46 1.93 3.74 2.58 2.93 1.72
0.65 18.38 26.60 27.36 1.50 2.34 3.20 2.90 7.20 0.70 3.34 1.99 11.19 4.09 27.97 6.79 4.89 6.19 2.07 3.50 2.55 2.47 1.99
0.51 17.55 25.70 26.65 1.47 2.03 3.20 2.70 7.00 0.60 2.95 1.81 10.81 3.82 27.00 6.60 4.62 6.12 1.90 3.50 2.26 2.00 1.71
Close Chg 0.62 17.82 26.13 27.19 1.48 2.06 3.20 2.86 7.17 0.69 3.03 1.84 11.12 3.94 27.40 6.78 4.79 6.19 1.98 3.50 2.26 2.42 1.99
0.02 0.07 0.15 0.69 -0.12 -0.04 -0.05 0.09 0.00 -0.01 0.01 -0.09 0.34 -0.05 -0.34 0.14 0.08 -0.27 0.05 -0.24 -0.32 -0.51 0.27
Close 406.36 Listed cap 30,336.44 mn Payout (%) 99.56
Volume 12212 46692 109608 9739854 10369 33841 1000 3996 10980 220 25914 32099 3459944 167960 5944 65640 20138 145 56735 2500 15229 15004 1106
Change 7.31 Market cap 18,868.63 mn Div Yield (%) 3.47
% Change 1.83 5-Day High 406.36 5-Day Low 398.11
Last 60 days High Low
2010 Div BR (%) (%)
0.95 19.98 28.95 27.36 2.14 2.75 4.50 3.90 8.88 0.97 4.80 2.40 14.05 5.38 32.37 7.59 5.43 7.29 2.70 4.99 3.00 3.75 2.98
30 11.5 10 -
0.33 15.90 24.40 22.10 1.10 1.28 2.15 1.50 6.16 0.53 2.95 1.05 9.13 2.16 24.50 5.63 3.61 4.70 1.61 1.67 2.25 1.70 1.24
2011 Div BR (%) (%)
20B 20B 10B -
-
-
EQUITY INVESTMENT INSTRUMENTS Performance of SR Equity Investment Instruments Index Open 1,351.61 Turnover 2,028,679 P/E (x) 19.63 Paid up Cap(mn)
Company
Allied Rental AL-Meezan Mutual F. AL-Noor Modaraba B R R Guardian Mod. Crescent St Modaraba Elite Cap Modaraba Equity Modaraba First Dawood Mutual F. Golden Arrow H B L Modaraba Habib Modaraba JS Growth Fund JS Value Fund KASB Modaraba Meezan Balanced Fund Mod Al-Mali Nat Bank Modaraba PICIC Energy Fund PICIC Growth Fund PICIC Inv Fund Prud Modaraba 1st Punjab Modaraba U D L Modaraba
PE
600 1375 210 780 200 113 524 581 760 397 1008 3180 1186 283 1200 184 250 1000 2835 2841 872 340 264
3.18 7.32 5.08 3.89 1.50 3.81 12.75 0.68 2.21 2.66 6.05 69.50 18.57 1.34 7.45 19.20 6.20 2.08 8.75 7.27 2.34 1.75
Open 15.50 8.83 3.01 1.72 0.57 3.10 1.95 2.17 3.10 7.85 6.87 5.60 5.35 1.60 7.70 1.52 6.73 6.94 13.30 6.35 1.00 1.30 6.15
High 15.00 8.83 3.18 1.75 0.60 3.05 2.08 2.25 3.14 8.00 7.10 5.68 5.30 2.24 7.75 1.95 7.00 7.15 13.65 6.53 1.07 1.60 6.15
High Low 1,376.29 1,333.17 Total cos Defaulter cos P/BV (x) ROE (%) 0.43 2.21 Low
Close Chg
15.00 8.76 3.05 1.70 0.55 2.75 1.95 2.15 3.05 7.95 6.80 5.31 5.18 1.52 7.69 1.60 6.60 6.82 13.35 6.30 0.95 1.21 6.14
15.00 8.78 3.05 1.71 0.60 3.05 2.04 2.15 3.09 7.98 7.02 5.56 5.20 1.82 7.75 1.92 6.70 7.15 13.65 6.40 1.03 1.25 6.15
-0.50 -0.05 0.04 -0.01 0.03 -0.05 0.09 -0.02 -0.01 0.13 0.15 -0.04 -0.15 0.22 0.05 0.40 -0.03 0.21 0.35 0.05 0.03 -0.05 0.00
Close 1,359.42 Listed cap 29,771.58 mn Payout (%) 104.74
Change 7.81 Market cap 18,305.52 mn Div Yield (%) 8.29
Last 60 days High Low
Volume 1000 38341 1200 311 1108 1015 185328 1142 28817 15161 605000 208497 114285 4522 14076 307 10100 119600 548749 115507 7909 1004 5599
16.00 9.15 3.80 2.79 1.10 3.49 2.37 2.28 3.80 8.49 7.10 5.89 5.40 2.24 8.25 2.50 7.74 7.18 13.71 6.74 1.19 2.54 6.99
14.01 6.05 2.10 0.90 0.16 1.73 1.05 1.30 2.56 5.11 5.80 2.65 2.31 1.26 5.15 0.56 4.50 5.00 7.90 3.52 0.81 0.50 4.71
% Change 0.58 5-Day High 1,359.42 5-Day Low 1,338.84
2010 Div BR (%) (%) 22.5 18.5 5 0 1.2 5 17 11 21 5 10 2.8 15.5 10 10 20 10 3 1 12.5
2011 Div BR (%) (%)
-
-
-
Open 9.75 1220.40 89.24 11.98 8.19 13.01 6.04 62.88 48.50 1.28 1054.67 22.14 2078.98 52.18 1.60 48.00 41.00 0.69 1.96 14.85 90.48 0.69 43.33 1.77 4416.17 3.25 9.20 9.10 4.10 62.50 0.95 0.51 1.43 13.61 174.00 59.00 4.49 1.50 3.64 2.10 291.99 7.10 31.31 0.96 0.93 14.00 1.90 3.80 4.01 1.34 78.25 3.48 41.90 97.20 59.98 27.55 32.30 2.79 17.50 0.49 405.13 0.61 227.70 37.45 1.64 21.22 63.51 24.99 6.00 4.78 10.37 0.88 33.00 9.00 2.00 60.30 173.23
High 9.50 1215.01 91.90 11.00 9.00 12.01 6.00 65.75 49.00 1.99 1055.00 22.10 2124.98 53.75 1.70 50.40 38.95 0.96 2.50 14.60 90.80 0.69 44.00 2.50 4439.50 4.19 9.85 9.89 4.50 65.60 1.13 0.58 1.44 14.60 166.00 59.99 4.50 2.50 3.93 1.76 296.99 7.10 32.85 1.14 1.58 14.00 1.90 4.80 4.80 1.49 80.00 2.53 43.99 98.50 62.90 26.50 33.91 2.90 18.25 0.41 409.00 1.09 216.57 39.30 1.64 20.30 65.00 25.90 5.55 3.80 10.74 0.99 33.00 8.10 2.28 61.04 177.89
Low
Close
9.50 1210.00 89.13 11.00 8.44 12.01 5.99 65.75 49.00 1.21 1010.00 22.10 2021.55 50.00 1.60 48.00 38.95 0.61 1.82 14.60 90.80 0.68 44.00 1.50 4325.03 4.19 9.30 9.15 4.15 62.50 1.13 0.51 1.40 14.60 166.00 59.00 4.45 1.00 3.52 1.21 293.49 7.00 32.85 1.10 1.25 14.00 1.90 3.45 3.11 1.29 79.50 2.53 43.99 98.50 62.90 26.25 30.69 2.80 18.25 0.41 405.00 0.87 216.57 39.30 1.64 20.30 65.00 25.90 5.55 3.80 10.74 0.99 33.00 8.10 2.23 61.04 177.89
9.50 1212.41 91.85 11.00 8.44 12.01 5.99 65.75 49.00 1.47 1055.00 22.10 2062.00 53.00 1.60 48.05 38.95 0.69 2.48 14.60 90.80 0.68 44.00 1.66 4439.50 4.19 9.30 9.15 4.15 62.50 1.13 0.51 1.40 14.60 166.00 59.00 4.45 1.53 3.59 1.76 293.49 7.10 32.85 1.10 1.25 14.00 1.90 3.80 3.91 1.29 79.50 2.53 43.99 98.50 62.90 26.50 33.91 2.80 18.25 0.41 405.00 0.87 216.57 39.30 1.64 20.30 65.00 25.90 5.55 3.80 10.74 0.99 33.00 8.10 2.23 61.04 177.89
Change
Vol
-0.25 -7.99 2.61 -0.98 0.25 -1.00 -0.05 2.87 0.50 0.19 0.33 -0.04 -16.98 0.82 0.00 0.05 -2.05 0.00 0.52 -0.25 0.32 -0.01 0.67 -0.11 23.33 0.94 0.10 0.05 0.05 0.00 0.18 0.00 -0.03 0.99 -8.00 0.00 -0.04 0.03 -0.05 -0.34 1.50 0.00 1.54 0.14 0.32 0.00 0.00 0.00 -0.10 -0.05 1.25 -0.95 2.09 1.30 2.92 -1.05 1.61 0.01 0.75 -0.08 -0.13 0.26 -11.13 1.85 0.00 -0.92 1.49 0.91 -0.45 -0.98 0.37 0.11 0.00 -0.90 0.23 0.74 4.66
100 97 93 83 53 51 50 50 47 32 32 30 27 26 25 24 24 24 23 20 20 19 19 17 17 15 12 11 10 10 10 10 10 10 10 10 10 9 9 8 8 6 6 5 5 5 5 4 3 2 2 2 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
FUTURE CONTRACTS Low
Close
211.50
204.05
210.23
4.00 1671500
FFBL-JAN
Symbols
39.42
Open
39.65
38.95
39.34
-0.08 1322000
DGKC-JAN
30.38
31.55
30.50
31.21
0.83 1169000
329.03
335.50
329.90
333.33
4.30 1024000
ENGRO-JAN 206.23
POL-JAN
High
Change
Vol
NBP-JAN
78.38
79.90
78.00
79.69
1.31
752500
MCB-JAN
239.53
250.00
239.00
248.56
9.03
601500
NML-JAN
68.25
70.15
68.21
69.65
1.40
601000
FFC-JAN
137.27
139.00
136.51
138.22
0.95
580500
ANL-JAN
9.43
9.77
9.45
9.70
0.27
274000
PPL-JAN
222.21
225.00
221.56
224.01
1.80
175500
PSO-JAN
295.24
299.80
296.00
298.97
3.73
161000
OGDC-JAN
172.02
174.95
172.00
174.62
2.60
130500
AICL-JAN
92.33
93.80
UBL-JAN
68.09
LUCK-JAN
92.05
93.08
0.75
115500
69.50
68.18
69.39
1.30
94500
75.00
76.80
75.10
76.50
1.50
60500
NETSOL-JAN 21.42
22.49
22.00
22.44
1.02
39000
NCL-JAN
23.46
23.50
23.50
23.50
0.04
29000
BOP-JAN
9.25
9.47
9.10
9.47
0.22
21500
HUBC-JAN
39.27
39.27
39.27
39.27
0.00
10000
PTC-JAN
19.35
19.40
19.40
19.40
0.05
1000
ZERO VOLUME Symbols
Open
High
Low
Close
ANNT ATFF BUXL DADX DKTM EMCO KML LATM
12.75 4.75 14.25 20.01 2.78 3.30 2.05 8.00
12.70 4.73 14.00 20.02 2.66 2.90 2.12 7.90
12.70 4.73 14.00 20.02 2.66 2.90 2.12 7.90
12.70 4.73 14.00 20.02 2.66 2.90 2.12 7.90
Change
Vol
-0.05 -0.02 -0.25 0.01 -0.12 -0.40 0.07 -0.10
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
BOARD MEETINGS
Dera Ghazi Khan Cement Co Ltd
KSE 100 INDEX
National Bank of Pakistan
Fauji Fertiliser Bin Qasim Ltd
Company
Date
Time
Olympia Spinning & Weaving Mills Ltd
15-Jan
10:00
Shadman Cotton Mills Ltd
15-Jan
Husein Industries Ltd
15-Jan
Byco Petroleum Pakistan Ltd
17-Jan
3:00
Shaheen Insurance Company Ltd
17-Jan
10:00
Invest Capital Investment Bank Ltd
19-Jan
11:00
Siemens (Pakistan) Engineering Company Ltd
23-Jan
3:30
Pakistan Petroleum Ltd
24-Jan
10:00
Fauji Fertiliser Bin Qasim Ltd
25-Jan
10:30
Unilever Pakistan Limited
14-Feb
2:30
Kot Addu Power Company Ltd
16-Feb
12:30
Unilever Pakistan Foods Ltd
17-Feb
2:30
6:30 3:00
TECHNICAL LEVELS Company
Technical Outlook Technical Analysis RSI (14-day)
Brokerage House
Leverage Position
75.09
Support 1
12,333.45
MA (5-day)
12,340.73
Support 2
12,207.45
MA (10-day)
12,215.01
Resistance 1
12,533.25
MA (100-day)
10,763.32
Resistance 2
12,607.05
*Arif Habib Ltd
10,418.30
Pivot
major 1st resistance level at 12,533.25 and 2nd resistance level at 12,607.05, while Index will continue to find its 1st support level at
Brokerage House
Buy
*Arif Habib Ltd
Buy
AKD Securities Ltd
TFD Research
36.85
Positive
Free Float Shares (mn) Free Float Rs (mn) ** NOI Rs (mn) Mean
Rs Recommendations
34.7 32.06 29.1
*Arif Habib Ltd AKD Securities Ltd
Negative
TFD Research
182.55 5,662.69 50.01 30.75
* Target price for Jun-11 & **Net Open Interest in future market
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day)
69.58 37.21 31.56 30.30
Free Float Shares (mn) Free Float Rs (mn) ** NOI Rs (mn) Mean
326.94 12,789.83 123.77 39.14
tors are currently bearish on DGKC.
* Target price for Jun-11 & **Net Open Interest in future market
Brokerage House
Brokerage House
Fair Value
Rs Recommendations
59.97
Buy
*Arif Habib Ltd
Neutral
AKD Securities Ltd
74.2
TFD Research
74.47 66.23 53.20 51.70
Leverage Position Free Float Shares (mn) Free Float Rs (mn) ** NOI Rs (mn) Mean
175.80 12,255.01 76.61 68.98
* Target price for Jun-11 & **Net Open Interest in future market
Buy Neutral
92.3
Positive
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day)
Leverage Position
73.57 76.75 67.11 67.94
Free Float Shares (mn) Free Float Rs (mn) ** NOI Rs (mn) Mean
318.44 25,233.52 107.54 78.58
* Target price for Jun-11 & **Net Open Interest in future market
Fair Value
Rs Recommendations
Brokerage House
47
Buy
*Arif Habib Ltd
48.7
Buy
AKD Securities Ltd
Neutral
TFD Research
46.05
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day)
80.68 42.60 40.75 41.92
NBP is currently 16.5 per cent above its 200-day moving average and is displaying an upward trend. Volatility is low as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into NBP (mildly bullish). Trend forecasting oscillators are currently bullish on NBP. Momentum oscillator is currently indicating that NBP is currently in an overbought condition.
Hub Power Co Ltd
Fair Value
Rs Recommendations
Brokerage House
176
Sell
*Arif Habib Ltd
238.8
Buy
AKD Securities Ltd
Neutral
TFD Research
208.75
176.05 7,966.29 0.00 45.34
* Target price for Jun-11 & **Net Open Interest in future market
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day)
68.11 199.05 181.34 185.59
Leverage Position Free Float Shares (mn) Free Float Rs (mn) ** NOI Rs (mn) Mean
Fair Value
Rs Recommendations
45.7
Buy
44
Buy
44.9
Positive
Technical Outlook
Technical Outlook
Leverage Position Free Float Shares (mn) Free Float Rs (mn) ** NOI Rs (mn) Mean
Bollinger Bands were 54 per cent wider than normal.
Engro Corporation
Technical Outlook
Technical Outlook Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day)
tors are currently bullish on FFBL.
Kot Addu Power Co Ltd
Nishat Mills Ltd
TFD Research
Rs Recommendations
82.1 61.96
DGKC closed up 0.69 at 31.02 Volume was 426 per cent above average FFBL closed down -0.07 at 39.12 Volume was 290 per cent above aver- NBP closed up 1.28 at 79.24 Volume was 72 per cent above average and
(trending) and Bollinger Bands were 49 per cent narrower than normal. age (trending) and Bollinger Bands were 44 per cent wider than normal. KSE 100 INDEX is currently 19.6 per cent above its 200-day moving average DGKC is currently 15.3 per cent above its 200-day moving average and is FFBL is currently 29.0 per cent above its 200-day moving average and is and is displaying an upward trend. Volatility is high as compared to the aver- displaying a downward trend. Volatility is low as compared to the average displaying an upward trend. Volatility is high as compared to the average age volatility over the last 10 trading sessions. Volume indicators reflect modvolatility over the last 10 trading sessions. Volume indicators reflect mod- volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into INDEX (mildly bullish). Trend forecasting oscillators are currently bullish on INDEX. Momentum oscillator is currently indicating that erate flows of volume into DGKC (mildly bullish). Trend forecasting oscilla- erate flows of volume into FFBL (mildly bullish). Trend forecasting oscilla-
AKD Securities Ltd
Fair Value
Technical Outlook
Leverage Position
12,333.45 and 2nd support level at 12,207.45.
INDEX is currently in an overbought condition.
Brokerage House
Sell Accumulate
Technical Outlook
Leverage Position
59.27 30.05 27.33 26.92
Fair Value
TFD Research
Technical Outlook Technical Analysis
12,407.25
than normal. As far as resistance level is concern, the market will see
Rs Recommendations
42 43.29
RSI (14-day) MA (10-day) KSE 100 INDEX closed up 178.20 point at 12,459.44. Volume was 152 per MA (100-day) cent above average (trending) and Bollinger Bands were 19 per cent wider MA (200-day) MA (200-day)
Fair Value
AKD Securities Ltd
147.48 30,869.37 231.42 207.15
* Target price for Jun-11 & **Net Open Interest in future market
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day)
75.36 38.01 35.34 34.61
Leverage Position Free Float Shares (mn) Free Float Rs (mn) ** NOI Rs (mn) Mean
810.01 31,987.22 0.87 39.20
* Target price for Jun-11 & **Net Open Interest in future market
NML closed up 1.67 at 69.71 Volume was 22 per cent above average and KAPCO closed down -0.13 at 45.25. Volume was 675 per cent above aver- ENGRO closed up 4.06 at 209.31 Volume was 190 per cent above aver- HUBC closed up 0.55 at 39.49 Volume was 137 per cent above average age (trending) and Bollinger Bands were 201 per cent wider than normal. age (trending) and Bollinger Bands were 77 per cent wider than normal. and Bollinger Bands were 18 per cent wider than normal. NML is currently 34.7 per cent above its 200-day moving average and is KAPCO is currently 7.9 per cent above its 200-day moving average and is ENGRO is currently 12.7 per cent above its 200-day moving average and HUBC is currently 14.0 per cent above its 200-day moving average and is Bollinger Bands were 46 per cent wider than normal.
displaying an upward trend. Volatility is low as compared to the average displaying an upward trend. Volatility is extremely high when compared to is displaying an upward trend. Volatility is high as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect mod- the average volatility over the last 10 trading sessions. Volume indicators volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into NML (mildly bullish). Trend forecasting oscilla- reflect very strong flows of volume into KAPCO (bullish). Trend forecasting tors are currently bullish on NML. Momentum oscillator is currently indicat- oscillators are currently bullish on KAPCO. Momentum oscillator is current- erate flows of volume into ENGRO (mildly bullish). Trend forecasting oscillators are currently bullish on ENGRO. ly indicating that KAPCO is currently in an overbought condition. ing that NML is currently in an overbought condition.
displaying an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into HUBC (mildly bullish). Trend forecasting oscillators are currently bullish on HUBC. Momentum oscillator is currently indicating that HUBC is currently in an overbought condition.
Al-Abbas Cement Allied Bank Limited Attock Cement Arif Habib Corp Arif Habib Limited Adamjee Insurance Askari Bank Azgard Nine Attock Petroleum Attock Refinery Bank Alfalah Bankislami Pak Bank.Of.Punjab Dewan Cement D.G.K.Cement Dewan Salman Dost Steels Ltd EFU General Insurance EFU Life Assurance Engro Chemical Faysal Bank Fauji Cement Fauji Fert Bin Fauji Fertilizer Habib Bank Ltd Hub Power ICI Pakistan Indus Motors J.O.V.and CO Japan Power JS Bank Ltd Jah Siddiq Co Kot Addu Power K.E.S.C Lotte Pakistan Lucky Cement MCB Bank Ltd Maple Leaf Cement National Bank Nishat (Chunian) Netsol Technologies NIB Bank Nimir Ind.Chemical Nishat Mills Oil & Gas Dev. XD PACE (Pakistan) Ltd. Pervez Ahmed Sec P.I.A.C.(A) Pioneer Cement Pak Oilfields Pak Petroleum Pak Suzuki P.S.O. XD P.T.C.L.A Shell Pakistan Sui North Gas Sitara Peroxide Sui South Gas Telecard TRG Pakistan United Bank Ltd WorldCall Tele
RSI 1st 2nd (14-day) Support 41.30 3.00 2.90 71.93 71.00 69.60 49.85 62.10 61.40 64.62 26.80 26.35 49.41 25.70 25.25 68.84 92.00 91.20 59.44 17.40 17.15 44.36 9.45 9.25 83.42 375.00 366.75 70.50 134.85 132.05 56.01 10.90 10.80 69.68 3.85 3.60 41.82 9.10 8.90 48.30 2.10 2.05 59.27 30.45 29.85 56.71 3.05 3.00 35.18 2.50 2.40 38.21 41.50 41.10 41.85 71.50 70.50 68.11 204.70 200.05 47.17 14.55 14.20 49.99 4.95 4.90 69.58 38.75 38.40 81.76 136.25 134.85 68.36 126.25 124.90 75.36 39.05 38.60 71.87 153.65 151.85 77.92 278.65 274.60 48.83 3.80 3.70 44.11 1.60 1.50 49.77 2.50 2.45 44.21 10.90 10.65 80.68 44.80 44.35 60.05 2.95 2.85 76.82 14.80 14.05 54.92 75.15 74.05 79.63 241.15 233.85 41.68 2.75 2.70 73.57 78.10 76.95 58.49 23.25 22.90 83.94 21.80 21.10 53.37 2.90 2.80 50.12 1.85 1.80 74.47 68.60 67.50 58.54 172.25 169.90 28.43 2.30 2.25 39.86 1.90 1.80 59.52 2.40 2.35 56.71 7.00 6.85 82.58 328.35 324.60 64.69 221.25 219.15 50.31 70.05 69.05 62.22 295.00 292.35 48.83 19.20 19.10 53.25 204.10 202.55 43.95 26.70 26.45 52.52 13.30 13.10 50.33 21.40 21.10 44.93 2.15 2.10 37.48 3.25 3.15 66.55 68.05 66.95 46.21 2.60 2.50
1st
2nd
Resistance 3.15 3.25 73.30 74.20 63.40 64.00 27.50 27.80 26.60 27.05 93.50 94.20 17.90 18.15 9.80 9.95 387.40 391.50 140.60 143.55 11.15 11.25 4.30 4.50 9.45 9.60 2.20 2.25 31.50 32.05 3.25 3.40 2.70 2.80 42.50 43.10 73.00 73.50 212.45 215.55 15.10 15.30 5.05 5.10 39.50 39.85 138.60 139.60 128.95 130.35 39.75 40.00 157.05 158.70 286.85 291.05 4.10 4.20 1.80 1.90 2.60 2.65 11.25 11.40 45.75 46.30 3.20 3.35 15.90 16.25 76.95 77.65 253.10 257.80 2.85 2.90 79.90 80.60 23.90 24.15 22.85 23.20 3.15 3.30 2.00 2.05 70.40 71.10 176.00 177.35 2.45 2.50 2.05 2.15 2.60 2.70 7.20 7.30 335.55 339.00 225.10 226.85 72.05 73.00 299.40 301.15 19.40 19.45 207.60 209.55 27.15 27.35 13.65 13.85 22.05 22.40 2.25 2.30 3.45 3.50 69.75 70.45 2.75 2.80
Pivot 3.10 71.90 62.70 27.05 26.15 92.70 17.65 9.60 379.15 137.80 11.05 4.05 9.25 2.15 30.95 3.20 2.60 42.10 72.00 207.80 14.75 5.00 39.15 137.25 127.60 39.30 155.25 282.80 3.95 1.70 2.55 11.05 45.35 3.10 15.15 75.85 245.80 2.80 78.80 23.50 22.15 3.05 1.95 69.30 173.60 2.40 2.00 2.55 7.10 331.80 223.00 71.05 296.75 19.30 206.05 26.90 13.50 21.75 2.20 3.35 68.70 2.65
8
Friday, January 14, 2011
United Arab Bank opens new branch in Sharjah Industrial
Top honour for British Islamic bank ZTBL branch lends Rs1bn to farmers
LONDON: A man uses an ATM at a Royal Bank of Scotland (RBS) branch. -Reuters
MBL, ‘Best Islamic Bank in Pak’ for 2010 Staff Reporter KARACHI: Meezan Bank Limited (MBL), Pakistan's first and largest Islamic bank, has been awarded 'Best Islamic Bank in Pakistan' for 2010 by Islamic Finance News of REDmoney Group, Malaysia. Meezan Bank has won this award consecutively for the last 6 years said a handout issued
here. It said the award brings to light a highly successful and record-breaking year for Meezan Bank. With a branch network of 222 branches in 63 cities across Pakistan, Meezan Bank continues to be the largest Islamic bank in Pakistan. The bank demonstrated robust business growth in 2010, closing the year with a deposit figure of Rs131 billion and
Import/Export business of Rs143 billion, said the statement. It also added that the bank's strategy to continue expanding its branch network is driven by its vision to "Establish Islamic Banking as Banking of First Choice" by making Islamic banking facilities available to each and every citizen of Pakistan.
ISLAMABAD: Zarai Taraqiati Bank Limited (ZTBL) Hafizabad branch had provided Rs1 billion loans to cultivators to maximise food production during 2010. This was stated by Manager ZTBL, Malik Ghulam Hussain Awan here. He said that the bank also issued loans to farmers to purchase 400 tractors. He said, 94 per cent loan recovery had been affected and cases of chronic defaulters were being sent to the banking courts for adjudication. President of Zarai Taraqiati Bank Limited (ZTBL), Zaka Ashraf said agricultural growth is vital for the overall economic stability and meeting the food security challenges. He stated this during a meeting with Faisal Karim Kundi, Deputy Speaker of the National Assembly here. He apprised the Deputy Speaker about the bank's operational activities and various new initiatives for the development of agriculture sector in the country. The bank was financing entire value added chain of agriculture sector and focusing on innovative technology direly needed for alleviating rural poverty through increase in farmer's income, he added. APP
Sindh Bank set to get growers going KARACHI: Advisor to Sindh Chief Minister, Sharmila Farooqui has said that the Sindh Bank would provide loans for agriculture, livestock, and fisheries on easy terms besides offering other financing facilities. Talking to media she said that the farmers would be facilitated to obtain agricultural loans on easy terms and each farmer would be provided with an ATM card, which could be used to withdraw cash from an ATM up to 20 per cent of the loan. The Advisor stated that the farmers would also be given facility to order commodities, seeds and fertilisers through SMS from
designated suppliers. "The suppliers upon receiving the SMS/Instructions from the Sindh Bank will ensure the proper delivery of goods at the farmers' door step. "Suppliers account with Sindh Bank will be automatically credited upon delivery/confirmation through SMS," she said. Sharmila added that during the year 2011 the bank's expected loan disbursement has been set at Rs12 billion in various sectors while unskilled and semi-skilled workers --at least 6,000-will be employed. "It is assumed that the borrowers in the small scale industry
availing loan of up to Rs10 million will employ at least five persons who would support their families to a large extent," she said. The Advisor stated that the Sindh government was going to subsidise the purchase of tractors to 4,000 farmers through balloting. "Total cost of a tractor being Rs900,000 including a subsidy of Rs300,000 out of which 10 per cent, that is, 400 tractors will be given to women applicants. The Bank may finance 25 per cent to 50 per cent of the applicant's share of Rs600,000 against registration of the tractor in the bank's name duly insured. -APP
Japan banks doing global, eying India TOKYO: Japanese lenders like Mitsubishi UFJ Financial Group are aggressively pursuing project financing deals around the world, intensifying competition with traditional French rivals as well as local players in hot new markets like India. The push by Japanese banks, which are scrambling to put trillions of yen in deposits to work
outside their sluggish home market, comes as loan demand rebounds from the global financial crisis and as infrastructure projects in developing economies surge. MUFG, Japan's top lender, grabbed headlines in November when it agreed to buy project finance loans worth some $5 billion from the Royal Bank of
Scotland and it has told Reuters it is open to taking over more portfolios. Rivals Mizuho Financial Group and Sumitomo Mitsui Financial Group have also positioned project finance as a key driver of overseas growth, along with investment banking, and retail banking and corporate lending in Asia. -Reuters
Interview Najmul Hassan Chief Executive Officer Gulf African Bank Kenya
Spearheading Islamic Finance in Kenya Interview by: Qutubuddin
I
slamic banking, a couple of years back, blasted off in Kenya following the commencement of operations by the country's first fully fledged Islamic bank targeting Kenya's estimated nine million Muslims. Back in the day the launch of Gulf African Bank brought an end to months of waiting and speculation surrounding the licensing of an Islamic bank in the Kenyan banking system. Its arrival also raged the debate on the viability of an Islamic bank in the banking system where interest is charged by all players, a prohibited practice in Islam. With more expansion plans underway that will see Gulf African Bank step up its operations in Kenya as well as the region, the bank is confident that its model is a sure success. Najmul Hassan, Chief Executive Officer Gulf African Bank Kenya, who is highly upbeat on the future of Islamic, ranged the whole gamut of his bank's plans in an exclusive dialogue, here are some highlights of that talk. The Financial Daily: Congratulations on making Islamic banking a success story in Kenya. What are the main factors that attributed to the Bank's success in Kenya's banking Industry? Najmul Hassan: Gulf African Bank has, since inception, maintained a sustainable business model based on rapid customer acquisition and retention, a calculated expansion strategy and staying committed to our vision, mission, and core values. We have also offered a solid banking option to those of us who practice Islam to have a faith compliant banking solution. We pride ourselves in having quality customer care practices that give us the edge when dealing with our customers.
Gulf African Bank was awarded for its quality customer service in 2009 in the annual Banking awards. We have also been involved in corporate social responsibility in areas where we have set up business and this builds goodwill from the communities. Training various stakeholders in Islamic banking has also been instrumental in growing our business since Islamic banking is more of a knowledge based business. We hold conferences, leaders' forums and open days to disseminate the knowledge on Islamic banking. TFD: What were the challenges you faced achieving this feat, and how did you overcome them? HASSAN: When we started out, the business environment was not the best. In early 2008, Kenya went through a time of chaos and violence which hit business really hard. Getting started at that particular time was a challenge per se. The political atmosphere was not conducive to the business and in addition there was a drought going on at the same time. Since no business can operate in isolation of the prevailing economic atmosphere, we had a rough time going through that period. You may remember that the global financial crisis was also starting to hit at that time and the ripple effect was felt all over the world. The cost of setting up the business was quite high. The task of breaking even was not easy considering we were starting to acquire customers at that point. We were, however, able to overcome all those challenges and the most surprising bit is that we broke even in 18 months. TFD: As the pioneer in the Islamic finance industry in Kenya, how are you competing with the heavyweights? HASSAN: We have very
Careerscape
N
ajmul Hassan is Chief Executive Officer of Gulf African Bank currently. Prior to joining Gulf African Bank, Hassan worked as General Manager Corporate and Business Development in Meezan Bank Limited (MBL), the first and largest Islamic commercial bank in Pakistan, with over 160 branches and nearly 3000 employees. He was one of the founder members of the bank and has played an instrumental role in leading the successful conversion of the operations of the Bank into full fledged Islamic Commercial bank upon the acquisition of Society General in 2002. He is one of the key protagonists behind the development and launch of core Islamic transactional and term deposit products, establishment of corporate and structured finance business , launch of Islamic consumer banking in Pakistan with nation's first Auto and Housing finance business lines, and establishing the banks brand and building corporate equity through continuous awareness measures. He has participated as a speaker in numerous workshops and seminars on topics related to Islamic Finance. Before joining MBL, he worked as Managing Director, Delphi Diesel systems (Pakistan), prior to that as Managing Director in Agro Auto Industries, which is one of the largest automotive parts manufacturing company in Pakistan. Hassan started his carrier with Pakistan Air Force in Maintenance and Technical branch. He is Master of Business Administration (MBA) and holds a Bachelors Degree in Aeronautical Engineering as well.
unique products which are fully Shariah compliant. The institutions referred to as heavyweights have Islamic windows which are still struggling with the perception that they are not fully Shariah compliant. Over and above that, our service delivery standards have set us apart and has given us the business edge we needed to get this far. Our growth record in such a short span of
time speaks volumes of our success in delivering on our commitment to our biggest asset, our customers. The products we have in the market are cutting edge. Last year we won an award for product innovation for our Diminishing Musharaka Home Mortgage product. This underlines the fact that we are right up there with the best in the industry.
We also participated in the Kenya Government infrastructure bond issue on a sukuk investment plan and this was a first for us and has given us a lot of insight into the market. TFD: The bank has been actively involved in providing comprehensive business solutions to the corporate sector. What's the reason behind actively pursuing this sector? What other sectors does the bank hope to take a crack at and why? HASSAN: I totally agree that we have provided cutting edge solutions to our corporate clients. We do offer both shortterm and long-term facilities to corporates. The reason is that it's easier to build the assets and liabilities books with the
In 2010, our deposits hit Ksh 8 billion (US$100mn) mark and our assets stood at Ksh 6.2 billion (US$77.5mn). We also earned recognition as the market leader in Islamic banking in the region due to the headways we made then. We have received several awards on customer satisfaction and innovation and we are very proud and grateful for all our achievements. We have also been able to put together an exceptional team to achieve this much and we are excited about what future has to offer. TFD: Many people still believe that Islamic banking is a transformation of conventional banking and does not comply with Shariah principles. Is that true?
corporate segment due to the volumes involved. The same standards have been put in place in our retail and SME business segment which are equally successful. We strive to strike the right balance in all our business segments and I am proud to say that I consider Gulf African Bank an all-round bank and our success can be attributed to all our business lines. TFD: What are the greatest achievements of your Bank in 2009 -10? HASSAN: Our bank turned profitable in the last quarter of 2009, just 18 months after this journey started. That is huge for any business enterprise. Currently we are considered amongst the fastest growing banks in Kenya.
HASSAN: Not at all. Islamic banking is fully based on the Shariah principles of fairness and ethics in business. The product structure and development of products are fully based on Shariah principles. In addition to that, the risk level in Islamic banking is lower because of the principle of using tangible assets for trading and securities. TFD: What exciting plans does the bank has in store for 2011? Is there any plan to introduce new products? HASSAN: 2011 is going to be quite busy for us. We are opening a few more branches and we are bringing in a whole range of products. As we speak, we are in the process of rolling out our internet and SMS banking solutions which
will obviously enhance our customer experience and bring flexible banking right to our customers' desktops and cell phones. We are also expanding into Uganda and Tanzania which will effectively make us a regional player. We also have debit prepaid cards on the way so as to make it easier for our customers who travel a lot or do a lot of international business carry out their transactions with ease. The bank will also be participating in the cheque truncation project which is expected to drastically reduce the clearing time. TFD: Is the current environment in Kenya suitable to promote the growth of Islamic Finance? Have the Regulators done enough to promote IF? What more can be improved by the regulators? HASSAN: The environment has never been better. Creating it didn't come easy though. We had to invest a lot in creating awareness on the products and services offered. The Central Bank of Kenya has been very supportive and the interest in Islamic banking continues to grow. We may not have watertight regulations by the regulators as Islamic banking in Kenya is not an old phenomenon but we are getting there. We still do not have Shari'ah compliant treasury instruments and managing liquidity can be a challenge at times but we hope this will change with time. TFD: Do you think people are aware of the concept of Islamic banking or do they need to be educated on it? HASSAN: It's work in progress. We are cracking the glass ceiling every day. This being knowledge based industry; we still have some way to go because the building of knowledge cannot happen in a day. It took most of us quite a long while to understand this model of banking to the point we are at today.
9
Friday, January 14, 2011
Crude oil rises, eyes OPEC as $100 looms OPEC could hike output with extended $100 run: Source NEW YORK: Oil rose on Thursday as markets weighed disappointing US jobs data and OPEC comments the group would only hold an emergency meeting if oil makes an extended break above $100 a barrel. In London, ICE Brent crude for February rose 30 cents to $98.42 at 1627 GMT in seesaw trade, off 27-month highs hit on Wednesday. US crude rose 30 cents to $92.16 a barrel. Brent's premium against US crude remained wide and headed towards $7 again after ending at $6.36 on Wednesday. A delegate from a Gulf OPEC member state said on Thursday OPEC will only hold
an emergency meeting if oil climbs above $100 and stays there, although the group's Gulf members could informally add supply if needed. "OPEC will only have an extraordinary meeting if oil prices exceed $100 and stay
there. We don't want the market to panic," the delegate told Reuters. "And if the prices reach $100 and we see that there is a need of supply from our customers, Gulf countries will start pro-
ducing above their quotas, but this has not happened yet." US weekly initial unemployment claims showed their biggest increased in six months, suggesting that, even with recent signs of economic improvement, the labor market still faces a tough road ahead. "The jobless claims number was very disappointing and underscores the looming question of how long the diminished US consumer can handle $3.00 plus per gallon gasoline. The answer would appear to be not for long," said John Kilduff, partner, Again Capital LLC in New York. -Reuters
JAMMU: Farmers work in a vegetable field in Jammu. India's food price index rose 16.91 per cent, driven mainly by high vegetable prices, and the fuel price index climbed 11.53 per cent in the year to Jan. 1, government data on Thursday showed. -Reuters
Palm oil bounces on USDA report KUALA LUMPUR: Malaysian crude palm oil bounced on Thursday from three-week lows hit the previous day after key report showed a deeper-thanexpected cut for US soy stocks, signalling food demand was still strong. A dry spell in South America also prompted the US Department of Agriculture to slash its forecast of Argentina's soy production by 3 per cent from last month, fanning fears of a supply shortage.
"The palm oil market has stopped its correction for the moment. It remains to be seen if this signals the start of a new rally or a pause before the market retraces again," said a trader with a foreign commodities brokerage. "There is only purely speculative buying now," the trader added. Benchmark March 2011 crude palm oil ended up 1.2 per cent to 3,694 Malaysian ringgit ($1,206)per tonne after going as high as 3,724 ringgit. Overall traded volume stood
at 30,330 lots of 25 tonnes each, compared to the usual 15,000 lots. Malaysian palm oil is expected to be range bound between 3,625 ringgit and 3,728 ringgit per tonne, as a rebound has started, Reuters technical analyst Wang Tao said. US soyoil for January delivery edged higher in Asian trade, extending gains from the previous session. The most active soyoil on China's Dalian Commodity Exchange rose 0.3 per cent. Reuters
US cotton up as grains, dollar, stocks inspire NEW YORK: US cotton in Mandeville, Louisiana. of their positions in the cotfutures closed higher Global stocks and the euro ton market depressed values Wednesday on investor buy- rallied after healthy demand midway through trading, ing, boosted by a strong for Portugal's debt eased dealers said. grains complex, a weak dol- concern over euro-zone debt. The market will now be lar and a rally in equities There was little reaction looking toward the USDA's after a strong debt sale by from cotton market players weekly export sales report Portugal, analysts said. to the US Agriculture on Thursday. The key March cotton con- Department's monthly supBrokers said they expected tract on ICE Futures US rose ply/demand report. USDA total US cotton sales to range 0.72 cent to settle at $1.4797 reduced its estimate for from 100,000 to 200,000 per lb, having briefly hit the 2010/11 world cotton ending (500-lb) running bales, com5-cent trading limit at stocks to 42.84 million (480- pared with 169,100 RBs in $1.5225. The session low lb) bales, from 43.39 million the last USDA report. was at $1.477. in last month's report. The market is now waiting Volume traded was around Stevens said the data to see if demand is destroyed 29,000 lots, more than 60 per 'merely confirmed' cotton's by the strong cotton futures cent above the 30-day norm, bullish fundamentals. price going into the spring. Thomson Reuters prelimi- Rebalancing by index funds Reuters nary data showed. 'Cotton LONDON METAL EXCHANGE (PLASTIC) got caught up in the bullish LME Official Prices, US$ per tonne for January 12 2011 enthusiasm of corn and soyPOLYPROPYLENE(PP) LINEAR LOW (LL) beans, strong stock markets 1310 1250 and weakness in the US dol- Cash & Settlement 1320 1260 lar,' said Mike Stevens, an December (3rd Wednesday) 1320 1260 independent cotton analyst January (3rd Wednesday) LONDON METAL EXCHANGE (METALS) LME Official Prices, US$ per tonne for January 12 2011
ALUMINIUM ALUMINIUM COPPER LEAD NICKEL ALLOY
Cash buyer Cash seller 3-months buyer 3-months seller 15-months buyer 15-months seller 27-months buyer 27-months seller
2290 2300 2250 2260 2180 2190 2180 2190
2484 2484.5 2495.5 2496 2550 2555 2583 2588
9620 9625 9617 9618 9385 9395 8980 8990
2657 2662 2638 2639 2570 2575 2517 2522
25060 25065 25120 25135 24700 24800 23875 23975
TIN
ZINC NASAAC
26790 2434.5 2381 26795 2435 2381.5 26775 2444 2410 26825 2445 2411 26275 2462 2430 26325 2467 2440 2425 2485 2430 2495
European vegetable oil prices ROTTERDAM: The following were the Thursday's Rotterdam vegetable oil price's at 22:00 PST. SOYOIL: EU degummed euro tonne fob exmill Feb11/Apr11 1050.00, May11/Jul11 1050.00. RAPEOIL: Dutch/EU euro tonne fob exmill May11/Jul11 1085.00-5.00, Aug11/Oct11 1015.00-10.00, Nov11/Jan12 1020.00-5.00, Feb12/Apr12 1025.00. SUNOIL: EU dlrs tonne extank six ports option Feb11/Mar11 1485.00-15.00, Apr11/Jun11 1460.00-20.00, Jul11/Sep11 1480.00-20.00, Oct11/Dec11 1390.00-10.00. LINOIL: Any origin dlrs tonne extank Rotterdam Feb11/Mar11 1495.00+32.50. CRUDE PALM OIL: Sumatra/Malaysia slrs option dlrs tonne cif R'dam Jan11 1267.50-2.50, Feb11 1265.007.50, Mar11 1265.00-7.50, Apr11/Jun11 1247.50-2.50, Jul11/Sep11 1242.50. PALMOIL: RBD dlrs tonne cif Rotterdam Feb11 1297.50, Mar11 1290.00, Apr11/Jun11 1277.50. PALMOIL: RBD dlrs tonne fob Malaysia Feb11 1242.50, Mar11 1235.00-5.00, Apr11/Jun11 1222.50-7.50. PALM OLEIN: RBD dlrs tonne fob Malaysia Feb11 1250.00, Mar11 1242.50-5.00, Apr11/Jun11 1230.00-7.50, Jul11/Sep11 1210.00-7.50, Oct11/Dec11 1197.50. PALM STEARIN: Dlrs tonne fob Malaysia Jan11 1205.0020.00, Feb11 1205.00-20.00. PALM FATTY ACID DISTILLATE: Dlrs tonne fob Malaysia Jan11 1015.00. COCONUT OIL: Phil/Indon dlrs tonne cif Rotterdam Feb11/Mar11 1925.00+15.00, Mar11/Apr11 1915.00+15.00, Apr11/May11 1905.00+5.00. Reuters
Tokyo rubber slips after hitting record high BANGKOK: Key Tokyo rubber futures hit another record high on Thursday, then slipped back as players took profits, dealers said. "TOCOM rubber rose in line with other commodities, but finally succumbed to profittaking as players realised that the market was overbought," one dealer said. The benchmark rubber contract on the Tokyo Commodity Exchange for June delivery fell 0.7 yen to settle at 448.4 yen ($5.40) per kg. It rose to an intra-day high of 454.4 yen per kg, the highest ever, before profit-taking set in. Oil extended gains on Thursday to rise above $92 a barrel; the day before, production shutdowns, falling US inventories and growing demand sent Brent crude toward $100 a barrel for the first time since 2008. Dealers said TOCOM rubber could rise further on the prospect of strong demand at a time when supply remains thin. -Reuters
Copper softens on China demand woes LONDON: Copper fell on Thursday, after two days of gains, on concerns that demand may wane in China because the top metals consumer is approaching its New Year holiday and also may further tighten monetary policy. Benchmark copper on the London Metal Exchange closed at $9,620 a tonne, down from $9,685 at the close on Wednesday. The metal used in power and construction hit a record high of $9,754 a tonne on Jan. 4. "People are in state of confusion at the moment about the general trend in risk appetite," Standard Chartered analyst Daniel Smith said, referring to euro-zone debt fears, which eased after a successful Spanish bond auction on Thursday. He cited two concerns for the months ahead -- the potential for slower growth in China as well as a stronger dollar. On China, he said, "2010 was the very strong rebound in terms of growth, and certainly things will get a lot slower going forward." Other analysts also cited a softening from Asia in the near term as the Chinese New Year, at the beginning of February, approaches. Concerns about further monetary tightening in China also remain, with investors worrying any moves to rein in inflation could limit the country's demand. The outlook for copper
remains positive due to expectations of a supply deficit this year. Stocks of copper in London Metal Exchange fell 825 tonnes to to 377,350 tonnes. Since Dec.
Shanghai copper gains Shanghai copper firmed a notch on Thursday, following London's gains in the previous session on an improved economic outlook, but the sluggish spot market and tight lending in the Chinese market capped the momentum. Shanghai's benchmark thirdmonth copper futures contract rose to a one-week high of 71,940 yuan a tonne, and eased to close at 71,300 yuan, up 0.4 per cent from the previous close. 9 they have risen about 30,000 tonnes, raising some concerns over demand. Looking further back, however, analysts underlined that stocks were down 30 per cent since they hit a 6-1/2 year high in mid-February 2010. Aluminium stocks, on the other hand, continued a recent rise and last reached 4,434,950 tonnes after an inflow of 26,600 tonnes into LME warehouses. Aluminium ended at $2,482 from $2,505 a tonne. Zinc closed at $2,462 a tonne from $2,479 and battery material lead was at $2,635 a tonne from $2,661. Tin was at $26,850 a tonne from $27,000. Nickel was at $25,550 a tonne from $25,800. Reuters
Gold undermined by US data, EU debt LONDON: Gold fell on Thursday, succumbing to a flurry of profit-taking after surprisingly weak US jobs data briefly sent the price to one-week highs, although persistent concern over the euro-zone helped contain the slide. Palladium rallied to fresh 10year highs above $800 an ounce, having risen by 8 per cent so far this week, driven by expectations of faster global growth, stable investment demand and optimism stemming from the Detroit
auto show. Debt sales by some of the euro-zone's most economically fragile members such as Portugal and Spain have met with better demand from bond investors and tempered some of the concern that Lisbon and possibly even Madrid may need to tap into an international rescue fund for cash. Offsetting some of the relief was an unexpected jump in weekly US jobless claims, which staged their largest rise in six months. This lifted gold to a session peak of $1,392.80 an ounce, its highest since January 4. By 1535 GMT spot gold had surrendered these gains and was down 0.5 per cent on the day at $1,380.10 an ounce, falling for the first time after three consecu-
Sugar dips; Coffee edges lower LONDON: Raw sugar futures on ICE dipped on Thursday as high prices deterred physical buyers, while cocoa fell slightly as steady shipments continued from top grower Ivory Coast despite a standoff between rival governments. Coffee futures fell in a technical correction to earlier multi-year peaks following tight supply forecasts on Wednesday. India, the second-biggest sugar producer after Brazil, has said it will export at least 500,000 tonnes, but there are concerns exports could be delayed because of food inflation. Uncertainty about Indian supply has kept sugar prices near a 30-year peak, touched in late December, curtailing demand in the physical market, dealers said. ICE March raw sugar was down 0.27 cent or 0.9 per cent at 31.74 cents a lb, while London March white sugar was up $6.50 at $787.50 per tonne. Cocoa futures dipped as a strong flow of new crop out of West Africa kept the market on the defensive, but they remained underpinned by concerns about continued political turmoil in Ivory Coast after a disputed Nov. 28 presidential election. ICE May cocoa traded down $28 or 0.9 per cent at $2,952 a tonne after three consecutive days of gains, while London's May cocoa contract was 35 pounds or 180 per cent lower at 1,950 pounds per tonne. Coffee traded slightly lower in a technical correction after hitting multi-year peaks in the previous day's session. ICE March arabicas fell 1.3 cents or 0.5 per cent to $2.3935 per lb after rising to a 13-1/2year high on Wednesday. Liffe robusta coffee fell with March down $17 or 0.8 per cent at $2,150 per tonne, after hitting $2,185, the highest level for the second month since Sept. 2008, on Wednesday. -Reuters
tive days of rallies after a shortcovering rally ran out of steam. US gold futures for February delivery were last down 0.2 per cent at $1,382.60 an ounce. Reflecting the retrenchment in investment demand for gold, holdings of gold in the world's largest gold exchange-traded fund, the SPDR Gold Trust, were unchanged around their lowest since June, while ETF Securities' London-listed gold fund saw redemptions on Wednesday. MUMBAI: Indian sugar In the physical market, dealers futures rose on Thursday due to bargain-buying, while spot market nudged higher on an improvement in demand at lower levels, analysts said. "There was a slight improvement in demand due to sharp fall in prices in the last few sessions," said a member of Bombay Sugar Merchants noted purchases from main con- Association (BSMA). sumer India as well as China, The most-traded M-grade which could offer support for sugar contract for February cash gold. Premiums for gold delivery on India's National bars were at two-year highs in Commodity and Derivatives Singapore and Hong Kong. Exchange (NCDEX) rose 1.41 Palladium is trading around its per cent to 2,867 rupees per highest since March 2001, above 100 kg, after hitting a contract $800 an ounce. The spot price low of 2,818 rupees earlier in was last up 0.7 per cent at the session. $813.22 an ounce, having hit a In Kolhapur, a key market in 10-year high of $821.47 earlier top-producing Maharashtra in the day. state, the most traded S-variety Platinum meanwhile rose 0.9 edged up by 3 rupees to 2,760 per cent to $1,814.50, having rupees ($61) per 100 kg. A panel of Indian ministers also reached its highest since will review 500,000 tonnes of July 2008 at $1,826.74. Silver fell 1.0 per cent to sugar permitted for overseas $29.33 an ounce, echoing the sales, two government sources softness in the gold price, said on Tuesday, a day after the while the gold/silver ratio country's farm minister said ticked up to 47.3 from 46.7 the plans to allow the exports were in place. -Reuters day before. -Reuters
Indian sugar recovers on bargain-hunting
National Commodity Exchange Ltd Trading Summary Date
13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011 13-Jan-2011
Commodity
CRUDE100 CRUDE100 CRUDE100 SILVER - SL500 SILVER - SL500 GOLD 01oz GOLD 01oz GOLD 01oz GOLD 100oz GOLD 100oz GOLD 100oz GOLD GOLD GOLD KILOGOLD KILOGOLD TOLAGOLD50 TOLAGOLD100 MINIGOLD MINIGOLD MINIGOLD MINIGOLD MINIGOLD TOLAGOLD TOLAGOLD TOLAGOLD TOLAGOLD TOLAGOLD IRRI6W RICEIRRI - 6 RBD PALMOLEIN KIBOR3M KIBOR3M
Contract Date
Price Quotation
Open
High
Low
Close
FE11 MA11 AP11 MA11 AP11 FE11 MA11 AP11 FE11 MA11 AP11 JA11 FE11 MA11 JA11 FE11 JA11 JA11 MON TUE WED THU FRI MON TUE WED THU FRI 13JA11 JA11 JA11 11-Mar 11-Jun
US$ Per Barrel US$ Per Barrel US$ Per Barrel US$ Per Troy Ounce US$ Per Troy Ounce US$ Per Troy Ounce US$ Per Troy Ounce US$ Per Troy Ounce US$ Per Troy Ounce US$ Per Troy Ounce US$ Per Troy Ounce Per 10 grms Per 10 grms Per 10 grms Per 10 grms Per 10 grms Per Tola Per Tola Per 10 grms Per 10 grms Per 10 grms Per 10 grms Per 10 grms Per Tola Per Tola Per Tola Per Tola Per Tola Per 100 kg Per 100 kg Per Maund Per Rs. 100 Per Rs. 100
91.12 92.19 93.43 29.55 29.57 1379.50 1379.00 1381.40 1379.00 1380.50 1381.50 38189.00 38188.00 38212.00 38161.00 38170.00 44511.00 44511.00 39255.00 39296.00 39310.00 39227.00 39241.00 45118.00 45792.00 45504.00 45673.00 45693.00 3326.00 3331.00 5159.00 86.22 85.40
92.35 93.31 94.30 29.72 29.57 1388.50 1389.50 1390.30 1388.50 1383.10 1383.10 38291.00 38400.00 38314.00 38263.00 38272.00 44630.00 44630.00 39345.00 39387.00 39401.00 39415.00 39331.00 45224.00 45792.00 45504.00 45673.00 45693.00 3350.00 3355.00 5207.00 86.22 85.40
91.09 92.19 93.16 29.18 29.43 1376.70 1377.40 1379.00 1377.00 1380.50 1381.50 38189.00 38125.00 38212.00 38161.00 38170.00 44511.00 44511.00 39255.00 39296.00 39310.00 39227.00 39241.00 45118.00 45166.00 45182.00 45087.00 45103.00 3326.00 3331.00 5159.00 86.15 85.36
91.93 92.88 93.74 29.41 29.43 1382.30 1383.10 1384.00 1382.30 1383.10 1383.10 38291.00 38300.00 38314.00 38263.00 38272.00 44630.00 44630.00 39345.00 39387.00 39401.00 39415.00 39331.00 45224.00 45272.00 45288.00 45304.00 45208.00 3350.00 3355.00 5207.00 86.15 85.36
Traded Volume in lots 142 57 45 230 2,010 1,760 2,033 54 13 10 1 2 10 -
Previous Settlement Price 91.94 92.90 93.76 29.71 29.73 1386.00 1387.00 1388.00 1386.00 1387.00 1388.00 38365.00 38374.00 38388.00 38337.00 38346.00 44715.00 44715.00 39419.00 39460.00 39474.00 39488.00 39405.00 45310.00 45358.00 45374.00 45389.00 45294.00 3326.00 3331.00 5159.00 86.22 85.40
Note: Traded Volume reflects the trades from 06:00 pm of previous day to 06:00 pm of current day
Current Open Interest Settlement in Lots Price 91.93 167 92.88 40 93.74 25 29.41 117 29.43 1382.30 1,071 1383.10 1,866 1384.00 1,195 1382.30 9 1383.10 1384.00 38291.00 30 38300.00 12 38314.00 1 38263.00 2 38272.00 44630.00 44630.00 39345.00 39387.00 39401.00 39415.00 39331.00 45224.00 45272.00 10 45288.00 1 45304.00 45208.00 54 3350.00 3355.00 5207.00 86.15 85.36 -
Workers adjust an entrance sign for the upcoming Men's Handball World Championship in Malmo
10
Friday, January 14, 2011
China’s Li Na lands in Sydney final
SA crush India by 135 pounding runs South Africa lead series 1-0
Monitoring Desk Monitorring Desk SYDNEY: China's Li Na won through to the final of the Sydney International with a straight sets win over Bojana Jovanovski on Thursday. Li, who will be defending her rankings points from last year's semifinal appearance at next week's Australian Open, overcame the Serbian qualifier, 7-6 (7/5), 6-3 in 1hr 40min. The eighth seeded Li will be bidding for her fourth career title in Friday's final against either two-time champion Kim Clijsters of Belgium or unseeded Russian Alisa Kleybanova. Li trailed after a service break in the third game but traded four service breaks with Jovanovski before breaking the Serb's serve again in the 12th game to force a tiebreaker. She won the tiebreaker 7-5 to take the set and controlled the last set with three more service breaks to wrap up victory. She is making her fourth appearance at the Sydney International and reached the 2007 semi-finals where she lost to Clijsters in three sets. "Australia is always the beginning of the season," Li said. "So sometimes I do well at the Gold Coast and sometimes I do well in Melbourne and sometimes I do well in Sydney. "I always do well in Australia. I don't know why. Maybe because of my winter training back home. So maybe I should move here," she laughed.
Dhoni says bad start busted India DURBAN: Chasing 290 on the bouncy Kingsmead track was always going to be a tough task, said Indian skipper Mahendra Singh Dhoni after the humiliating 135-run loss to South Africa in the first ODI but insisted that the target was gettable had the visitors not lost early wickets. "We could have done better. When you are playing with four bowlers, you are under a bit of pressure, that if one of the bowler don't bowl well then you have to make those overs with the part timers. Fortunately in this game our part timers bowled really well and they brought us back into the game," Dhoni told reporters on Wednesday.
DURBAN: South Africa's Johan Botha, Lonwabo Tsotsobe , Wayne Parnell , Graeme Smith and David Miller celebrate the wicket of India's Harbhajan Singh during the one day international cricket match at Kingsmead Stadium.-Reuters
Akmals far more than just a pair of gloves WELLINGTON: Mr and Mrs Akmal can be mightily proud of their contribution to Pakistan cricket, in particular the nation's wicketkeeping stocks. They produced seven sons and three have gone on to play for Pakistan, the latest being wicketkeeper and son No 5 Adnan, who replaced son No 1 Kamran in the test team late last year. Kamran was today recalled to one-day team for the sixmatch series against New Zealand, replacing Adnan on the tour. He will be joined in the squad by son No 7 Umar, the dashing young batsman who scored 129 and 75 on test debut
against New Zealand at Dunedin last summer but was 12th man in the first test victory at Hamilton last weekend. Remarkably, Umar also keeps wickets at international level, mainly in Twenty20 matches, raising questions about whether, in the mad rush for the gloves, anybody actually remembered to pick up the bat and tennis ball on the way to their family matches each Sunday growing up in Lahore. Someone must have, because all three are accomplished batsmen who are attractive to watch and able to punish any bowling attack. Adnan, 25, has no hesitation in rating Kamran, 29, who averages 30.79 from 53 tests,
as the best batsmen but Umar, still just 20, is one of the most exciting prospects in world cricket. Adnan has the least impressive record of the trio, averaging just 22.70 from 76 first class matches, but his elegant 44 in the first test at Hamilton his third at that level - suggested the statistics did not tell the full story. He is working hard on his batting skills but it appears keeping comes naturally. "He was the boy ball in 1996-97 and I was involved with Pakistan at that time," current team manager and former test player and coach, Intikhab Alam, says of Adnan.Reuters
Clijsters reaches final after tough Sydney test
Aus pacer McKay out of ICC WC reckoning
SYDNEY: Kim Clijsters came through a major test of her early season form to reach the Sydney International final with a 4-6 6-3 7-6 victory over Alisa Kleybanova on Thursday. The 27-year-old Belgian is favourite for the Australian Open but required all of her expertise at winning clutch points in a ding-dong battle with the big-hitting Russian at a windy Sydney Olympic Park. The U.S. Open champion clinched her place in the final in the third set tiebreak after a hard-fought two hours and 38 minutes, maintaining her record of not having lost a semi-final or final since coming out of retirement in 2009. "It probably wasn't my best tennis but I had to work for it
MELBOURNE: Australia's fast bowling stock has taken another significant blow before next month's World Cup in the subcontinent with paceman Clint Mckay being diagnosed with a stress fracture in his left foot. With injury to 27-year-old Mckay, the current world No 1 side in ODIs will now go to the World Cup without two of its top three wicket-takers for the past year with other being Ryan Harris, who is nursing a stress fracture in his foot that emerged during the Boxing Day Test. The foot soreness McKay felt during Victoria's Big Bash win over Queensland on January 3 has been revealed as a stress fracture of the navicular bone in his left foot.Online
WELLINGTON: Pakistan will set aside off-field controversies to chase their first series win for four years when the second test begins in Wellington on Saturday, as hosts New Zealand struggle for form. Unable to hold international matches at home due to security concerns and beset by corruption allegations, Pakistan have not won a test series since defeating the West Indies in early 2007. But after crushing the Black Caps by 10 wickets in the first test, the tourists are in prime position to go 2-0 up and record a clean sweep in the two-match series.
really hard," said Clijsters, the Sydney champion in 2003 and 2007. "I think that's something that's also part the of preparation ... "Play that work tennis, where you have to just keep fighting, and even if you're not playing your best, or if you're not always able to play your own game, or the way that you would like to play ... and just try to work your way through points and through matches like that." In Friday's final, Clijsters will meet China's Li Na, who continues to suggest she might match or even better last year's breakthrough at Melbourne Park. The 28-year-old, who made
it to the semi-finals at the year's first grand slam in 2010, came back from a break down in the first set to beat Serbian teenager Bojana Jovanovski 76 6-3. "It wasn't easy, she's young but she's playing well," said Li, who was at a loss to explain her great start to the year. "I just came in, and then finally I was in the final. I was surprised. I always play well in Australia. I don't know why." Former top 10 player Gilles Simon continued his battle back from a serious knee injury to reach the last four in the men's tournament with a 6-4 63 win over Ukrainian Alexandr Dolgopolov on a windy day at the Sydney Olympic Park.Reuters
DURBAN: South Africa's fast bowlers struck early to set up a comprehensive 135run win in the first one-day international against India at Kingsmead on Wednesday. Chasing a target of 290, India's hopes were effectively ended when they were reduced to 43 for four in the 11th over. Despite a halfcentury by Virat Kohli they were bowled out for 154. "We were outplayed completely," admitted Indian captain Mahendra Singh Dhoni. "We are a side that banks on a good start and having wickets in hand to chase eight or
Standing panel asks BCCI about the cheergirls Monitoring Desk NEW DELHI: How do cheergirls promote the cause of cricket? Why are players auctioned like "gladiators" in IPL system of cricket? These were some of the questions that members of the Parliamentary standing committee on finance posed to top BCCI officials, including its president Shashank Manohar, secretary N Srinivasan and IPL commissioner Chirayu Amin during a hearing on financial transactions related to the conduct of IPL. While the BCCI top brass claimed that IPL would help the cause of cricket and attract more talent, it was at loss to explain the role of cheergirls, sources said. It is learnt that the BCCI officials put the onus of introducing the concept on sacked IPL chief Lalit Modi. Some of the members of the committee, headed by BJP MP Yashwant Sinha, also questioned the concept of auctioning the players like "gladiators". They said it reminded them of the Roman empire when men were sold to bidders on the basis of their physical strength. Manohar, Srinivasan and Amin were quizzed by the MPs for about two-and-a-half hours about the alleged FEMA violations. The BCCI was asked about the funding pattern of the highly popular IPL and the methods adopted for payment to foreign and Indian players. The committee also sought details of the expenses incurred on the conduct of the second edition of the Twenty20 tournament in South Africa in 2009.Reuters
nine runs an over . . . it never happened." Dhoni said the one-day specialists in his team had been restricted in their practice opportunities because of rain. "As we go into the series we will get acclimatised more and hopefully make the series more interesting." South African captain Graeme Smith, meanwhile, hailed 'a pretty complete' performance in the opening match of a five-game series, with particular praise for the bowlers. "We were superb with the ball," he said. Dale Steyn dismissed Murali Vijay in the first over
and left-arm bowler and man of the match Lonwabo Tsotsobe picked up the key wicket of Sachin Tendulkar three overs later. Morne Morkel, who came on as first change, took two wickets in one over as the Indian batsmen failed to come to terms with the pace and bounce of a Kingsmead pitch with a reputation for being more lively in the second innings of day-night games. Tsotsobe went on to claim four wickets for 31 runs, while fellow pacemen Steyn and Morkel took two each and left-arm fast bowler Wayne Parnell took one.
Pak missing key players against NZ WELLINGTON: The Pakistan cricket team is looking to back up its first test drubbing against the Black Caps in Wellington this weekend. The last time the two sides met at the Basin Reserve, Mohammad Amir and Mohammad Asif played key roles, but this time it will be up to the others as they watch from Doha. But aside from few faces missing from the last time they hit the Basin Reserve nets, but Umar Gul is confident his team will get the same result. "We are confident and we are playing good cricket," he says.
In Pakistan's last test at the Basin Mohammad Asif and Mohammad Amir were standouts, grabbing five wickets between them and helping the tail end to 264 - a score the Black Caps fell 141 runs shy of. "I think in the last match we win very well and we were confident and they are confident and we were on a moral high and we are looking forward to win this match also and we will try and win the series 2-0." That said, Gul wasn't taking the Black Caps lightly. "I think they will bounce back strongly and we are ready for the second test."-Reuters
MELBOURNE: Maria Sharapova of Russia practices her serve during a training session for the upcoming Australian Open tennis tournament.-Reuters
Pakistan eye series win over NZ Coach Waqar Younis paid tribute to his players for maintaining their focus on the pitch as teammates Salman Butt, Mohammad Asif and Mohammad Amir faced corruption hearings in Doha. "It's not that we've been playing bad cricket, it's just that the controversy has just been following us," he said. "It's very, very hard for the boys to keep going and keep hearing this but I'm very proud of these boys, they've stuck to the task and every morning they get up and keep positive." Butt, Asif and Amir are set to learn their fate when an anti-corruption tribunal into
spot-fixing allegations resumes hearings on February 5. New Zealand coach John Wright has labelled as "unacceptable" the Black Caps' performance in his first test in charge in Hamilton, when the batting line-up was dismissed for a paltry second innings total of 110. Critics, including former test opener Mark Richardson, expressed concern that the focus on Twenty20 had turned New Zealand's batsmen into one-dimensional players prone to wild shots and poor decision making. Skipper Daniel Vettori denied the accusation in the
wake of the Hamilton loss but Wright later conceded the emphasis on short-form cricket could be a factor behind the batting failure. "The talent's there but we've really got a bit of teaching to do," he told Radio Sport. "I think the reality is that if you look at learning to bat, particularly in a test match, we've probably been more exposed in other forms of the game." Wright, a former test batsman known for grinding out an innings, said his players should be desperate to occupy the crease and not give their wickets away cheaply. Vice-captain Ross Taylor
said New Zealand's batsmen "need to have a good look at themselves, myself included", suggesting Wright's passion for test cricket made him a good role model. "The way that John coaches and the way he comes across, he's very big on test cricket," Taylor said. "He had a very successful test career for New Zealand and he was a very hard player, so hopefully that can rub off on us." The test series has been reduced to two matches, down from the customary three, to allow for an extended six-match one day series, which will provide a warm-up
for next month's World Cup in India. Test squads: New Zealand: Daniel Vettori (captain), Brendon McCullum, Tim McIntosh, Martin Guptill, Ross Taylor, Jesse Ryder, Kane Williamson, Reece Young, Tim Southee, Brent Arnel, Chris Martin, James Franklin, Daryl Tuffey. Pakistan: Misbah-ul-Haq (captain), Mohammad Hafeez, Taufeeq Umar, Azhar Ali, Younis Khan, Asad Shafiq, Umar Akmal, Adnan Akmal, Saeed Ajmal, Abdur Rehman, Umar Gul, Tanvir Ahmed, Sohail Tanvir, Wahab Riaz.-Online
ECB says ready to act on inflation if needed FRANKFURT: The euro zone faces short-term price pressures which could linger, the European Central Bank said on Thursday, showing it could raise interest rates to contain inflation even while the bloc is gripped by a debt crisis. ECB President Jean-Claude Trichet said prices needed to be monitored very closely after euro zone inflation jumped last month to 2.2 per cent, the first time in two years it has risen above the central bank's target of just below 2 per cent. The ECB left rates on hold at a record low of 1 per cent -- a level Trichet said was "still appropriate". Risks to the medium-term outlook for price developments were still broadly balanced, "but could move to the upside", he added. "We see evidence of shortterm upward pressure on overall inflation, mainly owing to energy prices, which has not so far affected our assessment that price developments will remain in line with price stability over the policy-relevant horizon," Trichet told a news conference. "We are permanently alert. We are never pre-committed not to move interest rates and our level of interest rates is designed to permit to deliver price stability." The euro extended its gains versus the dollar in response to his remarks and short-dated bond yields rose. "He sent a mild warning to markets that the ECB's assessment on interest rates could change," said Commerzbank economist Michael Schubert. "What was more striking was that he emphasised that the ECB raised rates in July 2008, which stresses that the ECB could still raise rates in very
uncertain times." In 2008, the ECB hiked rates due to oil price-fuelled inflation just ahead of the Lehman bankruptcy that tipped the global financial system into fullblown crisis. Trichet made a point of reminding reporters of that but said that while inflation could remain above target for a while, it was likely to subside towards the end of the year. With inflation taking off, most notably in fast-growing emerging economies, several countries are already raising rates. South Korea and Thailand were the latest Asian economies this week to tighten as policymakers battle the impact of surging prices of food and other commodities. "There is maybe a bit of a shift but I would not overdo it," Goldman Sachs economist Dirk Schumacher said of the ECB's stance on inflation. "One meeting is not enough to signal a major shift considering how volatile the situation is likely to remain." The Bank of England also kept its interest rates on hold on Thursday at a record-low level of 0.5 per cent. Markets are starting to price in a UK hike by the summer rather than near the year's end given inflation there has been above target for much of the last three years. Trichet put the onus firmly on euro zone governments to put their own houses in order to draw a line under the euro zone debt crisis which has forced Greece and Ireland to seek bailouts. Successful bond auctions by Spain and Portugal this week eased some of the fears they may be next to seek outside aid. "In view of the ongoing vul-
nerability to adverse market reactions, countries need to do their utmost to meet their deficit targets and put government debt and GDP ratios firmly on a downward trajectory," Trichet said. He reaffirmed his support for the size and scope of the 440 billion euro ($574 billion) rescue fund to be increased, something top EU officials are pushing for, although Germany says it is opposed. "We thought that this stabilisation fund should be improved quantitatively and qualitatively," Trichet said. Investors wonder whether the ECB can increase its bond purchase programme to support Portugal, the latest government under pressure in a crisis which policymakers want to halt before it reaches the much bigger Spanish economy. The pressure on the ECB to buy bonds may have been eased by Portugal's success in an auction of its benchmark 10year bond on Wednesday, a similarly solid debt sale by Spain on Thursday and a call from the EU's top economic official for a stronger European financial safety net. It did, however, buy Portuguese bonds to ease the path to its auction this week. Trichet merely said the programme was "ongoing". The programme, which has left the ECB exposed to potential losses, has divided opinion within the bank, with Germany's Bundesbank chief Axel Weber voicing his opposition publicly. Keeping its bond buying plans ambiguous affords the ECB an element of surprise when it acts, generating more impact.-Reuters
UK factory output strong, industry growth slows LONDON: British industrial output grew at its slowest annual pace in four months in November, dragged down by weakness in the oil and gas sector, despite strength in manufacturing, official data showed on Thursday. The figures drew no lasting market reaction as the key manufacturing component was broadly in line with recent private sector surveys, and did little to influence the debate about when UK interest rates would rise. Industrial output rose 0.4 per cent on the month after October's 0.1 per cent decline. However, that was a smaller rebound than the 0.6 per cent analysts had expected, and annual output growth slowed to 3.3 per cent from 3.5 per cent in October. Manufacturing output grew slightly faster than forecast, helped by strong growth in car production and food processing. The 0.6 per cent monthly rise matched October growth that was the strongest since March. The strong manufacturing figures chime with recent industry surveys showing exports gave the sector a strong boost at the end of last year, although leading indicators have suggested the economy is now slowing sharply. "It is heartening to see dynamism in this sector of the economy," said Brian Hilliard, UK economist at Societe Generale. "It doesn't indicate any action at the Bank of England rate decision today. It is encouraging and it is genuine, but it is not enough to guarantee strong growth." Surveys suggest Britain's service sector -- which makes up about three-quarters of output -slowed at the end of 2010 and is likely to face further headwinds in 2011 as higher taxes and public spending cuts take their toll.Reuters
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Russian counterpart --you know; the neighbours in the area, to include India."I think we all have responsibility and we all want to see this resolved as rapidly as possible," the official added. US Chairman Joint Chiefs of Staff asserted that reservations of Pakistan would be considered in resolving the Afghan dispute. In an exclusive interview with a Pakistani news channel, Mullen said US would not let Afghanistan alone, adding like Pakistani military chief, US also believe that stable Afghanistan could resolve many problem. He appreciated the role of Pak Army is eliminating safe havens of militants, and reiterated the US stance for eliminating the menace. Referring to Pak-India relations, US Admiral was of view that better relations between two South Asian countries would ensure security in the region. -Agencies
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He, however, mentioned that impediments to benefit from FTA need to be removed to further enhance trade relations. Business transactions between the two countries through Asian Clearing Union (ACU) take more time as compared to normal L/Cs, he added. Opening of L/Cs through Iran's sister companies in Dubai also adds to total cost, he said and stressed upon the opening of branches of Banks in each others countries. The Iranian Minister of Commerce mentioned that at present Iran has trade with the world to the tune of $150 billion mainly with the western countries including USA and EU. The trade with UAE has reached $15 billion while with India it has increased to US $12 billion, he added. -Agencies
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corruption. The court adjourned the hearing till January 19. Latif Khosa took the post of Salman Taseer, who was murdered by his own bodyguard last week for giving out statements against the blasphemy law. Khosa is the 27th Governor of the Punjab and is considered to be a close ally of President Asif Ali Zardari.-Agencies
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The US public does not appear to be in the mood for new or extended overseas military ventures, and US Republicans, who won control of the House of Representatives in November, have promised to cut government spending and debt. Biden's visit follows stops in Afghanistan and Pakistan and is his seventh to Iraq since January 2009. His last visit was in September, when he urged Iraq to overcome a political logjam that had prevented agreement on a new government months after a March election. Biden's meeting with Maliki began with a scuffle among journalists determined to get in to the audience chamber. "It's very good to be back. I see your press is still healthy and good and strong," Biden said to Maliki. Biden was also expected to meet Allawi. -Reuters
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11 US jobless claims jump, wholesale food costs surge
International & Continuation
Friday, January 14, 2011
we are rooting for her through what is undoubtedly going to be a difficult journey." University of Virginia political science professor Larry Sabato said Obama achieved his goal. "He did exactly what he was supposed to do. He stayed out of partisan politics and kept the focus on the victims and the families," he said.-Agencies
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the Government of Pakistan. The committee further took the presentation on Pakistan Poverty Alleviation Fund on its institutional framework, engagements with the Government of Pakistan, operational framework, its Outreach and Output and Resource Deployment and its Outcome and Impact. The Chairman of the committee said that since the Government of Pakistan is the principal contributor to the fund, therefore, the ECC members also be made aware of the Reach and Range of the activities of the fund. He also asked to give a comprehensive analysis of the present and past picture of the poverty alleviation in the country, and in this regard set up a committee headed by Deputy Chairman Planning Commission, Dr Nadeem-ul-Haque with members Hina Rabbani Khar, Minister of State for Finance, Shahnaz Wazir Ali, Special Assistant to the Prime Minister on Social Sector Development so that the projects of the fund be made more tangible in terms of alleviation of poverty in the country. The Committee also had presentation on the National Rural Support Programme on Social Mobilization leading to Community Development in rural areas. The Pakistan Poverty Alleviation Fund and National Rural Support Programme are inter-related the sub-committee constituted by the Chairman, headed by DCPC shall look into the both the programmes and submit its report in the coming ECC meetings. The committee earlier had a glimpse of the economic situation in term of the prices situation in the country, with current economic indicators, review of the stock position of edibles, POL product, and implementation status of the decisions taken in the last ECC meeting. Among others who attended the ECC meeting were, Federal Ministers for Food and Agriculture, Water and Power, Petroleum and Natural Resources, Minister of State for Finance, Textiles and Railways Deputy Chairman Planning Commission and concerned high officials of the Finance, EAD, Commerce, FBR, Statistics and newly appointed chairman of the SECP.
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economic growth. The event was organised by the USAID's Pakistan Trade Project in collaboration with Ministry of Commerce to promote economic growth through legitimate domestic, international and transit trade. "The decisions you make will have a deep and lasting impact on Pakistan's immediate prospects for economic growth. You will create the environment for expanded economic opportunities for future generations", he added.Senior representatives from the Ministries of Commerce, Industries, and Railways as well as from the Federal Board of Revenue, Customs and key chambers of commerce besides industry associations participated in the meeting. The meeting discussed key issues like reducing the cost of trade and doing business in Pakistan, supporting a level playing field for authorised trade, expanding regional trade, and accessing export opportunities in a more effective manner. The private sector representatives presented recommendations and proposed an implementation roadmap to policy-makers. The roundtable meeting also established a forum for regular public-private sector consultation under the aegis of the National Trade and Transport Facilitation Commission. -APP
Obama, who as president has sometimes had difficulty making an emotional connection with Americans, faced the challenge of comforting Americans, helping the community heal and bringing people together. "I want us to live up to her expectations," Obama said. "I want our democracy to be as good as she imagined it." The president leaped firmly into the political debate that broke out shortly after the gunfire ended last Saturday -- whether harsh political rhetoric from last year's acrimonious congressional elections had anything to do with inspiring the gunman to shoot. "What we can't do is use this tragedy as one more occasion to turn on one another," Obama said. Obama began his visit to Arizona by stopping at University Medical Center to see Giffords, who surContinued from page 1 vived a gunshot to the head that traveled the length of her brain on No #8 the left side. He also visited four other patients wounded in the Reserves held by the State Bank of Pakistan (SBP) fell to $13.44 attack. "Gabby opened her eyes," Obama said. "So I can tell you billion from $13.53 billion in the week ending Jan 8, while those she knows we are here, she knows we love her and she knows that held by commercial banks also fell to $3.65 billion from $3.67 bil-
WASHINGTON: US jobless claims jumped to their highest level since October last week while food and energy costs lifted producer prices in December, pointing to headwinds for an economy that has shown fresh vigor. However, a surge in exports to their highest level in two years helped narrow the US trade deficit in November, an encouraging sign for fourth-quarter economic growth. Despite a string of recent data that had signaled a pickup in the economy's momentum, the figures on Thursday showed the job market continues to struggle. The number of Americans fil-
ing for first-time unemployment benefits rose unexpectedly to 445,000 from 410,000 in the prior week, a Labor Department report showed. It was the biggest one-week jump in about six months and confounded analyst forecasts for a small drop to 405,000. The jobs data weighed on US stocks, which were off slightly in late morning. Government debt prices were trading little changed as concerns about Europe's debt struggles helped support the market. "The jobless number highlights the patchy recovery we've seen in the job market and reinforces that it will be a slow process
bringing down the jobless rate," said Omer Esiner, market analyst at Commonwealth Foreign Exchange in Washington. The rebound in benefit claims came in the wake of the holidays, which may have hindered new applications and created a backlog. Claims, which peaked around 650,000 in April of 2009, had been on a downward trajectory, dipping below 400,000 for the first time in two years during the week of Christmas. The four-week moving average of new claims, which strips out short-term volatility to provide a better sense of underlying trends, rose by 5,500 last week to 416,500.-Reuters
lion, said Syed Wasimuddin, chief spokesman of the central bank. It had previously hit a record high of $17.10 billion in the week ending October 15 because of an increase in remittances from overseas Pakistanis and a narrowing trade deficit. Earlier the reserves got a boost in September after the IMF sent Pakistan $450 million and said that the money would go toward the budget to help with additional spending for flood relief and immediate foreign exchange needs.
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Ashraf, Minister for Water and Power, Dr Zaheeruddin Babar Awan, Minister for Law, Justice and Parliamentary Affairs, Syed Naveed Qamar, Minister for Petroleum and Natural Resources and Mian Raza Rabbani, Advisor to the Prime Minister. Muhammad Ishaq Dar, leader of PML-N contacted the Prime Minister this afternoon and apprised him of the formation of the committee by his party Quaid Mian Muhammad Nawaz Sharif, for dialogue on national issues. The Prime Minister assured him that both the committees would meet soon to open up dialogue on national issues including the economic challenges. Ishaq Dar, the leader of the PML (N) Committee conveyed the desire to meet the representatives of the government soon to initiate the discussions. -APP
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officers of Railways. Furthermore, government has allowed 30 per cent increase in trains fares, while the axing of some 20,000 employees is also under consideration, media reported on Thursday. GM Railways Operations Ashfaq Khattak, while briefing National Assembly Standing Committee on Railways, said that Federal Cabinet has approved 10-30 per cent hike in train fares, which would be enforced within 10 days. He said that 10 per cent hike in passenger trains fares while 15 per cent in intercity trains would be made; 20 per cent raise in Express trains while Non-stop trains' fare would be risen by 25 per cent.-Agencies
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concerns over surging world food prices. But Pakistan decided to allow the private sector to export wheat last month, lifting a three-year ban after a bumper crop led to a market surplus. Traders have said that despite damages from summer floods, Pakistan still has a surplus for export after a bumper crop of 23.86 million tonnes in 2009/10 added to a carryover of 4.2 million tonnes from the previous crop. A Karachi-based trader said Pakistan has booked orders for about 500,000 tonnes of wheat and shipments had already started. "Our traders have made deals for about 500,000 tonnes for January-March shipment, and we expect more orders," Javed Thara said.-Reuters
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implications and consequences not only for Afghanistan and Pakistan but for the entire region. The spokesman said Pakistan has always desired for peace and tranquility in the region and along the borders. Pakistan is firmly committed to sovereignty and territorial integrity of Afghanistan and is working closely for normal state to state relations with its neighbour.
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Volumes too remained significantly higher witnessing a remarkable increase as 229.4 million shares traded during the day which is 86.3 million more than a turnover of 143.1 million a day earlier. Lotte Pakistan stood as the volume leader with 59.42 million shares as international PTA prices hit $1,325/tonne. Other volume leaders included DG Khan Cement with 25.48 million shares and Fauji Fertiliser Bin Qasim with 12.94 million shares. Out of total 409 active issues 215 advanced and 169 declined while 25 issues remained unchanged.
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Twenty-four of its components declined. Foreign funds have sold around $500 million of Indian equities since the new year began and the BSE index has shed 6.5 per cent, spooked by inflation concerns that are also hurting other Asian emerging economies. Leading lenders State Bank of India, ICICI Bank and HDFC Bank dropped between 2.9 per cent and 3.9 per cent on worries the central bank would take a hawkish monetary stance at its policy on Jan. 25. The Reserve Bank of India, which raised interest rates six times in 2010, is expected to increase rates by at least 25 basis points at the policy, a Reuters poll showed. Infosys' results sparked concerns about the outlook for India's showpiece outsourcing sector and sent rivals Tata Consultancy Services and Wipro down 1 per cent and 2.7 per cent respectively. "The valuations and forex woes get me worried.-Reuters
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comment hit both British American Tobacco and Imperial Tobacco, down 3.6 and 1.3 per cent respectively BofA Merrill Lynch downgraded its ratings for the two cigarette makers to "neutral" from "buy." Utilities were also fallers as defensively perceived stocks retreated, with United Utilities down 2.7 per cent. Miners were lower, led by Antofagasta down 2 per cent as copper fell, with the metal's price pausing after two days of gains as investors worried about demand waning in China as the top metals consumer approaches its New Year holiday. And energy issues were led down by Royal Dutch Shell, off 0.4 per cent, with traders citing talk that the oil major was guiding analysts lower on its earnings outlook. Part-nationalised lenders Royal Bank of Scotland and Lloyds Banking Group gained 3.5 per cent and 1.2 per cent respectively, as domestic banks bounced back with eurozone debt concerns seeing some relief. After Portugal's debt auction on Wednesday, Spain and Italy successfully sold a combined 9 billion euros ($11.83 billion) of debt on Thursday, underpinned by hopes that policymakers may soon shore up the region's fiscal defences. Among other financials, insurers also saw good support with Resolution standing out, ahead 3.7 per cent. Engineer IMI was the top blue-chip performer, up 4.2 per cent, after BofA Merrill Lynch upgraded its rating to "buy." "We have clung on to the 6,000 level but are making fairly heavy weather of it, with two steps forward and one step back," said David Morrison, market strategist at GFT Global.-Reuters
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The Dow Jones industrial average declined 13.10 points, or 0.11 per cent, to 11,742.34. The Standard & Poor's 500 Index rose 0.19 point, or 0.01 per cent, to 1,286.15, and the Nasdaq Composite Index added 4.36 points, or 0.16 per cent, to 2,741.69.Shares of drugmaker Merck & Co fell 6 per cent to $34.86 after it said it would pull a blood clot drug from one study and not give it to some patients in a late-stage trial. Vorapaxar, seen as having large sales potential, was deemed inappropriate for stroke patients. Merck's drop took a toll. The S&P Health Care index .GSPA declined 0.67 per cent and the ARCA Pharmaceutical index .DRG fell 0.88 per cent. In a potentially encouraging sign, however, continuing claims retreated sharply to 3.88 million from 4.13 million. Producer prices rose more than expected in December as energy and food costs surged, but underlying inflation remained subdued. Traders were focused on the next major company due to report earnings, chipmaker Intel Corp, whose results were expected after the market closes. Its shares dipped 0.2 per cent to $21.25.-Reuters
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country's GDP. With better performance posted during FY10 (4.4 per cent YoY growth), recent trend suggest a sharp downturn once again. As per the analyst -- heavyweight contributor to industrial production -- textile sector is expected to take a hit in terms damage to domestic cotton output, high cotton prices and structural issues in maintaining competitiveness, which could lead to lower output by the sector amid higher interest costs, he added. We expect the group to witness a decline of 4 to 5 per cent YoY during FY11 while its impact on LSM would be the most severe.
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finance now the finance ministry would return it to the apex regulator shortly. It should be noted that few months back Securities & Exchange Commission of Pakistan (SECP) has forwarded the concept paper of MTS to the finance ministry for the approval. MTS has already been approved by the board of Karachi Stock Exchange (KSE), SECP, National Clearing Company of Pakistan Limited (NCCPL) and Central Depository Company (CDC). According to a senior member KSE, after the said approval MTS is likely to be launched at the stock markets in a couple of weeks. It is worth mentioning that stock market has been functioning without leverage products since more than a year after the earlier system CFS MK-II was rolled back. In the absence of leverage product the market volumes remained lackluster and brokers' earnings too witnessed a substantial decline therefore market participants were anxiously waiting for a leverage product.
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Engro Rupiya Certificate collects Rs4bn
TUCSON: President Barack Obama comforts his wife first lady Michelle Obama at the memorial event for Arizona victims. -Reuters
Khosa sworn in as Governor of Punjab LAHORE: Former Senator and Attorney General of Pakistan, Sardar Muhammad Latif Khan Khosa took oath Thursday as Governor of Punjab. Lahore High Court (LHC) Chief Justice, Justice Aijaz Chaudhry administered oath to Sardar Latif Khosa in an imposing ceremony here at Governor House. Leading stalwarts from the Pakistan Peoples Party, officebearers of Peoples' Lawyers Forum and other important personalities attended the oathtaking ceremony. It should be mentioned here that Khosa was scheduled to take oath on Wednesday but the ceremony was postponed owing to the murder of Justice Javed Iqbal's parents. Khosa was appointed as the Governor of Punjab by President Asif Ali Zardari on 11th January. An important point to note here is that his appointment was challenged in the Lahore High Court the next day when a citizen filed a petition against him. It said that he was not eligible for the post under the articles 62 and 63 of the constitution because he was removed from the office of Attorney General in 2009 under charges of See # 3 Page 11
Biden in Iraq for talks BAGHDAD: US Vice President Joe Biden flew into Iraq on Thursday for his first visit since Prime Minister Nuri al-Maliki was reappointed for a second-term and cost-cutting Republicans took over the House of Representatives. Biden picked by President Barack Obama as his point person for Iraq, met Maliki for talks as the US military prepares for a full withdrawal eight years after ousting Saddam Hussein. Fewer than 50,000 US troops remain in Iraq, compared with 144,000 in January 2009, when Obama and Biden took office. They have been focused since the end of August on advising and assisting Iraqi forces as they take the lead in the fight against a weakened yet resilient insurgency. As Biden prepared to set off for meetings, three roadside bombs planted near two Sunni and one Shi'ite Muslim mosque in Baghdad killed two people and wounded around 13. A senior administration official said the United States was adhering to the agreed timetable for full withdrawal by December 31, 2011. However, if Maliki asked the United States to stay, the Obama administration would be open to doing so in some form. Maliki is under pressure not to extend the US military presence beyond the end of the year even though Iraqi and US officials say Iraq will not be able to defend its borders on its own. It will not have a fully functional air force by then. See # 4 Page 11
SBP head, Secy Finance, ZTBL chief summoned
SC strikes blow against cronyism ISLAMABAD: The Islamabad High Court (IHC) Thursday issued notices to Governor State Bank of Pakistan, Secretary Establishment, Secretary Finance and President of Zaraie-Taraqiati Bank Limited (ZTBL) over observance of rules and regulations on the appointments made to high offices of ZTBL. A single-member bench comprising Justice Anwar Kasi resumed hearing of a petition of Ghazanfar Ali, Assistant Vice President ZTBL, against alleged violation of relevant rules. Qazi Ahmed Naeem Qureshi, the counsel, claimed that President ZTBL hired services of eleven blue-eyed on high salaries by neglecting bank
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Friday, January 14, 2011
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rules and regulations and Establishment Division. He said the eleven persons included Roohi R Khan as a chief operating officer, DIG Tahir Anwar Pasha and Ghulam Haider Marth Waheed Raza as a executive vice presidents, Aurangzeb Mohsin, LT Col (R) KB Aleem, Abdul Ghafoor Bhatti Senior vice president, Farrukh Muhammad Gondal, Ch. Maqbool Sukhera, Asad Ali Chaudhry, Maj (R) Muhammad Masood, vice presidents and Humera Rasheed Assistant as vice President. After hearing his arguments, the bench adjourned hearing till January 20 with direction to ZTBL management not to take any adverse action against the petitioner till the disposal of the case. -APP
Ahmed Siddique KARACHI: Engro Corporation-has received Rs4 billon, inclusive of greenshoe option amount of Rs 2 billion with more than 2,000 retail investors to its offer of Rupiah Certificate. Proceeds from the issue would be distributed to Engro Fertilizers and Foods with Fertilizer getting Rs3 billion as debt while Foods will receive an equity injection of Rs 1 billion from Engro Corp. The issue has tenure of 3 years with a fixed coupon rate of 14.5 per cent. Coupon payments will be distributed on a semiannual basis while the principal (99.9 per cent of the issue) will be via bullet payment in the 36th month of the issue. The instrument has been rated as AA by PACRA.
China visa policy irks India NEW DELHI: China has angered India by issuing unorthodox visas to two Indians from a border state claimed by Beijing, the latest flare-up of a territorial dispute festering between the Asian giants. India's foreign ministry said Thursday it had seen reports that an Indian athlete and his coach from the remote northeastern state of Arunachal Pradesh, on the Chinese border, were issued visas on papers stapled to their passports. Chinese visas are normally stamped into Indian passports. -Reuters
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Pak 'epicenter' of terrorism, says Mullen
Pull the trigger on NWA, US tells Pak WASHINGTON: Terming Pakistan as the "epicenter" for global terrorism, the US military's topmost official has said extremism cannot be defeated without eliminating the safe havens in the North Waziristan Agency. "I've said it before and I'll say it again: It is the epicenter of terrorism in the world right now, and it deserves the attention of everybody to do as much as we can to eliminate that threat," Admiral Mike Mullen, Chairman of the US Joint Chiefs of Staff told Washington-based foreign journalists at a news briefing. Mullen said progress in Pakistan was critical in terms of the region."Since I've had this
job, I have never talked or wanted to leave the impression that it was about one country or another, because it's about the region. And I think progress there is critical as well. "Obviously the recent assassination, the political challenges that we've seen with MQM leaving and returning to the coalition -- to ensure that that government doesn't fall, I think that political aspect there is something that I keep an eye on all the time," he said. Mullen emphasised it was important for Pakistan to shut down all those safe heavens in its boundary."It is absolutely critical that the safe havens in Pakistan get shut down. We cannot succeed in
Afghanistan without that," he said."I've had many meetings with Pak Army General Ashfaq Parvez Kayani on this subject, and he has evolved his military against this threat, and this threat is evolving as well, because it's not just Haqqani anymore, al Qaeda or TTP, the Afghan Taliban or LeT." It was all of them working together in ways that two years ago they absolutely did not, Mullen said in response to a question." And when I talk about the region, it isn't just Afghanistan and Pakistan. We had a question earlier about Iran. I will talk about this with my See # 1 Page 11
Gilani urges trade roadmap with Iran ISLAMABAD: Prime Minister Syed Yousuf Raza Gilani Thursday emphasised that prospects to exploit trade opportunities between Pakistan and Iran need to be looked into with a positive approach commensurate with our close brotherly relations. A roadmap with timelines to promote trade between the two countries could greatly help in this regard, he added. Prime Minister was talking to Iranian Minister for Commerce Mehdi Ghazanfari who called
on him here at the PM House on Thursday. Prime Minister appreciated the increase in the trade between Pakistan and Iran due to bilateral tariff concessions on more than 600 items under Preferential Trade Agreement (PTA) signed in 2004. The trade relations between the two countries, he observed, do not match with the opportunities available. Prime Minister highlighted the importance of deepening and broadening of trade and
economic cooperation in the mutual interest of the two countries by increasing product coverage and lowering of tariff. He said that for expanding the trade volume between the two countries measures like economic integration, reduction in transaction cost and creation of a business friendly environment were equally essential. The Iranian Minister of Commerce considered his meeting with the Pakistani officials, as fruitful. See # 2 Page 11
Cement cos vow to meet demand ISLAMABAD: Cement manufacturers here Thursday assured the government that cement requirements of the public sector infrastructure projects for small dams and canal lining would be met with the current production capacity. A meeting with cement manufacturers was held here under the Chairmanship of Federal Minister for Industries and Production in the Ministry of Industries and Production. The meeting was attended by the Minister for Finance Sindh, representatives Ministry of Finance, Ministry of Petroleum and Natural Resources and
the Ministry of Industries and Production along with representatives of the All Pakistan Cement Manufacturers Association including Lucky Cement, Best way Cement, Fauji Cement and Kohat Cement, says a statement issued here. The next meeting would include details of annual requirement of cement from the four provinces, AJK and GB. The cement manufacturers would provide details of possibility of deferred payment. The Ministry of Industries would also explore other funding possibilities. -APP
LPG quota distribution scandal
Action-plan on NA panel anvil ISLAMABAD: NA standing committee on petroleum has convened its crucial meeting on January 17, to approve the action-plan against the elements involved in distribution of LPG quota on political basis in the light of recommendations contained in special committee report. Committee will meet under its chairman Sheikh Waqas Akram and its 11point agenda has been issued. Inquiry report worked out by special committee on LPG scam will be high on the agenda of the meeting. Special committee chairman Barjees Tahir will present this report. He has rec-
ommended initiating action against those who have obtained LPG quota against rules and regulations besides introducing new system of distribution of quota. Sources told Online the ministry of petroleum had been asked to explain as to why oil prices are not reduced in Pakistan when they decline in international market. The prices on the other hand are increased in the country. Committee has also sought details of OGDCL and PSO assets. Report with regard to ongoing gas load shedding in the country will also be sought from the ministry in the meeting. -Online
Obama consoles Arizona grievers TUCSON: President Barack Obama mourned victims of an Arizona shooting spree on Wednesday and urged Americans not to let a political debate over the tragedy be used as "one more occasion to turn on one another." In an emotional address to thousands of people who packed a Tucson memorial service, Obama said no one knew what prompted a gunman to go on a rampage that killed six people and critically wounded Representative Gabrielle Giffords. He warned against seeking "simple explanations" and cautioned Americans
not to place blame. "None of us can know with any certainty what might have stopped those shots from being fired, or what thoughts lurked in the inner recesses of a violent man's mind," Obama said. Jared Lee Loughner, 22, has been charged with firing at Giffords and others gathered in a Tucson shopping center parking lot last Saturday where the 40year-old Democrat Giffords was hosting a meet-and-greet for constituents. Among those killed were a federal judge and an aide of Giffords. See # 5 Page 11
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