International Karachi, Monday, January 3, 2011, Muharram-ul-Haram 27, Price Rs12 Pages 12
Roll up your sleeves, Mr Obama
Pak ready for meaningful dialogue with India: FO See on Page 12 Shahbaz returns home with big hopes
See on Page 12
Cameron faces defeat on EU bill
See on Page 12
See Analysis on Page 4 Economic Indicators $16.42bn Forex Reserves (27-Dec-10) 14.44% Inflation CPI% (Jul 10-Nov 10) $8.88bn Exports (Jul 10-Nov 10) $15.37bn Imports (Jul 10-Nov 10) Trade Balance (Jul 10-Nov 10) $(6.49)bn Current A/C (Jul 10- Nov 10) $(504)mn $4.43bn Remittances (Jul 10-Nov 10) Foreign Invest (Jul 10-Nov 10) $746mn Rs 495bn Revenue (Jul 10-Nov 10) $58.41bn Foreign Debt (Sep 10) Rs 5296.7bn Domestic Debt (Nov 10) Repatriated Profit (Jul- Nov 10) $287.9mn -2.81% LSM Growth (Oct 10) 4.10% GDP Growth FY10E $1,051 Per Capita Income FY10 171.45mn Population
Portfolio Investment SCRA(U.S $ in million)
Govt loses majority in NA; PM maybe asked for fresh vote of confidence
MQM opts for Opposition l Now the ball is in PML-N court, say analysts l Altaf Hussain telephones political leaders l MQM terms POL price hike back-breaking for masses; says landlords should be taxed Staff Reporter/ Agencies
NCCPL (U.S $ in million) FIPI (31-Dec-2010)
4.67
Local Companies (31-Dec-2010)
7.67
Banks / DFI (31-Dec-2010)
-4.36
Mutual Funds (31-Dec-2010)
-1.58
NBFC (31-Dec-2010)
-1.49
Local Investors (31-Dec-2010)
0.50
Other Organization (31-Dec-2010)
-5.40
Global Indices Index
Close
Change
KSE 100
12,022.46
9.00
Nikkei 225
10,228.92
115.62
Hang Seng
23,035.45
36.11
Sensex 30
20,509.09
120.02
SSE COMP.
2,808.08
48.50
FTSE 100
5,899.94
71.07
Dow Jones
11,577.51
7.80
GDR update $.Price PKR/Shares
Symbols
111.31
MCB (1 GDR= 2 Shares) 2.60 OGDC (1 GDR= 10 Shares) 23.51
201.29
UBL (1 GDR= 4 Shares) 2.00 LUCK (1 GDR= 4 Shares) 1.70
42.81
HUBC (1 GDR= 25 Shares) 10.85
37.16
36.39
Money Market Update T-Bills (3 Mths) 29-Dec-2010
13.20%
T-Bills (6 Mths) 29-Dec-2010
13.41%
T-Bills (12 Mths) 29-Dec-2010
13.73%
Discount Rate
29-Nov-2010
14.00%
Kibor (1 Mth)
31-Dec-2010
13.37%
Kibor (3 Mths)
31-Dec-2010
13.46%
Kibor (6 Mths)
31-Dec-2010
13.62%
Kibor ( 9 Mths)
31-Dec-2010
13.98%
Kibor (1Yr)
31-Dec-2010
14.12%
P.I.B ( 3 Yrs)
31-Dec-2010
14.16%
P.I.B (5 Yrs)
31-Dec-2010
14.22%
P.I.B (10 Yrs)
31-Dec-2010
14.26%
P.I.B (15 Yrs)
31-Dec-2010
14.53%
P.I.B (20 Yrs)
31-Dec-2010
14.73%
P.I.B (30 Yrs)
31-Dec-2010
14.88%
Commodities Crude Oil (brent)$/bbl Crude Oil (WTI)$/bbl
94.75 91.38
Cotton $/lb
144.81
Gold $/ozs
1,421.40
Silver $/ozs
30.94
Malaysian Palm $ GOLD (NCEL) PKR KHI Cotton 40Kg PKR
1,227 38,873 9,645
Open Mkt Currency Rates Symbols
Buy (Rs)
Sell (Rs)
Australian $
84.80
85.30
Canadian $
84.80
85.50
Danish Krone 15.00
15.10
Euro
112.00
112.20
Hong Kong $ 10.60
10.70
Japanese Yen 1.038
1.065
Saudi Riyal
22.75
22.95
Singapore $
64.50
64.70
Swedish Korona 12.00 Swiss Franc
12.70
86.90
87.10
U.A.E Dirham 23.10
23.20
UK Pound
132.15
132.35
US $
85.60
85.80
Inter-Bank Currency Rates Symbols
Buying TT Clean Australian $ 87.13 Canadian $ 85.69 Danish Krone 15.28 Euro 113.93 Hong Kong $ 11.02 Japanese Yen 1.052 Saudi Riyal 22.86 Singapore $ 66.60 Swedish Korona 12.68 Swiss Franc 91.35 U.A.E Dirham 23.33 UK Pound 132.34 US $ 85.62
Selling TT & OD 87.33 85.89 15.32 114.19 11.05 1.054 22.91 66.75 12.71 91.56 23.39 132.65 85.80
Weather Forecast CITIES MAX-TEMP ISLAMABAD 17°C KARACHI 28°C LAHORE 13°C FAISALABAD 16°C QUETTA 16°C RAWALPINDI 17°C
Rulers
Opposition
PPP 127 ANP 13 PML-F 5 NPP 11 BNP/FATA 1/1 Total 158
PML-N PML-Q MQM JUI PPP-S Total
simultaneously in Karachi and London. Haider Abbas Rizvi informed that media the MQM today (Monday) would formally submitted request to the Speaker National Assembly and Chairman Senate to allocate
Opposition benches to MQM. Talking to the media, MQM leader Faisal Sabzwari said the meeting of MQM's Coordination Committee, taking serious exception, among other things, to the massive hike in prices of petroleum products
KARACHI: A sever blow was
195.39 Yearly(Jul, 2010-31-Dec-2010) dealt to PPP-coalition governMonthly(Dec, 2010-31-Dec-2010) 32.67 ment on Sunday when 2.15 Daily (31-Dec-2010) Muttahida Qaumi Movement -2878 Total Portfolio Inv (24 Dec-2010)
MIN 1°C 7°C 1°C 5°C -10°C 3°C
Subscribe now Tel: 92-21-5311893-6 Fax: 92-21-5388428 Email: editor@ thefinancialdaily.com
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largest coalition partner -announced to carve itself out of alliance citing several reasons, adding government never gave an ear to MQM's advices, henceforth Prime Minister Syed Yousuf Raza Gilani has lost his mandate in the House as government left with 158 members on its side, while Opposition numbers fattens to 174. It is likely that today (Monday) Prime Minister may be asked to take a fresh vote of confidence, where political ana-
lysts say that it would be a tall task for PM Gilani to prove his majority. According to the press briefing of MQM leaders, the decision to sit in the Opposition was taken by MQM's Coordination Committee's meeting held
KSE during CY10: foreigners hold 32pc of free float
Foreign portfolio up at $2.9bn Offshorers invest $522 million Ahmed Siddique KARACHI: Total Investment value of foreign portfolio significantly hiked by 53.2 per cent or $1.02 billion to $2.93 billion at the end of year 2010 against $1.92 billion witnessed on year-end 2009. Rise in portfolio investment in CY10 driven by fresh investment of $522 million and value of equity appreciation of around $490 million. In terms of rupee, special convertible rupee account (SCRA) showed closing market value of shares and securities at Rs 252 billion against Rs161 billion observed on same period last year, thus reflecting 56.4 per
cent jump in portfolio value during the period. As per "The Financial Daily" analyst, foreign investors own $2.93 billion which is 32 per cent of the free float market capitalization on above date. The main reasons for surge in foreign holding value were significant hike in equity market as it surged by 28.1 per cent or 2,636 points to close at 12,022level at the end of December 31, 2010 comparing with the index stood at 9,387 points at the end of the year 2009. On the other hand in CY10, foreign investors cumulatively bought shares worth $1.20 billion and sold $682 million, resulting in net buying of $522
million during the outgoing year. Interestingly, none of the local categories invested on net basis in equity market during the period, as biggest yearly selling were witnessed from Companies which sold $4.69 billion worth of shares in the local bourse against buying of $4.52 billion, thus turning the net selling worth of $165 million. Furthermore, mutual funds, banks local individuals, NBFC and other organizations remained on the selling side with shares worth $130 million, $95 million, $77 million, $45 million and $10 million respectively.
Kaira says various power plants in pipeline
'Power crisis breathing last' LALAMUSA: Federal Minister for Information and Broadcasting Qamar Zaman Kaira has said that work on various power generation projects, including Thar coal project has been started. Talking to the media after attending a ceremony here n Sunday, he said after the completion of these projects, the country would not only be able to generate electricity for its own use but would also be able to export the extra power. He said the previous government did not give priority to power generation which increased the gap between electricity demand and generation
capacity over the years. To a question, Kaira said the work of exploration for natural gas, in particular digging new wells, is in progress to ensure uninterrupted gas supply. He was hopeful that the situation would soon improve. However, he said the use of gas has immensely increased as compared to past years. The minister said that more than 25 per cent vehicles are now using gas as fuel and CNG stations are functioning in all parts of the country. "Unfortunately, gas generation could not be increased in the past", he regretted. He said that people who had
been in the government during the last 11 years have no right to criticize the present government on this issue. The minister said the PPP-led government is paying full attention to resolve the core issues of the people, adding they (government) are not doing street politics. He said the NFC Award, the passage of 18th and 19th amendments by Parliament unanimously are big achievements and gifts of the PPP-led government to the nation. Kaira said the government has categorically stated that no amendment would be made to blasphemy laws but some See # 10 Page 11
91 49 25 8 1 174
PML-N eyes premiership LAHORE: Pakistan Muslim League-Nawaz (PML-N) General Secretary and member National Assembly Ahsan Iqbal said Sunday that national will soon seen PML-N chief Mian Nawaz Sharif in the Parliament. Talking to a private TV chan-
Nation to see Sharif soon in House: Iqbal nel, Ahsan Iqbal said that in the current scenario PML-N surely not in the position to formulate government on its own but after making alliances with other political parties it was quite possible, added in that situation PML-N leader Mian Nawaz Sharif would surely be the prime candidate for the premiership. Responding the MQM's decision to sit in the Opposition, PML-N Secretary General said See # 8 Page 11
Iran claims shot down spy planes in Gulf TEHRAN: Iran has shot down two unmanned western reconnaissance drone aircraft in the Gulf, a senior Revolutionary Guards commandertold the semiofficial Fars news agency on Sunday. "Many spy planes and advanced planes of our enemies have been shot down (by our forces) ... We have also shot down two spy planes in the Persian Gulf," said commander Amir Ali Hajizadeh. "But it is the first time we are announcing it." See # 9 Page 11
by the government at the outset of new-year, finally decided to move from government to opposition benches. Sabzwari regretted that despite repeated calls made by his party, the government failed to take any practical steps
towards redressal of MQM's grievances. "This forced Muttahida Qaumi Movement to take the extreme step of sitting on the opposition benches both in the National Assembly and the Senate," he added. Faisal Sabzwari said now MQM is weighing all the options including parting ways with government in Sindh government. He said MQM would oppose all the anti-people decisions of the government. Reiterating MQM's stance on imposition of taxes, he said the government should tax the income from agriculture and the landlords. "The government should tax See # 7 Page 11
Govt can't afford subsidies on POL products
Gilani positive over govt's fate Special Correspondent LAHORE: Prime Minister Syed Yousuf Raza Gilani looks determined and confident over despite latest political move, as on Sunday he said that government is not going anywhere. He was talking to the newsmen here in Lahore after meeting with former JI Ameer Qazi Hussain Ahmed. Prime Minister Gilani said that MQM’s departure makes no difference to the government and says that he doesn't see any crisis or the government's collapse. Gilani asserted that government would continue to function with or without any coalition partner. He was optimistic that PML-N Chief Nawaz Sharif is in favor of democratic process
and would not let it derail. To a question on the recent increase in the prices of petroleum products, Gilani said that government could not afford to grant any more subsidies on petroleum products, added that prices of the petroleum products was determined by an independent authority, that adjust the local fuel prices keeping its international prices in fore. Prime Minister Gilani replying to another question said that PPP government doest not believe in horsetrading. Gilani said that government has no intention to bring amendments in the blasphemy law, while Sherry Rehman has submitted the motion in her personal capacity, added that govenment can’t even think of doing so.
Sindh employees health policy ends KARACHI: Sindh Chief Minister Syed Qaim Ali Shah has approved on Sunday the abolishing of the health insurance policy of the government employees. Earlier, Sindh's special secretary finance mailed a summary, regarding the closure of the health insurance policy of the government servants, for
approval of the Chief Minister. The closure of the health insurance policy will affect more than six thousand employees of the Sindh Government. Sindh Secretariat's workers have announced that on Monday (today) they would protest against the abolishing of the health insurance policy. Agencies
2
Monday, January 3, 2011
Govt fail to formulate alternate energy policy yet: PEW
Call for alternate energy ministry ISLAMABAD: The Pakistan Economy Watch (PEW) on Sunday proposed a ministry for development of alternate energy in Pakistan. Alternative Energy Development Board (AEDB), staffed with around 100 people and a budget of mere Rs61.6 million leaves much to be desired, it said. Inefficient state-run corporations are wasting up to Rs500 billion annually while billions are spent due to political consideration but development of alternate energy has remained a lowest priority, said Dr Murtaza Mughal, President PEW. We have yet to have an Alternate Energy Policy,
he added. Thirty-seven per cent Pakistanis have no grid connectivity while only 20 per cent have access to natural gas. Alternate energy is the only hope for around 15000 villages in that cannot be connected to the power system in the next two decades, he said. He said that weak and understaffed AEDB is dependent on the decisions of many bureaucrats that cannot think beyond fossil fuels -coal, petroleum, and natural gas that are finite resources. Dr Murtaza Mughal said that surrounded by politics, bureaucracy, red-tape, political
appointments and influential oil and gas lobbies, the AEDB has become a symbolic institution despite efforts of few individuals who wants to make it a useful entity. Therefore, he said, Pakistan needs a ministry for development of renewable energy to make proper use of its vast usable energy resources. It would improve our energy mix, reduce dependence on oil, save country from oil shocks and reduce environmental degradation, he said. Oil import bill is projected to increase threefold in a decade leaving government with no
funds to spend on social sector uplift, he warned. Fossil-fuelled power plants and vehicles emit pollutants like sulphur dioxide, particulate matter, nitrogen oxides, carbon monoxide, toxic chemicals, heavy metals like mercury, chromium, and arsenic which can result in heart disease, asthma, and other health problems, he said. It is responsible for acidification of water resources, damage to aquatic life, leaf damage, and the production of smog. It releases carbon dioxide which is one of the main greenhouse gases causing global warming, said Dr Mughal. -PPI
1080 HIVcases detected in 2010
ATTOCK: A View of thick fog causing low visiblity that engulfs the whole city.-APP
Flights resume at Lhr airport TV PROGRAMMES MONDAY Time Programmes 7:00 News 8:00 News 9:05 Subah Savere Maya ke Sath 11:10 The Reema Show (Rpt) 12:00 News 13:10 Faisla Aap Ka (Rpt) 14:10 Tafteesh (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 Tonight With Jasmeen 23:00 News 23:30 24
MONDAY Time 8:00
Programmes Amnay Samnay (Rpt) 9:00 News 9:15 Pehla Sauda 10:00 News 10:15 Bazaar 11:00 News 11:05 Ghar Ka Kharch 12:00 News 12:15 Power Lunch 13:00 News 13:05 Agenda 360 (Sat Rpt) 14:00 News 15:02 Akhri Sauda 15:30 Munafa Khor Hoshiyar (Rpt) 16:15 Karobari Dunya 17:05 Ghar Ka Kharch (Rpt) 18:05 Chai Time 19:00 News 19:30 Mang Raha Hai Pakistan 20:00 News 20:05 Islamabad Say 21:00 Pakistan Aaj Raat 22:00 News 22:05 Doosra Pehlu 23:00 News 23:05 Agenda 360 (Sun Rpt) 0:00 News
LAHORE: Fight operations at the Allama Iqbal International Airport Lahore began on Sunday morning after dense fog receded. The operation came to halt on Saturday evening after heavy fog engulfed the most parts of the Punjab. The flight operations at Allama Iqbal International Airport were suspended till 9am, Sunday. The fog continued to engulf the province for the last many days causing accidents and nuisances. The motorway has been closed several times for
all kinds of traffic to avoid any mishap. Meanwhile, a PIA flight, which was scheduled to leave for Saudi capital of Riyadh on Sunday morning, was suspended due to bad weather condition. Dozens of passengers stranded at the Peshawar airport said that their visas would be expired if they failed to enter the Saudi kingdom Monday. The passengers appealed to PIA authorities to make emergency arrangements for their departure. -Agencies
BQATI criticises POL price raise KARACHI: The trade and industry termed increase in petroleum products prices unjustified and said that it will ruin the economy. Bin Qasim Association of Trade & Industry (BQATI) Patron-in-Chief / Founder President, Mian Muhammad Ahmed and Founder Vice President, Usman Ahmed said that the government has once again taken a cruel act by increasing POL prices. The government's move is just like stabbing in the back of the economy, they said. "At a time when oil prices had gone to the
world's highest at $147 per barrel, the domestic POL prices did not cross the level of Rs60 per litre and now when oil prices are hovering around $80 per barrel, the government has brought the prices to over Rs80 per litre, which is sheer injustice to the nation and the economy," Mian Ahmed said. It clearly shows that the POL price increase in Pakistan has no relation with the international oil prices, especially when the country produces around 20 tons, or 25 percent, oil indigenously, Mian Ahmed said. -PPI
KARACHI: Sindh Provincial Minister Shazia Marri looking the new design of furniture during an exhibition of furniture at a local Art Gallery on Sunday.Online
KARACHI: Though the last year 2010 has gifted us many good things along with other bad things but the very sad news which 2010 has given us is regarding the HIV/Aids patients as in 2010 year, 1080 cases has been detected all over the province, which are more than 2009 registered cases, PPI learnt here on Sunday. According to the yearly figures of Sindh Aids Control Programme (SACP), 879 male, 150 female and 51 children are among the total detected 1080 patients of HIV/Aids in 2010 in the province. It is matter of great concern that the ratio of HIV/Aids patients of 2010 is more than the 2009 because 688 cases had been detected in 2009 throughout the province. According to the official figures, 392 more cases of HIV/Aids have been detected in 2010 in comparison with 2009. In 2010, 51 children have been detected as HIV/Aids patients but in 2009 there were only 6 children which were registered as the patients of HIV/Aids, while, 658 male, 24 female among the total patients in 2009. When contacted Programme Manager SACP Dr Nafis Sohail told PPI that we have not compiled the report yet but according to exact figures, 1080 cases has been detected from all over the province in 2010. To a question regarding the increase in HIV/Aids patients, she said that this is the figure regarding the registered patients but there are thousands of patients of HIV/Aids in the province according to rough estimate. She said that we are trying to create friendly environment for the patients as they can come to our centers and take proper treatment which will give benefit to the patients and other his/her relatives and friends as well. She said that despite lack of funds, SACP is doing its job very well. She said that Aids is very dangerous disease so the government should take effective steps to protect our innocent people from it. It is also pertinent to mention here that Sindh AIDS Control Programme is facing worsening situation regarding the funds for the "rehabilitation" of the HIV/AIDS registered patients because after the end of the World Bank's loan/grant, the Sindh government has released only Rs11 million for the salaries of more than 45 staff and logistics. -PPI
DERAGHAZIKHAN: Federal Minister and Chairperson of Benzir income Support Programme (BISP) Farzana Raja distributing Cheques of 0.1 among the deserving people during a public gathering in G D Khan on Sunday.-Online
Internships plan fails to meet ends ISLAMABAD: A large number of post graduate students in the country are unable to get the desired experience under the National Internship Program, because of their irrelevant placement in the public sector departments. The President of Islamabad Chamber of Commerce & Industry, Mahfooz Elahi said that the National Internship Program has failed to achieve its objective in providing right experience to the talented youth according to their education. He said that this year
Rs3.6 billion has been allocated for National Internship Program for providing internships to around 30,000 students of HEC recognized universities but a large portion of this amount will be wasted again. As per policy, students are inducted for internship in the public sector only and majority of them are placed in those departments which are totally irrelevant to their education, Elahi said. Before starting jobs, students are required to undergo internships to get the practical experience
and knowledge relevant to their studies but under the National Internship Program, they are unable to get desired experience. President ICCI said that government should revisit its policy and internship must also be offered in the Private sector, where students can have better opportunities of getting good experience in the private sector environment. This change in policy can also help students to move towards entrepreneurial activities, instead of utilizing their energies in unproductive public sector jobs.
Law & order No. 1 priority: Sharmila KARACHI: Advisor to Sindh Chief Minister for Information and Archives Sharmila Farooqui has said that maintaining law and order in Sindh is the first priority of the government as it believes in taking actions against criminals without any discrimination. She said this while talking to media on the occasion of an exhibition at Clifton last evening.
Sharmila said that economic development is linked to peace while Rangers have been provided special powers to maintain peace in Karachi and other parts of Sindh, while police has been equipped with modern weapons. The advisor said the present government under the dynamic leadership of President Asif Ali Zardari wanted to
bring economic revolution and boost confidence of people in democracy. She said that the criminals could be controlled only with the cooperation of people. "We all will have to strive for the peace in the country while the present government is paying attention towards rehabilitation of flood affected people," she said. -PPI
LAHORE: Spectaors watching final polo match played between Master Paint & Diamond Paint teams during Royal Dil Polo Cup at Polo Club.-APP
6 suspects held in Khi KARACHI: At least six suspected terrorists were held by the Police on Sunday arrested more than a half a dozen suspected terrorists in Karachi, police said. The police said that acting on intelligence reports, raids were conducted in different areas of Karachi which led to arrest of over half a dozen suspected terrorists. Those arrested were reported to have links and banned outfits and other groups involved in criminal activities, police told. The Sunday's raids were part of recent drive by Sindh home department to nab those involved in targeted killing in provincial metropolis. -Agencies
IHC CJ takes oath today ISLAMABAD: Newly appointed Chief Justice of Islamabad High Court (IHC) Iqbal Hameed-urRehman will take oath of his office on January 3 (today) from President Asif Ali Zardari. According to media reports, President Zardari will take oath from him in Governor House Sindh on Monday (today). While the oath taking ceremony of Justice Muhammad Anwar Khan Kasi and Justice Riaz Ahmad Khan will be held on January 4 in Islamabad High Court. Chief Justice Iqbal Hameed-ur Rehman will take oath from both judges. After the oath taking ceremony of the CJ and two judges of Islamabad High Court, the Court will start its functioning on regular basis.
KESC pressed to shed light on public issues Staff Reporter KARACHI: Siraj Kassam Teli, Chairman BMG and former president, in the second sub-committee meeting for Public Sector, Utilities, Power and Gas has asked KESC to look into the problems of the masses and provide solutions. Giving the reference of slow meters on which KESC charge on average, the high billing arising because of it has created huge uproar among consumers. Teli suggested Tabish Gohar that changing meters
in one-go is not a gigantic task for KESC but the replacement would resolve the issue and cries of all. Tabish Gohar, CEO KESC who attended the sub-committee meeting as Chief Guest, informed that 250,000 meters are not performing well and one meter cost Rs10,000. On the claim made by KESC that customers are doing unlawful things, Teli made clear the fact that all customers are not involved in alleged malpractices and it is very insensible to blame all users. He added that KCCI is
the Forum to speak up and we highlight issues in clear cut way. If KESC make unlawful attempt we will definitely come up and raise voice. Siraj Teli formed a special committee to be chaired by Junaid Esmail Makda and suggested the business community to come up and share their grievances, KCCI would investigate their issues and get it resolved with KESC inputs. KESC agreed for formation of special committee during the meeting. Teli added that in other coun-
tries, people even didn't know the names of the CEO and head of electricity or gas companies but here we have to keep tract in order to resolve issues, people are not concerned that whether the company is privatised or not, the point in question is what service the consumer get after using highly expensive electricity when problems stood unresolved. Tabish Gohar, CEO KESC shared his company plans and blamed on shortage of fuel and gas which affected the cost of electricity.
3 Monday, January 3, 2010
US dollar weekly outlook
Greenback up in year gone; gains seen on recovery hopes Euro posts worst year since 2005 on debt fears NEW YORK: The US dollar ended a volatile year on Friday a bit firmer than where it began with investors gearing up for gains in early 2011 on expectations the US economic recovery was gaining momentum. The euro, which had its worst year against the dollar since 2005, is likely to stay under pressure as the market focuses on Portugal, Spain and other euro-zone countries struggling to address debt and banking problems. The United States will release December employment data next Friday. Economists polled by Reuters expect to see a private sector jobs gain of 140,000 and a decline in the jobless rate to 9.7 per cent. Expectations of above-forecast jobs growth have grown after data last week showed the four-week average of new jobless claims -- a measure of underlying labor market trends -- fell to its lowest level since July 2008. "The numbers coming out of the United States over the last two months have been on the stronger side and that is probably going to continue this week," said Paresh Upadhyaya, head of Americas G10 FX Strategy at BofA Merrill Lynch Global Research in New York. "That will continue to put upward pressure on yields and therefore the dollar will remain on the stronger side" against the euro, yen and sterling, he said. Higher US yields in 2011 and Japan's increased reliance on debt will boost the dollar - particularly against the yen - said Boris Schlossberg, research director at GFT in New York. The yen neared 80 per dollar
earlier this year, just shy of a post-World War Two high of 79.75 set in 1995, as longterm US interest rates fell and markets feared a sluggish US recovery was running out of steam. A key risk for the dollar this week, strategists at BNP Paribas said, could come from Federal Reserve Chairman Ben Bernanke's testimony to the Senate budget panel on Friday. "The greater risk is that he reinforces (the Fed's) commitment to keep rates low and any hint that further quantitative easing beyond the $600 billion may be an option will see the US dollar weaker," they wrote to clients. For the year, the dollar was up 1.5 per cent against a basket of six currencies, but it fell about 13 per cent against the yen. The Australian dollar, which hit a 28-year high of $1.0257 on Friday and was up 14 per cent against the greenback this year, may extend gains if global growth remains firm and commodity prices high. But a slowdown in China is a risk, and some analysts said the Aussie's 2010 gains may make it ripe for a correction this year. The euro finished the year down 6.7 per cent against the dollar, its biggest annual slide since 2005, hurt by a debt crisis that engulfed Greece and Ireland, rattled Portugal and Spain and even sowed doubts about the euro's future. But the euro recouped some losses in December and climbed above $1.34 on Friday, extending a recovery from a 2010 low beneath $1.19 -- its worst showing since early 2006. Traders tied much of the euro's rebound in December
to thin volume and year-end positioning, with investors taking profits on extended bets against the currency that have built up over recent months as fears of a euro-zone debt crisis grew. The euro may remain under pressure early in 2011 as an estimated 150 billion to 200 billion euros in euro-zone sovereign bonds come to market, and some investors worry demand may be weak. "Everybody it seems is anticipating a very rocky road for the euro-zone over the next three months," said Gareth Berry, G10 FX strategist for UBS in Singapore. FRANC TO COME BACK TO EARTH? The dollar set a record low of 0.9301 Swiss franc on Friday. The euro/franc pair hit a record low on Thursday at 1.2398 francs and lost 16 per cent this year. Concerns about the eurozone debt crisis and more muted worries about Washington's finances have enhanced the safe-haven allure of the Swiss currency. Despite signs of stronger US growth, the Federal Reserve has given no indication that it plans to curtail a $600 billion bond-buying program it started last month. Analysts also fear an Obama administration deal to extend US tax cuts could swell the budget deficit. While Schlossberg extolled Switzerland's fiscal health and called the franc "arguably the only sound money left" among major currencies, he said recent gains were excessive. "It's just not sustainable that a country of 7 million can absorb the capital flows they've been absorbing," he said. -Reuters
Sterling logs sharp losses for 2010 LONDON: The pound weakened against all but two of its 16 most- traded peers as investors bet the government's planned austerity measures would curb growth, while speculation the central bank would resume buying bonds to help the growth also undermined the currency. The pound jumped 1.5 per cent to $1.5652 on Friday, leaving it little changed in December and paring its decline for the year against the greenback to 3.1 per cent. Against the euro, the pound was at 85.77 pence, 3.3 per cent stronger in the year as the sovereign-debt crisis in countries including Ireland, Portugal and Greece underpinned sterling. The UK currency strengthened 0.8 per cent against the yen to 126.81 per pound, trimming losses to 2.6 per cent in December, its biggest monthly decline since August. It fell to 125.51 yen on Dec. 30, its weakest since February 2009. Sterling has depreciated 19 per cent versus the Japanese currency in 2010. Sterling was the worst performer in 2010 after the euro among 10 developed nations currencies measured by Bloomberg Correlation-Weighted Currency Indexes. It slid 7.2 per cent compared with a more than 10 per cent drop in the shared currency. The yen outperformed all with a 12 per cent increase, followed by the Australian dollar, which rose almost 12 per cent. "The UK is still suffering from anemic growth, doesn't have a safe-haven status, and is exposed to the problem in the euro-zone," said Geoffrey Yu, a currency strategist at UBS AG in London. "We need to see where the Bank of England is headed in terms of policy in 2011. An increase in interest rates will benefit the pound from a yield perspective." The pound will climb to $1.60 by the end of June and strengthen to 83 pence per euro, according to median analyst forecasts compiled. -Agencies
Wheat, soy Sugar nails 19pc gains Copper caps log biggest for yr; arabica soars 77pc ‘10 with run of records YORK/LONDON: US pinned by a shortage of high-qualyearly gains NEW sugar futures finished their most ity Colombian arabica beans and LONDON/NEW YORK: year in three decades at a fund interest. since 2007 volatile ICE spot-month arabicas closed Copper concluded 2010 with a near 30-year high on Friday, while CHICAGO: US grain markets rose as the dollar fell on Friday, closing out the year with corn and soybeans near their highest prices since mid-2008 after severe global weather and unexpected Chinese demand fueled renewed investor demand. Corn futures, up 2.1 per cent on Friday after hitting a new 29-month high, led the sector this year with a 51.7 per cent gain as burgeoning ethanol demand, strong exports and disappointing crop yields in the United States drained global stocks. South American weather concerns extended the rally this month. Wheat prices rallied 46.7 per cent in 2010, their best yearly gain since 2007. Prices surged this summer after a drought in Russia and the Black Sea region decimated the crop there and shut off exports; recent wet weather in Australia has heightened fears over supplies of high-quality wheat. See # 1 Page 11
coffee clocked its biggest rise since 1994 in a fund-fueled rally. Cocoa broke a four-year rising streak with a 7.7 per cent decline, despite political upheaval in top producer Ivory Coast. While fund investors abandoned sugar in the first half, they flocked to coffee in the second, driving prices to a succession of 13-1/2 year highs notching it up 77 per cent year-against-year and making it the third-best performer in the CRB. On Friday, ICE March raw sugar futures surged 1.74 cents, or by 5.7 per cent, to settle at 32.12 cents per lb, just below Wednesday's 30-year peak of 34.77 cents. It rose 19.2 per cent from the 2009 settlement of 26.95 cents. London front-month white sugar futures ended 2010 up 9.5 per cent year-on-year at $777.50 per tonne, compared with a close of $710.20 per tonne on Dec. 31, 2009. ICE spot-contract arabicas finished 2010 up with their biggest annual rise in 16 years, under-
the day up 4.20 cents at $2.4050 per lb, near last week's 13-1/2 year top at $2.4225. This settlement was up 77 per cent from the final trading day of 2009 when the spot contract settled at $1.3595 per lb. London second-month robusta coffee futures ended 2010 up 57 per cent year-on-year at $2,097 per tonne on Friday, compared with a close of $1,332 per tonne on Dec. 31, 2009. ICE cocoa futures rose on Friday, underpinned by concerns that a power struggle after an election in top producer top grower Ivory Coast could disrupt supplies to the international market, although market reaction was subdued as cocoa continued to be transported, dealers said. London second-month cocoa futures ended 2010 down 11 per cent year-on-year at 2,029 pounds per tonne on Friday, compared with a close of 2,271 pounds on Dec, 31, 2009. ICE spot-month cocoa finished 2010 down 7.7 per cent year-onyear, the first yearly decline since 2005.-Reuters
Stronger US cotton, adds 91.5pc last year NEW YORK: US cotton futures settled an historic year 91.50 per cent higher, with Friday's 1.38 per cent rise contributing to their overall advance, as strong demand from top consumer China and investment funds nearly doubled prices. The key March cotton contract on ICE Futures US added 1.97 cents to close at $1.4481 per lb, and set a higher range that ran from $1.4353 to $1.4684 a lb. Volume, however, was exceptionally light at 5,421 lots. The cotton market came in as the second best performing commodity in the Reuters-Jefferies commodity index, up over 80
per cent in 2010 and just a shade behind silver. While cotton was off its peak of close to $1.60 a lb set on Dec. 21, the outlook for 2011 remained bullish. Inventories were tight, China's consumption remains hot, and investment buyers viewed the fiber futures as undervalued. Historians said the $1.60 high set last seen at the height of the US Civil War in the 1860s, when the Confederacy hoped to use its monopoly on cotton to win recognition from European powers. "We started seeing mill fixations below $1.40. That gave cotton a base. Then, in the news,
Australia reported that 1 per cent of their acres got flooded. And the ministry of agriculture in China came out with crop estimates of 28.5 million bales with USDA showing it at 30 million bales," said Mike Stevens, an independent cotton analyst in Mandeville, Louisiana. "Those were not big market movers, but they reinforced the positive tone on an extremely light trading day," he added. Despite cotton's lofty levels, analysts said underlying fundamental support from strong demand coupled with specific supply issues is likely to continue boosting prices in 2011. Reuters
run of record highs, rising 2 per cent on Friday as undimmed demand from China and the prospect of fresh fund investment had analysts pointing to further gains next year. After a year of divergence for the base metals complex, with tin leading gains at 59 per cent and zinc dipping 5 per cent, copper is widely expected to build on its nearly uninterrupted rally in the second half of 2010 as ore grades decline, new mines remain scarce and top buyer China grows. Prices have zipped to record highs in each of the past three days, undettered by Beijing's Christmas rate hike or the biggest rise in London Metal Exchange stocks since February. Instead, traders have focused on the steep premium for prompt copper as a signal of tight supplies, and are betting on a handful of new exchangetraded funds to open the door for new investors who had shied away from futures. In its December forecast, Goldman Sachs said it expected prices to hit $11,000 this time next year. Benchmark copper on the London Metal Exchange ended ring trading bid at $9,960 a tonne, securing a 31 per cent gain from $7,375 a tonne at the close on Dec. 31, 2009. It earlier reached a record of $9,687 on Friday, its third peak in a row. US copper futures on the COMEX gained 33 per cent this year after a 1.9 per cent rise to $4.4470 per lb, having logged its latest record high of $4.4520. A sharp drop in the US dollar aided gains on Friday amid trade volume that was about one-third the norm at 12,000 lots. After a trendless first half of the year, copper prices climbed about 55 per cent rise in the second half of the year. See # 2 Page 11
Asian currencies
Mostly gain in outgoing year on capital flows SINGAPORE: Asian currencies completed their biggest gain since 2006 as the region's world-leading economic growth and widening interest-rate premiums attracted capital from overseas. "The combination of strong growth and rising interest rates are attracting capital inflows into the region," said David Cohen, an economist at Action Economics Ltd. in Singapore. "Asian currencies have very strong fundamentals and as China continues its appreciation of the yuan next year, the others will follow." Malaysia's ringgit led gains in Asia last year, advancing 11.8 per cent to 3.0635 per dollar in Kuala Lumpur, its best year since 1973. The nation's central bank raised interest rates three times to 2.75 per cent to stem inflation amid an influx of overseas capital. Thailand's baht climbed 11 per cent last year, the second- best performance in Asia excluding the yen. The finance ministry last
week raised its forecast for 2010 economic growth to 7.8 per cent from 7.5 per cent, citing an increase in exports. The currency strengthened 0.6 per cent on Friday to 29.98 per dollar in Bangkok. Elsewhere, Singapore's dollar rose 9.3 per cent last year to S$1.2823, the Philippine peso appreciated 5.7 per cent to 43.62 and Taiwan's dollar gained 5.2 per cent in 2010 to NT$30.368. Singapore's dollar had its best annual performance since 1994 after the central bank last year unexpectedly sought a stronger currency to curb inflation. It reached S$1.2817 on Nov. 4, its highest level since at least 1981. A report on Jan. 3 may show the economy expanded 13.2 per cent in the fourth quarter of 2010 from a year earlier, according to the median estimate of economists surveyed. Taiwan's central bank on Dec. 30 unveiled additional measures
to counter capital inflows as it raised borrowing costs for the third time last year. It lifted the reserve requirement on some local-currency deposits by foreigners to as much as 90 per cent. Policy makers raised the policy rate to 1.625 per cent from 1.5 per cent, compared with near zero rates in the US and 1 per cent in the euro area. Taiwan's dollar fell 0.5 per cent on Friday, after being 2.4 per cent higher a minute before trading ended, on suspected intervention by the central bank, according to traders who declined to be identified. Indonesia's rupiah gained 4.6 per cent to 8,978 and the Indian rupee appreciated 4.1 per cent to 44.71. China's yuan strengthened beyond 6.6 per dollar for the first time in 17 years bringing gains for 2010 to 3.6 per cent on speculation China will seek appreciation to tame inflation. The currency climbed 0.6 per cent from a week ago to 6.5897. -Agencies
C$ hits 2 1/2-yr top in last year’s concluding session TORONTO: Canada's dollar hit its highest in more than 30 months on Friday, boosted by rallying commodities, to close out the year above parity with the US currency on scant New Year's Eve trading volumes. The Canadian dollar reached as high as C$0.9925 to the US dollar, or $1.0076, a peak last touched in May 2008, after briefly poking through a technical support level. Analysts noted the move to break C$0.9931 to the US dollar came under very thin trading conditions on the last day of a year that included the Bank of Canada's first rate hikes following the financial crisis, eurozone debt troubles, rising commodity prices, and the US Federal Reserve's stimulus
plans. The gains were also made as the US dollar fell broadly as investors closed their books on 2010. The Canadian dollar's strength also coincided with a reversal in the price of oil, which surged back above $91 a barrel as the weaker US dollar and technical support stopped a bout of year-end profit taking. "Canada is kind of in the middle of the pack ... but you're getting that sense that, after a long year and some very shallow trading, there's this sentiment of a weaker US dollar heading into year-end," said David Tulk, senior macro strategist at TD Securities. The Canadian dollar finished
at C$0.9946 to the US dollar, or $1.0054, up from Thursday's close at par, which was the loonie's first finish at the onefor-one level since Nov. 10. "The market does appear to have some optimism built into it, just like yesterday. We've seen a bit of a breakout in terms of the dollar/Canada range that has dominated in the last few sessions ... but it's thin and it's the year-end," said Jack Spitz, managing director of foreign exchange at National Bank Financial. Slim trading volumes ahead of the New Year's holiday brought choppy conditions for the Canadian dollar but, overall, the currency will hover around parity into 2011, analysts say.-Reuters
Oil scales 26-mth high to end 2010 up by 15pc Gains expected to continue in 2011 with demand growth HOUSTON/NEW YORK: Oil prices hit a 26-month high over $92 a barrel on Friday, closing the year up 15 per cent on expectations that the economic recovery will drive demand growth next year and send prices into triple digits. Strong growth from Asia, especially China, and a rebound in demand from recovering economies elsewhere fueled a four-month rally that knocked crude over the $70-$80 range it held for much of the year. US crude oil futures surged to a 2010 high on Friday, settling up $1.54 a barrel at $91.38 a barrel, after touching $92.06, the highest level since Oct. 7, 2008. The settlement marked the largest endyear price since 2007. London Brent gained $1.66 to settle at $94.75 a barrel, its highest end-December settlement
since 2007 and up nearly 22 per cent on the year. Global output jumped 2.2 million barrels per day (bpd), according to a Reuters poll, the biggest increase since 2004, and another healthy 1.5 million bpd gain is forecast for next year. While many experts say oil could break $100 a barrel in the new year, they don't expect a surge to levels near $150 seen in 2008, when crude first broke into triple digits. The Organization of the Petroleum Exporting Countries would step in to cool off markets if they headed into territory that could endanger the global economic recovery, analysts said. "At some point, I would expect OPEC to increase production, whether through an extra cargo here or there to cash in on high prices or whether by a more concerted effort to calm people
down," said Tim Evans, analyst for Citi Futures Perspective. Recent gains in the dollar could also help cap oil's momentum by increasing the cost of dollardenominated currencies for holders of other currencies. US crude averaged $79.61 a barrel for the year, second only to 2008's record $99.75. Crude shot to a high of $147 a barrel in July of that year, before the global recession hit demand and sent prices below $33. Cold weather in the United States and Europe and OPEC's decision to keep production levels steady earlier this month have added to bullish sentiment this month. Analysts are watching to see how much of the recent rally has been caused by seasonal weather demand and how much has been driven by more structural consumption growth. -Reuters
Gold gets 10th annual gain; silver shines in the past year NEW YORK/LONDON: Gold rose to within $10 of a record high on Friday, closing out an unprecedented tenth annual gain as the combination of a weaker dollar and global economic uncertainty seemed to pave the way higher next year. The entire precious metals complex had a stellar run in 2010, led by palladium's 97 per cent rise, in a broad commodities rally that pushed the 19-commodity ReutersJefferies CRB index up 15 per cent. Spot silver, too, swept higher for an 83 per cent gain on the year, as investors sought the white metal as an alternative to gold. It was the best-performing assets in the CRB, hitting a 30-year peak of $30.92 on Friday. Spot gold moved up to $1,418.85 an ounce by 1905 GMT, up 1.06 per cent from the previous close at $1,403.99, and a 29.4 per cent advance over 2009. Bullion prices were on track for
their fifth straight month of gains, the longest stretch of monthly increases since late 2001. US February gold futures settled 2010 at $1,421.40 an ounce, up $15.50, or 1.1 per cent, and marked a 29.7 per cent gain over 2009's settlement when the active gold contract ended at $1,096.2 on the COMEX division of the NYMEX. "The gold price remains well supported by a weaker dollar and solid investment demand," said AnneLaure Tremblay, precious metals strategist at BNP Paribas. Traders and analysts expect gold to break above $1,500 in 2011, particularly if the dollar extends its decline, the US economy remains unable to generate enough jobs to lower unemployment and Europe's debt crisis is not diffused. "As for next year, I'm thinking gold could trade firmly over the next quarter or two. And then have the potential to see some
weakness in the second half of the year," said Tom Pawlicki, precious metals analyst at MF Global in Chicago. He said he thinks gold investors will remain focused on sovereign debt issues, and Chinese and central bank buying of gold, along with quantitative easing enhancing gold's luster. But eventually those issues will get played out, he added and an increase in the negative real yields that have been benefited gold in 2010 could work against precious metals plays in 2011 as economic growth begins to pick up. Also tempering some of the enthusiasm, holdings in the SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, fell to 1,280.722 tonnes by Dec 30, its lowest since early June. Spot palladium surged to a nineyear high at $799.47 an ounce, and platinum, at $1,766.24, was up 20 per cent on the year. -Reuters
4 Monday, January 3, 2011
Set in Stoning
The Financial Daily International Vol 4, Issue 143
Publisher & Editor-in-Chief: Amir A. Ashary Editor: Shakil H. Jafri Executive Editor: Manzar Naqvi Honorary Advisory Board S. Muneer Hussain Rizvi
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Khurram Shehzad, CFA
Akhtar M. Zaidi, FCA
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T
he sentencing of an Iranian woman to be stoned to death for adultery led to an international outcry, prompting authorities in the Islamic Republic to suspend it, but she still faces possible execution by hanging. Following are facts on the case of Sakineh Mohammadi Ashtiani, 43. n Ashtiani's husband was murdered in 2005, after which an Iranian court convicted the mother of two of having an "illicit relationship" with two men. Amnesty International says she received 99 lashes as her sentence but she was subsequently convicted of "adultery while being married", which the human rights group says she denied. For this, she was given a stoning sentence in 2006. She is also accused of involvement in her husband's murder. n After it was publicised, Ashtiani's sentence caused an international furore. The European Union called it "barbaric", the Vatican pleaded for clemency and Brazil offered her asylum. The case further strained Tehran's relations with the West, already at odds over Iran's nuclear programme. n A local judiciary official in July said the stoning of Ashtiani had been
suspended for the time being due to "humanitarian reservations". However, he said Ashtiani would remain in prison and could still face execution. n Iran's state television in August
of manipulating the story to demonise the Islamic Republic, and President Mahmoud Ahmadinejad denied in September that Ashtiani had ever been sentenced to stoning. He said her case
“
The sentencing of an Iranian woman to be stoned to death for adultery led to an international outcry, prompting authorities in the Islamic Republic to suspend it, but she still faces possible execution by hanging. Following are facts on the case of Sakineh Mohammadi Ashtiani, 43
state television in November there was a good chance Ashtiani's life would be spared. n Sympathisers of Ashtiani around the world were briefly relieved in December when word of her release spread on the Internet. Their hopes were crushed after it became clear old photographs showing Ashtiani at her home had been misinterpreted as indicating she was free. As Iranian officials emphasise Ashtiani's case is purely a judicial matter, she remains in prison waiting for a final review of her case. n Adultery is the only crime which carries the stoning penalty under sharia law, in force in Iran since 1979. A judiciary spokesman announced in 2008 the suspension of some executions by stoning but said individual judges were still free to order stonings until laws were integrated. Two men were stoned to death in 2008 and one in March 2009. Stoning is rare in Iran compared to executions by hanging, which can be carried out for crimes such as murder and rape. The practice involves victims being buried up to their midriffs and pelted to death with medium-sized stones.-Reuters
Another POL spike in the heart Hitching the Wagon to Stars?
The latest hike in prices of petroleum products has attracted criticism from the political parties, trade and industry and transporters. The general consensus is that the hike will further fuel the inflation in the country already hovering around 15 per cent. As against this, the government terms the increase unavoidable due to rise in prices of crude oil as well as while oil products worldwide. Government also expresses inability to continue to pay subsidy due to mounting budget deficit. Elected members of three political parties namely PML-N, MQM, and Jamaat-e-Islami have moved adjournment motion demanding debate on this critical issue, suspending all other businesses. The debate at national Assembly and Senate is not likely to yield any results, except mudslinging. The speeches will be full of rhetoric and criticism on corruption and not following good governance and mostly likely to culminate at demanding immediate withdrawal of increase. As against this, government's arguments will include hike in international crude prices, widening budget deficit and pressure from multilateral donors to gradually withdraw all sorts of subsidies. The persistent hike in POL prices can only be attributed to not following prudent policies. The government was fully aware of the crude price movement and pressure from the donors to withdraw subsidies. However, it made no attempt to secure price through future contracts and added to this has been extensive load shedding of electricity and gas and closure of CNG stations, resulting in massive increase in consumption of motor gasoline and diesel. According to Irfan Qureshi, Managing Director, Pakistan State Oil, consumption of motor gasoline alone has gone up to 180,000 tonnes from 57,000 tonnes. Oil share in the total energy mix of the country now exceeds 30 per cent with annual demand of petroleum products touching 20 million tonnes, equivalent to 400,000 barrels per day. Out of this only 13 per cent is being met through local resources while remaining 87 per cent is met through import. Efforts to promote CNG use have been derailed because of gas shortfall hovering around 800mmcfd at present. Since crude prices are likely to hover around $100 per barrel during winter and remain above $85 during rest of 2011 the government must take short as well as medium term measures to ease the burden on the consumers. Quantum of POL consumption can be contained by enhancing gas availability in the country simply by containing UFG and resolving ongoing litigation pertaining to newly discovered gas fields. This can improve gas supply minimum 500mmcfd and maximum 900mmcfd. As regards withdrawal of subsidy being attributed to pressure of multilateral lenders is absolutely incorrect. These institutions are insisting on containing budget deficit. While all the efforts of the government are aimed at enhancing revenue collection, little is being done to contain pilferages, wastages and extravaganzas. Can the politicians stop badmouthing each other and right their wrongs?
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T
he prospects for cooperation between the United States and China in space are fading even as proponents say working together in the heavens could help build bridges in oftentesty relations on Earth. The idea of joint ventures in space, including spacewalks, explorations and symbolic "feel good" projects, have been floated from time to time by leaders on both sides. Efforts have gone nowhere over the past decade, swamped by economic, diplomatic and security tensions, despite a 2009 attempt by President Barack Obama and his Chinese counterpart, Hu Jintao, to kick-start the bureaucracies. US domestic politics make the issue unlikely to advance when Obama hosts Hu at the White House on Jan. 19. Washington is at odds with Beijing over its currency policies and huge trade surplus but needs China's help to deter North Korea and Iran's nuclear ambitions and advance global climate and trade talks, among other matters. Hu's state visit will highlight the importance of expanding cooperation on "bilateral, regional and global issues," the White House said. But space appears to be a frontier too far for now, partly due to US fears of an inadvertent technology transfer. China may no longer be much interested in any event, reckoning it does not need US expertise for its space program. New obstacles to cooperation have come from the
showed footage of Ashtiani confessing to adultery and involvement in her husband's murder. With her face blurred in the telecast, Ashtiani described how she had struck up a relationship with her husband's cousin. The British government and Amnesty condemned the screening of the alleged confession. n Iran accused international media
Republicans capturing control of the US House of Representatives in the Nov. 2 congressional elections from Obama's Democrats. Representative Frank Wolf, for instance, is set to take over as chairman of the appropriations subcommittee that funds the US space agency in the House. A China critic and human rights firebrand, the Republican congressman has f a u l t e d NASA's chief for meeting leaders of C h i n a ' s Manned Space Engineering Office in October. "As you know, we have serious concerns about the nature and goals of China's space program and strongly oppose any cooperation between NASA and China," Wolf and three fellow Republicans wrote NASA Administrator Charles Bolden on Oct. 15 as he left for China. SPACE EXPLORATION Obama and Hu, in a statement in November 2009, called for "the initiation of a joint dialogue on human spaceflight and space exploration, based on the principles of transparency, reciprocity and mutual benefit." The statement, marking a visit by Obama to China, also called for reciprocal visits in 2010 of NASA's chief and "the appropriate Chinese counterpart."
had been used as "propaganda" against his country. n Iran arrested two German reporters in October as they were interviewing Ashtiani's son. Tehran has held the two on espionage charges since then and has accused them of coming to Iran to "stage propaganda". n A senior judiciary official told
Bolden, who went to China as head of a small team, said discussions there "did not include consideration of any specific proposals for future cooperation" -- a statement apparently designed to placate Wolf, who will have a big say in NASA's budget. The Chinese visit to NASA did not materialize in 2010 for reasons that have not been explained. NASA representatives did not reply to questions
stone samples around 2017. Chinese scientists have talked about the possibility of sending a man to the moon after 2020 -- more than 50 years after US astronauts accomplished the feat. ANTI-SATELLITE TESTS Possible US-Chinese cooperation became more controversial after Beijing carried out a watershed anti-satellite test in January 2007, using a ground-based missile to knock out one of its inactive weather satellites in high polar orbit. No advance notice of the test was given. Thirteen months later, the United S t a t e s destroyed a malfunctioning US spy satellite using a ship-launched Raytheon Co Standard Missile 3 after a high-profile buildup to the event. The US interception was just outside the atmosphere so that debris would burn up promptly. US officials say China's capabilities could threaten US space assets in low orbit. The Chinese test also created a large cloud of orbital debris that may last for 100 years, boosting the risk to manned spaceflight and to hundreds of satellites belonging to more than two dozen countries. China's work on anti-satellite weapons is "destabilising," Wallace Gregson, assistant US secretary of defense for Asian and Pacific security affairs,
The idea of joint ventures in space, including spacewalks, explorations and symbolic "feel good" projects, have been floated from time to time by leaders on both sides but a Chinese embassy spokesman, Wang Baodong, said he suspected it was "mainly a scheduling issue." China is an emerging space power. Over 13 years starting in August 1996, it ran up 75 consecutive successful Long March rocket launches after overcoming technical glitches with the help of US companies. China launched its second moon orbiter in October. In 2008, it became the third country after the United States and Russia to send astronauts on a spacewalk outside an orbiting craft. Beijing plans an unmanned moon landing and deployment of a moon rover in 2012 and the retrieval of lunar soil and
said in December, also citing its investment in anti-ship missiles, advanced submarines, surface-to-air missiles and computer warfare techniques. "It has become increasingly evident that China is pursuing a long-term, comprehensive military buildup that could upend the regional security balance," Gregson told a forum hosted by the Progressive Policy Institute in Washington. The Heritage Foundation, a conservative think tank, called on members of the incoming Congress to be wary of any space cooperation with China on the grounds it could bolster Beijing's knowledge and harm US security. "Congress should reject (the Obama) administration attempts to curry favor with the international community while placing US advantages in space at risk," Dean Cheng, a Heritage research fellow for Chinese political and security affairs, and two colleagues said in a Dec. 15 memo to lawmakers. Proponents of cooperation say even symbolic steps, such as hosting a Chinese astronaut on the International Space Station, might help win friends in Beijing and blunt hard-liners. Gregory Kulacki, China project manager for the Union of Concerned Scientists, a group often at odds with US policy, said cooperation would be more of a political project than a technical one. "We need to get past the idea that the Chinese need us more than we need them," he said.Reuters
Roll Up Your Sleeves, Mr Obama A
fter a good end to a not-so-good year, US President Barack Obama faces even tougher challenges in the months ahead as looming fights over spending and healthcare set the stage for a difficult 2012 re-election campaign. When a new Congress convenes on Wednesday, Obama will be confronted for the first time by a Republican majority in the House of Representatives and a strengthened Republican minority in the Senate. Whether he strikes deals with those newly powerful foes and continues the momentum built in December's "lameduck" Congress or becomes mired in another bout of legislative gridlock could be a critical factor in Obama's prospects for a second term. "The political climate is about to completely change for Obama, and how those budget and healthcare battles play out will really determine his status for the race in 2012," said Steven Schier, a political analyst at Carleton College in Minnesota. A burst of accomplishment in Congress during the final days of December produced a tax deal with Republicans, repeal of the ban on gays serving openly in the military and ratification of a new nuclear arms treaty with Russia. Those triumphs for Obama followed months of economic doldrums, stubbornly high unemployment and sinking approval ratings that culminated in November's self-described election "shellacking." Before heading to Hawaii for his Christmas vacation, Obama said the achievements of December showed what could happen when both parties
work together. He also acknowledged the bipartisan mood could be short-lived. "I'm not naive. I know there will be tough fights in the months ahead," Obama said. "But my hope heading into the new year is that we can continue to heed the message of the American people and hold to a spirit of common purpose." FIGHT LOOMS OVER SPENDING, DEFICITS Topping the agenda in the new Congress will be a clash over govern-
own vision early in the year when he makes a State of the Union speech to Congress and unveils a new budget, and he could propose some form of tax reform as a way to reach a major deal with Republicans. "What will really tell the tale is whether Obama can be taken as credible on deficits and debt, because that is how he gets the attention of independents and moderates again," said Cal Jillson, a political analyst at Southern Methodist University in Texas.
“
"The political climate is about to completely change for Obama, and how those budget and healthcare battles play out will really determine his status for the race in 2012," said Steven Schier, a political analyst at Carleton College in Minnesota
ment spending and deficit reduction, with Republicans itching to push through dramatic spending cuts before a bill to fund the government expires on March 4. Obama and his fellow Democrats are likely to object to Republican priorities for proposed spending cuts of as much as $100 billion. Democrats have warned against sharp reductions in social services, particularly in a sluggish economy. Republicans also have promised to take a stab at rolling back Obama's landmark healthcare overhaul, an issue certain to face heavy opposition from Obama and Democrats. Obama will have a chance to offer his
Those centrist voters, a critical part of Obama's 2008 election coalition, deserted Obama and Democrats in 2010. For Obama, winning them back could be more critical than keeping the party's liberal wing, already angry about his taxcut deal with Republicans, in his camp. Polls show the deal to extend Bush-era tax cuts to all Americans, despite Obama's campaign promise to raise taxes on the wealthy, has been popular with most Americans. CLINTON SHOWS THE WAY? Obama could be guided by the example set by Democrat Bill Clinton, who won re-election to the White House in 1996 by moving to the center and com-
promising with Republicans after Democrats suffered huge losses in the 1994 midterm elections. "It's not detrimental to Obama in a political sense to be seen as compromising with Republicans," Jillson said. "If he does it in a clever way, he can win back those independents because they continue to like him personally." Republicans, who spent most of the last two years opposing Obama's initiatives, will face pressures of their own as they take on new governing responsibilities while trying to satisfy conservative Tea Party activists pushing for spending cuts. Obama also is expected to make at least some changes in his White House team in the new year, with senior adviser David Axelrod headed home to Chicago to begin planning for the 2012 campaign and other shifts likely. Republican presidential challengers are expected to begin launching their campaigns during the first few months of the year, meaning the pressure in both parties to stake out political turf rather than compromise will begin early. For Obama, regaining the spirit and message that infused his winning 2008 campaign could be more important than specific policy victories, said Karlyn Bowman, a public opinion analyst at the American Enterprise Institute. "The bigger challenge for him will be giving people a sense of optimism. He needs to reconnect with people in the way he did in the campaign," she said. "Americans still want Obama to succeed. The fact he leads nearly all Republican contenders indicates his underlying strength."-Reuters
5
Monday, January 3, 2010
Asian stocks surge in year to log largest 2-yr advance since 2004
Global stock fund inflows gain in 4th quarter: EPFR
Weekly Review
KSE calls it a week at around 30-mth high
KSE-100 Index Opening Closing Change % Change Turnover (mn)
11,858.17 12,022.46 164.29 1.39 579.37
LSE-25 Index Opening Closing Change % Change Turnover (mn)
3,671.84 3,733.01 61.17 1.67 23.10
ISE-10 Index Opening Closing Change % Change Turnover (mn)
2,980.36 3,016.70 36.34 1.22 1.21
Nawaz Ali
Major Gainers
Symbol ATBA CPL NRL SIEM NATF
Close
Change
190.47 183.00 273.79 1,253.51 69.41
14.84 11.92 11.12 11.01 10.23
Major Losers
Symbol
Close
Change
RMPL 2,109.87 NESTLE 2,374.86 WYETH 1,051.70 LAKST 289.92 COLG 923.00
-80.12 -75.14 -48.30 -29.32 -21.50
Top 5 Volume Leaders
Symbol
Close Vol (mn)
LOTPTA NBP FFBL BAFL ANL
13.70 76.82 35.73 11.21 9.66
53.26 37.72 30.71 25.76 20.69
Active Issues Plus Minus Unchanged
234 177 16
Sector Updates FERTILISER
Wall Street weekly outlook
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
DEWAN FAROOQ MOTORS Production (July 10 to Nov 10) 186 Sales (July 10 to Nov 10) 70 Production (Nov 10) 0 Sales (Nov 10) 0
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 tonnes) 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)
CHICAGO: Traders leave a confetti littered Eurodollar options pit at the CME Group after the close of the final trading session of the last year. -Reuters
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
Hangover or afterparty for the stocks? NEW YORK: A bout of profit taking seems likely early this year after the S&P 500 ended its best December in almost two decades, but stocks may have further to run at the start of 2011. Technical indicators are pointing to a strained market, though recently stocks have been maintaining the momentum of late 2010. The potential is certainly there for shares to derail this week with some important economic reports due. A repeat of last month's disappointing US jobs number could spark a selloff. "We think in the near term markets are getting ahead of themselves," said Zahid Siddique, portfolio manager for Gabelli Equity Trust in Rye, New York. "The data has to be good for the markets to continue to go up, and if there is any weakness in the data, we think we could have a sell-off." Analysts in a Reuters poll expect the economy added 126,00 jobs in December, up from 39,000 the prior month, but still not enough to significantly dent unemployment. A series of global purchasing managers indexes are also due this week, including the Institute for Supply Management's two monthly surveys. They are expected to show growth quickened in December in the US services and manufacturing sectors. An array of technical factors show the market may be at the top end of its recent trading range, but strongly trending markets often produce false signals. "There is no denying the fact that the market is overbought," said Paul Hickey, an analyst at Bespoke Investment Group in Harrison, New York. "The
entire month of December the S&P 500 has closed in overbought levels everyday." Hickey considers the S&P 500 overbought when it moves one standard deviation above its 50-day moving average. But looking at prior months where that has occurred he found performance the next month was above average instead of reverting to the mean. "Momentum tends to carry the market further," he said. Signs of an improving economy, tax breaks and loose monetary policy helped spur a near 20-per cent rally in the S&P 500 since the end of August. The index rose 6.5 per cent in the last month of the year, its best December since 1991. The gains stalled in the last week of the year with indexes finishing essentially flat. Siddique, who helps manage a $1.3 billion equity fund, says his firm raised cash as equities rose by paring positions in strong performing consumer discretionary and industrial sectors. He says that worries over Europe's sovereign debt crisis, global growth and political tensions may resurface. He is looking at defensive sectors such as utilities, consumer staples and healthcare, which have lagged. "In some of our fund we have been increasing cash allocations," he said. "So if there is a sell-off, we can reallocate that cash into the relevant sectors." The S&P 500 relative strength index, which compares price gains to losses over a given period, has been near or above the overbought 70 level for nearly two weeks. The index's slow stochastic and moving average convergence- divergence (MACD) levels indicate that S&P 500 may be coming to the top of its
recent trading range. Although strongly trending markets can continue in an overbought condition for some time, a convergence of those three indicators in early November heralded a 4 per cent correction. Analysts at UBS point to an 80-90 point uptrend channel for the S&P 500 with a support line linking August and November lows and a resistance line linking peaks in the same months. That would currently place S&P support at around 1,222 and resistance at 1,314, giving the potential for a 3 per cent pullback if the channel holds. In 2011 the United States is also entering the third year of a presidential cycle. This theory holds that after the midterm elections presidents push less controversial legislation that could hurt markets as their sights are set on reelection. Since 1914 the Dow Jones industrial average has gained an average of 49.3 per cent over 15.5 months from its low in the midterm election year to it high in the following pre-election year, according to UBS. Transposing that onto the S&P 500 for this year could see the index peak at around 1,430 in mid-October. But some investors who focus more on the economy and corporate results are not convinced. Rob Russell, president of Russell & Co in Dayton, Ohio, said he expects equities to sideline in 2011 as higher corporate earnings are offset by a stagnant economy. "Unemployment will continue to be that 800-pound gorilla," he said. "We will continue to see, like we have for a good part of this year, a sea of contradicting economic data." Reuters
KARACHI: Bulls laid down their law at Karachi Stock Exchange (KSE) last week lugging it above 12,000 level after around 30 months. During the last week of the year, the benchmark KSE 100Index increased by 164 points 1.39 per cent --to close at 12,022 points, KSE 30-Index jumped by 196 points -1.73 per cent-- to close at 11,588 points and KSE All Share Index rose by 117 points -1.42 per cent-to close at 8,359 points. It was due to investors' taking positions in oil, banking and fertiliser stocks anticipating good corporate results abetted by higher international oil prices. Also, the news regarding purchase agreement of UBL shares too attracted investors' attention. In 2010, KSE 100-Index gained 28 per cent crossing 12,000 points level after July 2008 despite weak economic situation, political uncertainty, and deteriorating law and order situation in the mega city, however, volumes remained on the low. The activities were mainly driven by the foreign investors with a net-buying of $526 million during the year mainly in energy stocks. Commenting on last week's activity, Angela Memon, analyst at JS Global Capital said IMF's agreeing to a 9-month extension in its SBA programme and a much awaited reimbursal of CSF payment (of $633mn) kept bulls morale high last week. The signing of the share purchase agreement
between Bestway Holding and Abu Dhabi Group (ADG) was a much touted development as well, she added. The week started on a bullish note due to buying in fertiliser stocks after an increase in urea prices, thereafter market was mainly in the grip of bulls. During the rest of the weekdays the news regarding UBL stake sale, higher international oil prices triggered buying while investors' interest was also seen piquing on hopes of some healthy corporate results and payouts in oil and banking stocks. In the end the index crossed the psychological barrier of 12,000 points after a period of around 30 months and at one moment touched the highest level of the week at 12,083 points. Further, the appointment of an ex-broker Mohammad Ali as the Chairman Securities & Exchange Commission of Pakistan (SECP) too fueled investors' appetite as they are expecting an early launch of much awaited leverage product while market also welcomed the election of the new KSE member directors. Though market stood mainly in the positive zone but there was some profit-taking by the local investors while an uncertain political situation and warning given by IMF to Pakistan to reduce its budget deficit too raised caution. "Political instability caused profit-taking but investors welcomed election of new KSE board of Directors", said See # 6 Page 11
Gulf stocks mkt
Dubai up most in 2-months; Egypt drops DUBAI: Dubai shares advanced the most in more than two months, leading gains in Gulf markets, as oil climbed to the highest year-end price since 2007. Egypt's benchmark retreated as a bomb killed 21 people yesterday. Dubai Investments, which owns stakes in more than 40 companies, soared the most since Sept. 19. Drake & Scull International, the Dubai-based engineering contractor, rose for a fifth day. The DFM General Index advanced 2.3 per cent, the most since Oct. 28, to 1,668.27 at the 2 pm close in the emirate. The measure lost 9.6 per cent in 2010. Abu Dhabi's ADX General Index increased 0.8 per cent. Nakheel, the developer of palm-shaped islands off Dubai's coast, paid 3.9 billion dirhams ($1.1 billion) to trade creditors as it seeks to renegotiate terms on at least $10.5 billion of loans and bills. Nakheel is working to secure the approval of 95 per cent of its trade creditors by the end of the first quarter, the company said in an emailed statement shortly before the market closed. Dubai Investments jumped 6.8 per cent to 83.3 fils. Drake & Scull rose 5.8 per cent to 1.1 dirhams, the highest since October 2009. Emirates NBD, the UAE's biggest bank, advanced 8 per cent to 2.98 dirhams. Egypt's benchmark EGX30 Index declined for the first time in five days, losing 0.5 per cent to 7,103.61 at 12:51 p.m. in Cairo, the biggest drop since Dec. 22. The gauge rose 15 per cent in 2010. Qatar's gauge gained 0.7 per cent and Oman's MSM30 Index rose 0.8 per cent. Saudi Arabia's Tadawul All Share Index advanced less than 0.1 per cent. Kuwait's and Bahrain's market are closed for a holiday. -Agencies
Dhiyan
WON’T BE A DAY TO REMEMBER Tariq Hussain Khan, Head of Portfolio management United Capital Last week, market successfully closed at year's high, but now we expect a sharp technical correction as it’s much inflated. Therefore index can come down to 11,600 points and if it manages to sustain thereabouts then a rebound is possible. Good corporate results, rising global oil prices, and political stability would help the index hang in there. However, if it fails to sustain 11,600 level more negative activities may follow. Day-traders better hold on to the sidelines while investors may sell but wait for dips as well. And At dips they can invest in fertilisers, oils, E&Ps and cements. Today's opening maybe positive but correction could ensue later.
Farhan Mansuri, VP Capital Markets Arif Habib Limited Market is in overbought region therefore a correction of 400-500 points is expected in the next two weeks. Also increase in NSS rates, expected rise in interest rate due to hike in government borrowing, and possible increase in inflation after a POL prices’ jump maybe the reasons for this correction. However, after the said correction, green activities can revive on any positive news on margin trading system, better corporate results, or institutional buying. Invest on dips and concentrate on high dividend-yielding stocks of banking, fertiliser and oil sectors' those scrips which are expected to announce good results. Market would be negative today.
6
Monday, January 3, 2011
Market
KSE 100 Index
Symbols
Volume
579,372,645
Value
26,328,691,311
Trades
334,689
Advanced Declined Unchanged Total
234 177 16 427
Current High Low Change
All Share Index
12,022.46 12,083.20 11,815.20 h164.29
Current High Low Change
OIL AND GAS
Paid up Cap(mn)
Company
PE
Open
High
High Low 1,564.75 1,517.39 Total cos Defaulter cos P/BV (x) ROE (%) 3.69 32.54 Low
Close Chg
Last 60 days High Low
Volume
2010 Div BR (%) (%)
2011 Div BR (%) (%)
Open 743.37 Turnover 281,169 P/E (x) 5.80 Company
Paid up Cap(mn)
691
5.79 327.94
337.90 322.66 334.52
6.58
1556979 374.20
287.99
300
20B
-
-
Pak Int Container Terminal 1092
Attock Refinery
853
6.99 119.56
127.20 119.50 124.68
5.12
10275590 137.20
79.23
-
-
-
-
PNSC
Mari Gas Company
735 16.93 124.58
126.99 122.65 124.97
0.39
211924
128.90
107.00
31
-
-
-
800
-
-
-
282.00 263.50 273.79 11.12
Oil & Gas Development XD 43009 11.56 169.32
Pak Petroleum Pak Oilfields Pak Refinery Limited P.S.O
4.06 262.67
1156839 282.00
200.00
200
171.75 167.50 170.83
1.51
2473664 171.75
144.61
55
11950
8.83 214.33
219.90 212.00 217.15
2.82
3854628 221.75
171.60
90
20B
-
-
2365
6.99 291.23
300.80 288.02 295.96
4.73
9934532 300.80
231.01
255
-
-
-
350
- 110.15
1715
5.00 294.04
Shell Gas LPG
226
Shell Pakistan
685 10.68 207.56
-
35.57
- 15.00
408263
114.50
55.00
-
-
-
-
299.20 293.52 295.18
4785412 299.20
262.00
80
-
-
-
35.73
33.25
33.83 -1.74
209.89 205.74 208.22
0.66
65630
40.28
29.10
-
-
-
-
154579
209.89
182.05
40
-
-
-
CHEMICALS Performance of SR Chemicals Index Open High Low 1,378.80 1,425.43 1,373.26 Turnover Total cos Defaulter cos 129,149,176 P/E (x) P/BV (x) ROE (%) 8.69 3.04 35.00 Company
Paid up Cap(mn)
PE
Open
High
Low
Agritech Limited 3924 8.66 Bawany Air 68 67.67 BOC (Pak) 250 12.51 Clariant Pak 273 7.00 Dawood Hercules 1203 8.22 Dewan Salman 3663 Dynea Pak 94 Engro Corporation Ltd 3277 10.65 Fatima Fertilizer 22000 Fauji Fertilizer 6785 9.12 Fauji Fert. Bin Qasim 9341 6.74 ICI Pakistan 1388 8.13 Lotte Pakistan 15142 4.89 Mandviwala 74 Nimir Ind Chemical 1106 Shaffi Chemical 120 Sitara Chem Ind 214 10.47 Sitara Peroxide 551 14.40 Wah-Noble 90 6.95
24.24 9.43 89.28 171.08 188.19 3.36 10.94 197.13 9.98 121.39 36.45 142.09 13.50 1.84 2.06 2.45 127.11 14.05 36.43
24.85 9.85 92.43 185.95 200.99 3.47 11.49 200.88 11.39 128.50 38.05 146.80 14.11 2.29 2.28 2.78 131.90 14.15 38.80
22.50 8.10 88.02 171.00 189.49 2.85 10.94 189.25 10.01 122.60 35.69 142.00 13.12 1.61 1.97 2.13 126.00 13.20 35.80
Close Chg 23.90 8.12 91.10 183.00 198.36 2.99 11.20 193.81 11.28 125.86 35.73 144.24 13.70 1.89 2.00 2.71 127.75 13.25 36.13
-0.34 -1.31 1.82 11.92 10.17 -0.37 0.26 -3.32 1.30 4.47 -0.72 2.15 0.20 0.05 -0.06 0.26 0.64 -0.80 -0.30
Close 1,399.04 Listed cap 52,251.88 mn Payout (%) 48.81
Volume 392355 28553 250823 179383 676015 7993512 26236 13041267 18532685 10268647 30708028 2517252 53261963 138889 4657287 25032 7482 508982 39362
Change % Change 20.24 1.47 Market cap 200-Day High 317,268.14 mn Div Yield (%) 200-Day Low 5.61 -
Last 60 days High Low 24.85 13.25 94.20 185.95 200.99 4.24 13.79 200.88 11.39 128.50 38.05 146.80 14.11 2.75 2.74 3.40 139.40 14.69 46.25
20.26 7.73 72.00 149.72 163.55 1.30 9.15 173.30 9.16 104.90 27.02 116.00 8.39 0.80 1.30 1.80 101.00 8.00 32.00
2010 Div BR (%) (%) 5 15 40 15 40 95 17.5 55 25 50
10R 5B -
2011 Div BR (%) (%) -
-
FORESTRY AND PAPER Performance of SR Forestry & Paper Index Open 1,217.12 Turnover 659,543 P/E (x) 5.98 Company
High Low 1,232.05 1,162.81 Total cos Defaulter cos P/BV (x) ROE (%) 0.45 7.47
Close 1,183.40 Listed cap 1,186.83 mn Payout (%) 25.28
Paid up Cap(mn)
PE
Open
High
Low
Close Chg
Volume
707 50 411
9.06 6.92
16.67 44.77 47.70
17.60 48.90 46.85
16.55 45.00 43.70
16.85 0.18 47.13 2.36 44.86 -2.84
624622 14062 20859
Century Paper Pak Paper Product Security Paper
Change % Change -33.72 -2.77 Market cap 200-Day High 3,280.40 mn Div Yield (%) 200-Day Low 4.23 -
Last 60 days High Low 19.89 48.90 47.70
15.28 38.61 38.00
2010 Div BR (%) (%) 2533.33B 50 -
2011 Div BR (%) (%) -
1321
-
Company
Paid up Cap(mn)
Crescent Steel Dost Steels Ltd Huffaz Pipe International Ind
PE
Open
High
Low
565 4.30 675 555 9.76 1199 12.47
26.06 2.76 15.78 56.72
28.45 2.98 16.05 62.20
25.74 2.55 15.40 55.60
Close Chg 27.51 2.70 15.61 59.85
1.45 -0.06 -0.17 3.13
Close 1,094.17 Listed cap 3,596.11 mn Payout (%) 30.91
Change % Change 48.92 4.68 Market cap 200-Day High 10,747.33 mn Div Yield (%) 200-Day Low 8.94 -
Last 60 days High Low
Volume
1410597 28.45 63702 3.39 105491 16.25 1392945 62.20
24.00 1.93 12.25 44.00
2010 Div BR (%) (%) 30 40
20B
2011 Div BR (%) (%) -
-
PE
Open
High
Low
Volume
Last 60 days High Low
73.50
73.93
70.01
72.75
-0.75
126072
77.77
60.05
40
-
-
-
41.25
33.88
39.45
33.90
37.95
4.07
158004
41.00
32.36
15
-
-
-
Open 1,166.33 Turnover 2,771,223 P/E (x) 4.34 Company
Paid up Cap(mn)
Agriautos Ind Atlas Battery Atlas Honda Dewan Motors Exide (PAK) General Tyre Ghandhara Nissan Ghani Automobile Ind Honda Atlas Cars Indus Motors Pak Suzuki Sazgar Engineering
PE
Open
High
Low
76.99 194.75 126.38 2.52 208.95 23.64 5.18 5.20 11.74 263.40 72.48 21.00
73.00 176.25 122.10 2.18 188.11 21.00 4.53 4.10 11.00 250.01 68.50 20.31
Company
Paid up Cap(mn)
Al-Abbas Cement Attock Cement Balochistan Glass Ltd Berger Paints Buxly Paints Cherat Cement Dadabhoy Cement Dewan Cement DG Khan Cement Ltd Fauji Cement Flying Cement Ltd Frontier Ceramics Gharibwal Cement Haydery Const Kohat Cement Lucky Cement Maple Leaf Cement Maple Leaf(Pref) Pioneer Cement Safe Mix Concrete Shabbir Tiles Thatta Cement
PE
Open
High
Low
1828 866 6.64 858 182 14 956 24.43 982 13.15 3574 3651 125.71 6933 15.21 1760 77 2319 32 1288 3234 6.81 5261 1.33 541 3.10 2228 200 361 798 472.00
3.22 63.00 3.30 23.01 14.86 11.00 1.75 2.33 29.94 5.13 1.85 2.15 7.87 0.68 6.60 75.80 2.97 4.01 6.78 6.35 8.80 18.00
3.70 63.50 4.24 24.16 15.50 11.25 2.03 2.49 30.61 5.23 1.90 2.48 8.80 0.88 6.75 76.75 3.00 4.63 6.94 7.50 9.40 18.99
3.15 61.30 2.56 22.81 13.60 10.75 1.63 2.10 29.61 5.01 1.80 1.29 7.27 0.45 6.26 74.75 2.85 4.00 6.52 5.75 8.00 17.51
Close 1,010.11 Listed cap 54,792.74 mn Payout (%) 19.04
Change % Change -3.54 -0.35 Market cap 200-Day High 72,852.29 mn Div Yield (%) 200-Day Low 2.61 -
Volume
Last 60 days High Low
3.47 63.11 3.06 23.01 14.50 10.75 1.71 2.24 30.17 5.02 1.80 2.41 8.33 0.70 6.46 75.79 2.87 4.22 6.77 7.30 8.48 18.88
176905 59898 1486706 196206 14178 22716 121771 1693164 18350706 2755852 446600 6536 56810 166939 49178 4586752 454851 48274 260973 45834 21186 810478
3.98 65.99 4.24 24.16 15.50 12.75 2.49 3.10 32.10 5.55 2.25 5.00 9.19 1.08 8.70 79.98 3.30 8.89 8.58 7.50 9.60 22.24
2.80 57.60 1.10 14.01 7.91 9.51 1.31 1.30 23.40 4.52 1.70 1.18 2.70 0.42 5.50 69.20 2.51 3.21 6.52 5.25 6.30 17.51
2010 Div BR (%) (%) - 100R 50 - 122R - 20R 40 - 50R
2011 Div BR (%) (%) -
-
GENERAL INDUSTRIALS Performance of SR General Industrials Index Open 1,039.76 Turnover 2,824,057 P/E (x) 2.87 Company
Paid up Cap(mn)
PE
Open
High
High Low 1,062.38 1,018.17 Total cos Defaulter cos P/BV (x) ROE (%) 1.26 43.91 Low
Close Chg
Cherat Papersack 115 2.76 76.60 80.87 76.75 77.41 ECOPACK Ltd 230 2.71 2.84 2.05 2.57 Ghani Glass 1067 4.53 48.89 50.25 49.00 49.30 MACPAC Films 389 3.47 3.80 3.01 3.02 Packages Ltd 844 65.95 129.39 133.50 125.00 128.61 Siemens Engineering XD 82 10.34 1242.50 1290.00 1202.00 1253.51
0.81 -0.14 0.41 -0.45 -0.78 11.01
Close 1,038.51 Listed cap 3,043.31 mn Payout (%) 15.55
Volume
Change % Change -1.25 -0.12 Market cap 200-Day High 39,340.51 mn Div Yield (%) 200-Day Low 5.42 -
Last 60 days High Low
397577 83.23 34.00 876240 3.30 1.80 31739 61.10 45.30 33708 4.05 1.60 1172124 136.74 100.11 87116 1381.00 1120.00
2010 Div BR (%) (%) 20 25 900
25B 10B -
2011 Div BR (%) (%) -
-
INDUSTRIAL ENGINEERING High Low 1,560.46 1,531.51 Total cos Defaulter cos P/BV (x) ROE (%) 3.19 38.02
Company
Paid up Cap(mn)
PE
Open
High
Low
Ados Pak
66
1.10
16.71
17.71
16.80
AL-Ghazi Tractor
215
Dewan Auto Engineering 214
5.44 232.94 -
1.54
Company
Paid up Cap(mn)
Adam Sugar AL-Noor Sugar Bawany Sugar Chashma Sugar Crescent Sugar Dewan Sugar Faran Sugar Habib Sugar Habib-ADM Ltd Haseeb Waqas J D W Sugar Mehran Sugar Mirza Sugar National Foods Noon Pakistan Noon Sugar Pangrio Sugar Premier Sugar Quice Food Rafhan Maize Sanghar Sugar Shahmurad Sugar Shak(RCPf)8.5 Perc Shakarganj Mills UniLever Pakistan
58 186 87 287 214 365 217 600 200 324 490 143 141 414 48 165 109 38 107 92 119 211 346 695 665
Ghandhara Ind
213 10.83
11.41
KSB Pumps
132
7.20
62.77
Millat Tractors XB
366
6.54 494.29
1.25
Volume
Last 60 days High Low
9812
20.85
14.12
-
-
-
-
15776
238.99
200.00
150
-
-
-
88337
2.40
0.21
-
-
-
-
1.31 -0.23
11.95
11.10
11.70
64.00
59.31
60.11 -2.66
502.50 495.50 499.78
0.29 5.49
52724
14.80
1.94 14.84 2.22 -0.12 -2.25 0.20 0.34 -0.20 0.46 -0.20 0.72 0.40
Volume
10849 98232 5492 1690608 7137 93596 171461 11007 158365 249205 1064558 26098
Last 60 days High Low
76.99 65.75 194.75 136.10 128.90 94.00 2.89 1.20 208.95 136.00 25.24 21.00 5.67 4.03 5.75 4.00 13.40 9.65 282.45 216.49 77.90 66.75 26.00 17.92
2010 Div BR (%) (%)
90 100 60 20 150 10
20B 20B
2011 Div BR (%) (%)
-
-
10.55
2010 Div BR (%) (%)
-
-
-
-
61120
87.15
59.31
-
-
-
-
504.45
390.00
650
25B
-
-
Total Assets (Rs in mn)
2.90
Total Equity (Rs in mn)
41,643.27
MA (100-day)
2.81
Revenue (Rs in mn)
208,118.96 18,272.36
MA (200-day)
3.27
Interest Expense
12,872.36
1st Support
2.90
Profit after Taxation
2nd Support
2.80
EPS 09 (Rs)
0.171
1st Resistance
3.10
Book value / share (Rs)
10.30
2nd Resistance
3.20
PE 10 E (x)
Pivot
3.00
PBV (x)
691.05
0.29
NIB closed up 0.04 at 2.95. Volume was 17 per cent below average and Bollinger Bands were 25 per cent narrower than normal. The company's loss after taxation stood at Rs3.559 billion which translates into a Loss Per Share of Rs0.88 for the nine months of current calendar year (9MCY10). NIB is currently 9.9 per cent below its 200-day moving average and is displaying an upward 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 NIB at a relatively equal pace. Trend forecasting oscillators are currently bullish on NIB.
Karachi Electric Supply Corp Ltd
PE
Open
High
High Low 1,755.10 1,663.10 Total cos Defaulter cos P/BV (x) ROE (%) 11.02 30.30 Low
Close Chg
1.13 16.25 18.20 15.20 18.20 3.69 47.75 53.02 47.00 50.57 5.50 6.50 4.20 5.00 1.00 12.12 13.50 12.00 12.41 12.74 5.16 6.75 5.05 6.75 3.53 4.20 3.43 3.60 4.18 20.00 21.73 19.31 20.84 7.49 32.92 33.95 33.00 33.31 11.75 12.74 12.85 12.35 12.69 18.35 19.90 17.00 19.90 2.97 87.86 89.25 84.00 88.71 3.40 57.96 60.65 57.00 57.52 0.62 5.91 6.70 5.90 6.09 25.90 59.18 75.50 59.50 69.41 3.71 25.89 26.90 24.00 26.00 12.51 13.40 11.91 11.98 0.89 6.00 6.45 5.90 6.10 8.62 46.57 49.54 42.80 46.98 2.16 2.29 2.10 2.20 3.34 2189.99 2260.00 1980.05 2109.87 1.03 14.40 14.70 13.60 14.40 7.16 11.40 12.25 10.96 10.96 3.78 4.78 3.78 4.78 6.40 6.88 5.02 5.53 20.35 4362.24 4499.82 4220.01 4360.17
1.95 2.82 -0.50 0.29 1.59 0.07 0.84 0.39 -0.05 1.55 0.85 -0.44 0.18 10.23 0.11 -0.53 0.10 0.41 0.04 -80.12 0.00 -0.44 1.00 -0.87 -2.07
Close 1,703.51 Listed cap 11,335.33 mn Payout (%) 30.57
Volume
Change % Change -10.57 -0.62 Market cap 200-Day High 225,450.43 mn Div Yield (%) 200-Day Low 0.84 -
Last 60 days High Low
43470 18.20 11.15 97983 53.02 39.25 5485 6.73 0.86 27396 15.47 8.50 10551 6.75 5.00 369263 5.59 1.11 41764 21.73 18.30 255320 36.50 28.50 7811 16.50 11.90 18599 22.78 16.50 25157 89.89 64.61 32285 68.49 50.50 28213 7.18 4.20 148374 75.50 39.01 7175 27.30 17.51 34774 14.84 11.05 13892 6.99 4.25 5302 53.81 32.50 25500 3.40 2.02 23704 2298.00 1233.34 19331 14.70 13.00 28321 13.50 9.93 1600500 4.78 2.36 20159 7.88 3.75 10958 4610.00 3825.00
2010 Div BR (%) (%) 25 50 25 25 25B 40 0 12.5R 35 20B 10 12 12 10 600 10 178 -
2011 Div BR (%) (%) -
-
Fundamental Highlights As on Jun 30, 2010
Technical Analysis RSI (14-day)
62.55
Total Assets (Rs in mn)
MA (10-day)
2.71
Total Equity (Rs in mn)
MA (100-day)
2.25
Revenue (Rs in mn)
207,629.50 (525.11) 70,508.12
MA (200-day)
2.44
Interest Expense
1st Support
2.73
Loss after Taxation
6,823.64
2nd Support
2.58
EPS 10 (Rs)
1st Resistance
2.95
Book value / share (Rs)
2nd Resistance
3.02
PE 11 E (x)
Pivot
2.80
PBV (x)
(14,641.22) (0.74) (0.02) (114.62)
KESC closed up 0.10 at 2.81. Volume was 243 per cent above average (trending) and Bollinger Bands were 113 per cent wider than normal. The company's loss after taxation stood at Rs1.782 billion which translates into a Loss Per Share of Rs0.09 for the 1st quarter of current fiscal year (1QFY11). KESC is currently 15.3 per cent above its 200-day moving average and is displaying an upward trend. Volatility is high as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into KESC (bullish). Trend forecasting oscillators are currently bullish on KESC.
Silkbank Limited
Performance of SR Household Goods Index Open 1,113.91 Turnover 1,014,861 P/E (x) 3.04 Company
Paid up Cap(mn)
High Low 1,138.89 1,103.33 Total cos Defaulter cos P/BV (x) ROE (%) 0.32 10.64
PE
Open
High
Low
Gauhar Engineering Ltd 22 Hussain Industries 106 Pak Elektron 1174 3.54 Singer Pak 341 22.70 Tariq Glass Ind 231 2.45
0.67 7.02 14.19 19.88 20.25
0.90 8.40 14.40 20.79 20.95
0.65 6.10 14.00 19.00 20.10
Close Chg 0.86 7.40 14.04 20.20 20.52
0.19 0.38 -0.15 0.32 0.27
Close 1,126.81 Listed cap 3,763.71 mn Payout (%) 6.27
Volume 21000 19556 764197 8725 197760
Change % Change 12.90 1.16 Market cap 200-Day High 5,124.88 mn Div Yield (%) 200-Day Low 2.06 -
Last 60 days High Low
2010 Div BR (%) (%)
0.90 11.49 15.09 20.79 21.40
17.5
0.16 6.10 12.90 16.51 15.90
10B -
2011 Div BR (%) (%) -
-
PERSONAL GOODS Open 1,008.66 Turnover 55,212,978 P/E (x) 6.86 Company
Paid up Cap(mn)
(Colony) Thal Ali Asghar Textile Amtex Limited Artistic Denim Azam Textile Azgard Nine Babri Cotton Bannu Woolen XD Bilal Fibres Blessed Tex Mills Brothers Textile Chakwal Spinning Chenab Limited Chenab Ltd Pref Colony Mills Ltd Crescent Fibres Ltd Crescent Jute Crescent Textile D S Ind Ltd Dar-es-Salaam Dawood Lawrencepur Dewan Mushtaq Textile Ellcot Spinning Gadoon Textile XD Gul Ahmed Textile Hira Textile Mills Ltd. Ibrahim Fibres ICC Textile Ideal Spinning Idrees Textile Indus Dyeing J K Spinning Kohat Textile Kohinoor Ind Kohinoor Spinning Kohinoor Textile Mukhtar Textile Nagina Cotton Nishat (Chunian) Nishat Mills Pak Synthetic Paramount Spinning Premium Textile Prosperity Ravi Textile Reliance Weaving Rupali Poly Saif Textile Sally Textile Salman Noman Samin Textile Sargodha Spinning Saritow Spinning Service Ind Service Textile Shadman Cot Shahpur Textile Shahtaj Textile Shahzad Textile Suraj Cotton Thal Limited Treet Corp ZahidJee Textile Zephyr Textile Ltd
56 222 3139 840 133 4493 33 76 141 64 98 400 1150 800 2442 124 238 492 600 80 514 34 110 234 635 716 3105 100 99 180 181 184 208 303 1300 1455 145 187 1596 3516 560 174 62 185 250 308 341 264 88 42 134 312 133 120 44 176 140 97 180 180 307 418 341 594
PE
Open
0.61 24.75 0.95 9.20 4.11 6.53 23.75 0.37 2.27 - 10.15 0.47 12.00 0.47 12.94 0.34 1.45 0.69 46.50 0.84 0.51 1.11 3.24 2.95 3.98 2.38 0.61 12.25 1.00 4.56 20.00 1.99 2.35 51.14 44.49 0.18 4.47 0.61 20.45 0.72 68.85 4.20 27.09 0.73 4.01 3.31 38.84 1.74 0.47 6.48 3.86 3.49 3.19 324.71 0.95 6.20 0.74 1.40 1.62 0.43 1.02 3.59 5.21 0.49 0.83 16.54 1.89 22.65 5.51 61.70 3.07 9.17 0.76 10.50 0.45 25.00 1.13 14.34 1.56 0.64 9.10 4.52 37.00 0.36 4.16 0.22 4.00 2.12 3.00 5.08 6.69 0.52 2.20 0.33 2.70 8.22 233.33 0.55 1.40 8.60 0.47 0.49 - 19.00 0.30 5.16 0.79 37.50 5.57 123.95 9.56 60.61 0.47 3.80 5.16 4.24
High
High Low 1,022.90 996.57 Total cos Defaulter cos P/BV (x) ROE (%) 0.59 8.64 Low
Close Chg
1.30 0.85 1.21 0.60 1.50 0.99 0.99 0.04 4.68 4.00 4.05 -0.06 24.59 22.51 23.50 -0.25 2.66 2.06 2.64 0.37 10.43 9.48 9.66 -0.49 13.00 11.50 11.53 -0.47 13.40 13.00 13.40 0.46 2.00 1.26 1.26 -0.19 48.00 46.00 46.15 -0.35 0.80 0.26 0.69 -0.15 1.43 0.90 1.17 0.06 3.40 3.07 3.12 -0.12 2.89 2.00 2.50 -0.45 2.84 2.30 2.55 0.17 14.25 12.25 13.11 0.86 1.38 0.77 0.78 -0.22 23.99 20.50 23.72 3.72 2.04 1.76 1.83 -0.16 4.00 2.30 3.50 1.15 46.00 43.45 43.47 -1.02 6.99 3.47 5.90 1.43 21.46 19.31 20.05 -0.40 71.40 65.50 66.04 -2.81 29.28 27.00 29.24 2.15 4.24 3.90 3.90 -0.11 42.75 37.56 42.14 3.30 1.90 0.90 1.26 -0.48 6.90 4.56 5.50 -0.98 3.65 3.20 3.55 0.06 339.99 279.53 328.20 3.49 6.94 5.20 6.20 0.00 1.40 1.40 1.40 0.00 1.97 1.53 1.59 -0.03 1.51 1.05 1.19 0.17 5.60 5.00 5.02 -0.19 0.78 0.36 0.78 0.29 16.95 16.00 16.17 -0.37 23.20 22.01 22.72 0.07 65.80 61.85 64.17 2.47 9.55 8.95 9.10 -0.07 10.55 10.30 10.40 -0.10 28.30 25.00 28.30 3.30 15.00 14.15 14.74 0.40 1.77 1.37 1.51 -0.05 9.90 8.95 9.10 0.00 37.00 36.00 36.00 -1.00 4.50 4.05 4.50 0.34 4.39 3.85 4.39 0.39 5.50 3.00 5.00 2.00 6.83 5.81 6.10 -0.59 3.43 2.30 2.69 0.49 2.89 2.00 2.00 -0.70 244.00 228.00 240.04 6.71 0.70 0.40 0.40 -0.15 10.60 7.65 7.71 -0.89 0.65 0.33 0.34 -0.15 19.95 19.00 19.21 0.21 5.75 5.00 5.00 -0.16 37.50 35.00 35.27 -2.23 132.00 120.05 130.25 6.30 63.30 60.00 60.05 -0.56 3.79 3.50 3.50 -0.30 4.25 3.90 3.92 -0.32
Close 1,011.79 Listed cap 47,070.70 mn Payout (%) 16.68
Volume
Change % Change 3.14 0.31 Market cap 200-Day High 135,597.86 mn Div Yield (%) 200-Day Low 2.43 -
Last 60 days High Low
8254 2.00 7250 1.50 3441396 17.21 16156 24.59 45857 3.45 20686395 12.32 25804 18.75 36213 14.50 7040 2.80 8143 51.90 6331 1.49 16407 2.59 623507 3.90 10402 2.99 49851 3.33 11775 14.99 144126 1.38 28370 23.99 2702774 2.37 10504 4.50 46966 47.00 26357 7.44 10965 22.25 16622 71.40 9911 29.28 237004 4.88 414173 42.75 5109 2.70 20720 7.29 9207 5.35 5526 350.15 8876 9.50 49000 1.50 102954 2.00 10527 2.00 139745 6.06 32138 0.95 8054 17.50 5806388 25.14 16838200 65.80 35984 10.45 8802 11.25 12504 31.03 22314 19.25 842341 2.30 16707 12.00 5950 38.10 76681 6.85 5082 6.20 38601 5.50 23342 8.69 9583 3.43 105862 2.99 16695 276.50 50500 0.75 40717 15.00 22651 1.01 8475 21.90 6702 9.48 8670 38.52 1442966 132.00 647670 63.30 8000 4.87 9230 4.90
2010 Div BR (%) (%)
0.52 0.61 4.00 30 19.10 20 1.32 7.5 9.48 8.10 - 15B 9.50 20 0.58 45.25 50 0.12 0.56 5 3.02 1.21 2.26 8.41 10 0.16 17.89 15 1.44 1.75 36.10 5 1.80 17.21 35 38.30 70 19.99 12.5 3.35 10 34.05 20 0.30 2.02 2.60 10 209.03 50 4.05 20 5B 0.51 1.01 0.16 5 4.51 0.14 12.80 20SD 16.13 15 45.95 25 45R 5.16 7.65 10 10B 25.00 50 12.51 30 1.29 8.01 25SD 31.25 40 3.10 3.52 10 1.80 5B 5.11 - 100R 1.40 5 1.10 169.00 0.14 7.00 0.18 15.61 45 3.76 5 29.00 50 86.50 80 20B 37.25 2.00 2.25 -
2011 Div BR (%) (%) -
-
Performance of SR Pharma and Bio Tech Index Open 969.92 Turnover 971,505 P/E (x) 7.80
2011 Div BR (%) (%)
304047
52.04
MA (10-day)
HOUSEHOLD GOODS
Change % Change 10.27 0.67 Market cap 200-Day High 32,809.69 mn Div Yield (%) 200-Day Low 15.66 -
17.00
0.29
76.20 190.47 124.98 2.28 196.25 22.60 4.92 4.10 11.60 252.47 69.82 20.90
Change % Change 28.54 2.45 Market cap 200-Day High 43,371.60 mn Div Yield (%) 200-Day Low 4.71 -
PHARMA AND BIO TECH
Close Chg
234.94 225.10 227.00 -5.94 1.76
Close 1,547.84 Listed cap 1,336.62 mn Payout (%) 131.49
Close Chg
Close 1,194.87 Listed cap 6,768.53 mn Payout (%) 20.42
Fundamental Highlights As on Dec 31, 2009
Technical Analysis RSI (14-day)
FOOD PRODUCERS Open 1,714.09 Turnover 3,062,033 P/E (x) 36.36
Performance of SR Industrial Engineering Index Open 1,537.58 Turnover 534,205 P/E (x) 8.40
2011 Div BR (%) (%)
Performance of SR Personal Goods Index
Close Chg 0.25 0.11 -0.24 0.00 -0.36 -0.25 -0.04 -0.09 0.23 -0.11 -0.05 0.26 0.46 0.02 -0.14 -0.01 -0.10 0.21 -0.01 0.95 -0.32 0.88
2010 Div BR (%) (%)
Performance of SR Food Producers Index
Performance of SR Construction and Materials Index High Low 1,030.14 991.75 Total cos Defaulter cos P/BV (x) ROE (%) 0.52 7.10
Close Chg
High Low 1,213.52 1,162.17 Total cos Defaulter cos P/BV (x) ROE (%) 1.10 25.35
144 5.77 74.26 101 5.69 175.63 626 9.06 122.76 890 2.40 56 4.64 198.50 598 19.48 22.40 450 3.42 4.58 200 6.41 4.30 1428 - 11.14 786 5.76 252.67 823 11.12 69.10 150 3.90 20.50
CONSTRUCTION AND MATERIALS Open 1,013.64 Turnover 36,459,965 P/E (x) 7.29
Change % Change 9.02 1.21 Market cap 200-Day High 13,206.45 mn Div Yield (%) 200-Day Low 1.91 -
Performance of SR Automobile and Parts Index
INDUSTRIAL METALS AND MINING High Low 1,127.20 1,038.92 Total cos Defaulter cos P/BV (x) ROE (%) 1.14 33.10
Close 752.39 Listed cap 3,242.17 mn Payout (%) 11.08
7.28
Performance of SR Industrial Metals and Mining Index Open 1,045.25 Turnover 2,978,958 P/E (x) 3.46
High Low 762.68 715.47 Total cos Defaulter cos P/BV (x) ROE (%) 1.48 25.53
AUTOMOBILE AND PARTS
-
114.50 106.51 107.72 -2.43 1.14
NIB Bank Limited
Performance of SR Industrial Transportation Index
Close Change % Change 1,549.11 17.86 1.17 Listed cap Market cap 200-Day High 65,194.15 mn 1,202,905.77 mn Payout (%) Div Yield (%) 200-Day Low 55.94 4.93 -
Attock Petroleum
National Refinery
Alert ! Unusual Movements
11,588.24 11,671.92 11,371.67 h196.67
INDUSTRIAL TRANSPORTATION
Performance of SR Oil and Gas Index Open 1,531.25 Turnover 34,878,040 P/E (x) 11.34
KSE 30 Index Current High Low Change
8,359.31 8,399.69 8,217.38 h117.17
Company Abbott (Lab) Ferozsons (Lab) GlaxoSmithKline Highnoon (Lab) Searle Pak
Paid up Cap(mn) 979 250 1707 165 306
PE
Open
9.62 107.90 6.58 89.08 15.86 82.28 8.02 27.36 5.40 61.00
High
High Low 1,016.32 966.88 Total cos Defaulter cos P/BV (x) ROE (%) 1.74 22.31 Low
Close Chg
112.50 107.30 109.74 1.84 90.50 86.00 87.13 -1.95 89.98 82.25 88.19 5.91 29.50 27.05 28.94 1.58 62.75 60.00 60.01 -0.99
Close 997.07 Listed cap 3,904.20 mn Payout (%) 44.54
Volume 99637 20628 743221 64013 25373
Change % Change 27.14 2.80 Market cap 200-Day High 33,646.53 mn Div Yield (%) 200-Day Low 5.71 -
Last 60 days High Low 112.50 113.00 89.98 29.50 64.50
85.10 82.20 66.50 23.50 59.50
2010 Div BR (%) (%) 20 30
20B -
2011 Div BR (%) (%) -
-
Fundamental Highlights As on Dec 31, 2009
Technical Analysis RSI (14-day)
44.09
Total Assets (Rs in mn)
MA (10-day)
2.66
Total Equity (Rs in mn)
MA (100-day)
2.72
Revenue (Rs in mn)
MA (200-day)
2.97
Interest Expense
1st Support
2.58
Loss after Taxation
2nd Support
2.53
EPS 09 (Rs)
1st Resistance
2.70
Book value / share (Rs)
2nd Resistance
2.77
PE 10 E (x)
Pivot
2.65
PBV (x)
68,664.34 196.91 5,913.32 5,855.52 (2,902.91) (3.224) 0.22 11.98
SILK closed down -0.05 at 2.62. Volume was 44 per cent below average and Bollinger Bands were 44 per cent narrower than normal. The company's loss after taxation stood at Rs700.335 million which translates into a Loss Per Share of Rs0.32 for the nine months of current calendar year (9MCY10). SILK is currently 11.8 per cent below its 200-day moving average and is displaying a downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect volume flowing into and out of SILK at a relatively equal pace. Trend forecasting oscillators are currently bearish on SILK.
Nishat (Chunian) Limited
Fundamental Highlights As on Jun 30, 2010
Technical Analysis RSI (14-day)
53.60
Total Assets (Rs in mn)
MA (10-day)
22.62
Total Equity (Rs in mn)
MA (100-day)
19.45
Revenue (Rs in mn)
MA (200-day)
18.99
Interest Expense
14,251.88
1st Support
22.40
Profit after Taxation
2nd Support
22.10
EPS 10 (Rs)
1st Resistance
23.10
Book value / share (Rs)
2nd Resistance
23.50
PE 11 E (x)
1.89
Pivot
22.80
PBV (x)
0.85
4,432.51 13,343.54 1,101.05 931.47 7.89 26.79
NCL closed up 0.07 at 22.72. Volume was 13 per cent below average and Bollinger Bands were 51 per cent narrower than normal. The company's profit after taxation stood at Rs477.454 billion which translates into an Earning Per Share of Rs3.01 for the 1st quarter of current fiscal year (1QFY11). NCL is currently 19.6 per cent above its 200-day moving average and is displaying a downward trend. Volatility is extremely low when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into NCL (mildly bullish). Trend forecasting oscillators are currently bearish on NCL.
BOOK CLOSURES Company
From
To
Atlas Bank BOC Pakistan Buxly Paints # TRG Pakistan Shadman Cotton Mills # Kohinoor Mills # Mybank Ltd. # Summit Bank # Ellcot Spng Mills # Prosperity Weaving Mills # Mehran Sugar Mills Dawood Lawrencepur # Habib Sugar Mills Lakson Tobacco # Nagina Cotton Mills # Sindh Abadgar's Sugar Mills Shahtaj Sugar Mills Fecto Sugar Mills Al-Noor Sugar Mills Pangrio Sugar Mills Thal Ind Corp Mirza Sugar Mills
03-Jan 11-Jan 11-Jan 12-Jan 12-Jan 13-Jan 13-Jan 13-Jan 14-Jan 14-Jan 14-Jan 15-Jan 15-Jan 18-Jan 19-Jan 19-Jan 20-Jan 22-Jan 22-Jan 22-Jan 22-Jan 22-Jan
10-Jan 17-Jan 19-Jan 20-Jan 18-Jan 20-Jan 19-Jan 19-Jan 20-Jan 20-Jan 21-Jan 21-Jan 29-Jan 25-Jan 25-Jan 28-Jan 01-Feb 29-Jan 02-Feb 31-Jan 28-Jan 31-Jan
D/B/R 25.25(B) 10 50 10 15 10
INDICATIONS # Extraordinary General Meeting
Spot AGM/Date 24-Dec 07-Jan 14-Jan 14-Jan
17-Jan 19-Jan 20-Jan 18-Jan 20-Jan 20-Jan 20-Jan 20-Jan 20-Jan 21-Jan 21-Jan 29-Jan 25-Jan 25-Jan 28-Jan 27-Jan 29-Jan 28-Jan 31-Jan 28-Jan 31-Jan
7
Monday, January 3, 2011
FIXED LINE TELECOMMUNICATION Performance of SR Fixed Line Telecommunication Index Open 1,143.89 Turnover 16,240,657 P/E (x) 6.22 Paid up Cap(mn)
Company
High Low 1,177.29 1,127.89 Total cos Defaulter cos P/BV (x) ROE (%) 0.80 12.84
Close 1,148.83 Listed cap 50,077.79 mn Payout (%) 62.56
PE
Open
High
Low
Close Chg
Volume
Pakistan Telecomm Co A 37740 12.95 Telecard 3000 0.66 WorldCall Tele 8606 -
19.27 2.25 2.96
19.89 2.33 3.04
19.07 2.20 2.75
19.42 0.15 2.21 -0.04 2.90 -0.06
12092771 1224724 2919885
Paid up Cap(mn)
Altern Energy Genertech Hub Power Japan Power KESC Kohinoor Energy Kohinoor Power Kot Addu Power Nishat Chunian Power Ltd Nishat Power Ltd Sitara Energy Ltd Southern Electric Tri-star Power XD
PE
3426 22.82 198 11572 6.85 1560 7932 1695 12.10 126 2.82 8803 4.94 3673 3.53 3541 26.18 191 3.45 1367 150 -
Last 60 days High Low
2010 Div BR (%) (%)
20.12 2.69 3.45
17.5 1 -
18.21 1.95 2.32
2011 Div BR (%) (%)
-
-
-
204 6.67 369 6.13 279 7.61 457 7.04 1250 400 3.35 718 17.98 791 15.99 3000 41.67 250 1.69 350 303 6.17 252 4.05 200 253 4.38 400 2.23 210 -
Open
High Low 1,311.37 1,258.79 Total cos Defaulter cos P/BV (x) ROE (%) 1.30 9.35
High
9.00 0.87 36.90 1.77 2.71 20.49 4.83 40.48 15.41 15.44 18.75 2.30 1.11
10.04 1.10 37.72 2.00 2.87 22.31 5.00 42.00 16.50 16.49 18.99 2.35 1.08
Low 9.01 0.80 36.55 1.56 2.65 20.00 4.02 40.41 15.06 15.26 18.50 2.11 0.87
Close Chg 10.04 0.81 37.41 1.69 2.81 21.78 4.62 40.68 16.09 16.23 18.50 2.23 1.05
1.04 -0.06 0.51 -0.08 0.10 1.29 -0.21 0.20 0.68 0.79 -0.25 -0.07 -0.06
Close 1,291.97 Listed cap 95,369.29 mn Payout (%) 104.13
Last 60 days High Low
Volume 41000 139507 6691331 7293269 7453310 143595 52001 913394 4322003 7680351 16773 851607 17697
11.25 1.45 38.10 2.25 3.29 25.25 5.69 42.00 16.50 16.70 23.49 2.80 1.75
Open 907.65 Turnover 122,968 P/E (x) 10.50
Change % Change 24.12 1.90 Market cap 200-Day High 105,413.59 mn Div Yield (%) 200-Day Low 7.48 -
9.00 0.60 32.75 1.20 1.98 17.95 4.01 38.35 10.75 11.56 17.98 2.05 0.65
High Low 1,558.81 1,456.18 Total cos Defaulter cos P/BV (x) ROE (%) 1.08 11.41
Close 1,526.89 Listed cap 12,202.80 mn Payout (%) 66.79
2010 Div BR (%) (%) 50 15 50 20 -
2011 Div BR (%) (%)
7.8R -
-
-
Paid up Cap(mn)
Company
EFU Life Assurance New Jub Life Insurance
PE
Open
High
Low
Close Chg
Volume
Last 60 days High Low
5491 8390
7.96 3.23
27.27 21.27
27.79 21.60
26.25 20.02
26.74 -0.53 21.42 0.15
475896 2106281
34.75 30.23
26.25 19.95
2010 Div BR (%) (%) 20 15
2011 Div BR (%) (%)
25B
-
-
BANKS Performance of SR Banks Index Open High Low Close 1,150.65 1,211.04 1,143.97 1,191.64 Turnover Total cos Defaulter cos Listed cap 141,979,436 - 257,548.02 mn P/E (x) P/BV (x) ROE (%) Payout (%) 8.51 1.19 13.94 40.49 PE
Open
Allied Bank Limited 7821 6.82 64.25 Askari Bank 6427 8.42 17.40 Atlas Bank 5001 1.73 Bank Alfalah 13492 14.37 10.74 Bank AL-Habib 7322 7.81 35.12 Bank Of Khyber 5004 5.73 4.08 Bank Of Punjab 5288 9.75 BankIslami Pak 5280 907.50 3.28 Faysal Bank 7309 5.03 14.54 Habib Bank Ltd 10019 7.62 116.41 Habib Metropolitan Bank 8732 8.87 27.80 JS Bank Ltd 8150 2.57 KASB Bank Ltd 9509 2.42 MCB Bank Ltd 7602 10.13 224.32 Meezan Bank 6983 8.94 16.19 Mybank Ltd 5304 2.48 National Bank 13455 6.71 72.05 Network Mic Bank 300 1.60 NIB Bank 40437 2.91 Royal Bank Ltd 17180 4.84 Samba Bank 14335 1.99 Silkbank Ltd 26716 2.67 Soneri Bank 6023 7.80 Stand Chart Bank 38716 13.23 8.30 United Bank Ltd 12242 8.02 65.28
High
Low
Close Chg
71.24 64.00 70.15 5.90 17.89 17.02 17.69 0.29 1.84 1.60 1.63 -0.10 11.50 10.51 11.21 0.47 37.63 35.00 36.26 1.14 4.50 4.00 4.30 0.22 10.11 9.56 9.81 0.06 3.75 3.13 3.63 0.35 16.47 14.50 15.59 1.05 125.29 116.30 121.94 5.53 29.28 27.30 28.99 1.19 2.60 2.42 2.58 0.01 2.62 2.44 2.51 0.09 230.15 223.52 228.54 4.22 17.00 15.30 16.90 0.71 3.10 2.40 2.81 0.33 77.97 71.90 76.82 4.77 1.80 1.60 1.60 0.00 3.14 2.70 2.95 0.04 4.98 4.10 4.28 -0.56 2.09 1.93 1.96 -0.03 2.79 2.55 2.62 -0.05 8.48 7.55 8.31 0.51 8.85 8.25 8.60 0.30 70.65 64.76 68.23 2.95
Last 60 days High Low
Volume 2783210 4320272 628575 25756401 2471549 420860 6703920 2477845 5419052 3359854 381329 516160 212956 3135067 1978214 3214405 37715175 20000 11676987 702809 333837 7315630 1705097 173775 18556457
Change % Change 40.99 3.56 Market cap 200-Day High 724,816.54 mn Div Yield (%) 200-Day Low 4.76 -
71.24 18.10 2.55 11.50 37.63 4.70 10.59 3.88 17.10 125.29 29.28 3.00 2.90 230.15 17.00 3.10 77.97 2.40 3.18 8.10 2.65 3.08 8.48 9.04 70.65
50.00 14.23 1.50 8.20 30.75 2.57 8.00 2.77 13.01 93.00 18.02 2.25 2.16 187.26 14.05 1.90 62.58 0.62 2.50 3.91 1.51 2.50 5.05 6.15 51.50
2010 Div BR (%) (%) 20 - 20B - 66R 55 -63.46R 10 -
-
-
NON LIFE INSURANCE Open 772.42 Turnover 6,771,429 P/E (x) 13.03 Paid up Cap(mn)
Adamjee Insurance
47798 31854 22160 65607 274918 34572 23694 26894 2677535 16597 196947 56592 6895 6131 34989 21455 11340
12.75 39.90 70.75 12.00 48.63 14.45 99.88 60.90 17.20 8.50 8.30 12.00 7.70 14.53 8.17 7.35 3.75
10.00 28.52 47.50 9.42 34.76 10.04 70.30 52.25 12.86 5.50 1.85 8.00 6.15 11.65 6.01 4.55 2.21
High Low 796.30 767.60 Total cos Defaulter cos P/BV (x) ROE (%) 0.68 5.20
Close 782.95 Listed cap 11,111.34 mn Payout (%) 79.54
Change % Change 10.53 1.36 Market cap 200-Day High 48,508.92 mn Div Yield (%) 200-Day Low 6.10 -
PE
Open
High
Low
Close Chg
Volume
Last 60 days High Low
1237 25.36
86.32
89.50
85.60
87.50 1.18
3214674
91.75
63.05
2010 Div BR (%) (%) 10
2011 Div BR (%) (%)
-
-
-
High Low 948.00 865.83 Total cos Defaulter cos P/BV (x) ROE (%) 3.75 3.85
Close 909.37 Listed cap 2,290.72 mn Payout (%) 355.53
10 10 -
25R 10B 20B -
-
UPTO 5000 VOLUME
-
Symbols SHDT KCL PCAL MEHT TRPOL KML OTSU ATEL SFWF TSML PAKD FASM SNAI JDMT PGCL DNCC SASML PTEC YOUW TSMF SAPL BATA JVDC GLPL CLOV DKTM QUET GATI SKRS MSOT DCM LIBM GAMON DIIL JOPP COLG MQTM AASM LEUL ANSS KHSM GRAYS HINO FTSM NESTLE HUSS BCL ESBL MTIL MIRKS KSTM ALICO HMIM CLIM IDEN MFFL CSIL FPJM BIFO TSBL BWHL FIBLM FECTC MUBD HAFT SUTM TAJT ARM ARPAK LPGL BWCL ISIL MFTM SCL JUBS POAF TOWL BFMOD TICL EMCO MERIT PSEL AABS SAPT PECO ASFL TATM WYETH GSPM MOON GUSM HAJT SALT SHJS GUTM UPFL DINT FZTM FNEL SJTM BAFS KOHS TREI AKGL PHDL DADX FECS DATM RCML CPMFI NPSM ICL STML WAZIR PAKL SLCL BHAT DFSM DWTM ILTM MUBT SFL SSOM ACCM FZCM ISTM LMSM KHTC DREL SGPL PGLC
Change % Change 1.72 0.19 Market cap 200-Day High 10,334.73 mn Div Yield (%) 200-Day Low 3.65 -
PE
Open
High
Low
Close Chg
Volume
Last 60 days High Low
850 42.86 627 30.93
75.00 46.00
77.26 49.30
72.00 43.55
75.44 0.44 46.09 0.09
53163 66051
86.95 49.31
2010 Div BR (%) (%)
57.15 39.95
-
2011 Div BR (%) (%)
-
-
-
Performance of SR Financial Services Index Open 410.74 Turnover 19,695,029 P/E (x) 11.11 Paid up Cap(mn)
AMZ Ventures Arif Habib Limited Dawood Equities Grays Leasing IGI Investment Bank Invest and Fin Sec Invest Bank Ist Cap Securities Ist Dawood Bank Jah Siddiq Co JOV and CO JS Global Cap JS Investment Orix Leasing Pervez Ahmed Sec Saudi Pak Leasing Sec Inv Bank Stand Chart Leasing Trust Inv Bank
High Low 421.73 403.15 Total cos Defaulter cos P/BV (x) ROE (%) 0.27 0.91
PE
Open
High
Low
225 1.48 450 13.27 250 215 2121 18.31 600 719.00 2849 3166 626 0.68 7633 508 500 7.58 1000 27.83 821 5.05 775 452 514 16.72 978 5.92 586 2.75
0.70 26.37 1.95 1.12 2.89 6.80 0.83 3.50 1.80 11.22 3.93 28.19 6.60 6.67 2.25 0.81 4.58 2.85 1.90
0.80 27.58 2.07 2.40 3.00 7.98 0.95 3.84 1.94 11.59 4.48 29.25 6.85 7.09 2.28 0.70 4.99 3.00 1.80
0.53 25.51 1.78 0.43 2.80 6.66 0.61 3.41 1.66 10.81 3.91 28.00 6.41 6.51 2.06 0.50 3.41 2.45 1.75
Close Chg 0.65 26.01 1.80 2.11 2.93 7.19 0.78 3.56 1.89 10.90 4.00 28.21 6.68 6.87 2.14 0.55 4.18 2.84 1.76
-0.05 -0.36 -0.15 0.99 0.04 0.39 -0.05 0.06 0.09 -0.32 0.07 0.02 0.08 0.20 -0.11 -0.26 -0.40 -0.01 -0.14
Close 406.57 Listed cap 30,336.44 mn Payout (%) 99.56
Volume 135604 444806 50155 23658 310987 34328 86286 131482 131370 15433970 1481397 8479 442984 6518 660565 24492 58276 12878 17749
Change % Change -4.16 -1.01 Market cap 200-Day High 19,069.80 mn Div Yield (%) 200-Day Low 3.31 -
Last 60 days High Low
2010 Div BR (%) (%)
0.95 28.95 2.69 2.90 3.00 8.88 0.97 4.80 2.40 14.05 5.38 34.90 7.59 7.29 2.70 0.90 4.99 3.00 2.98
11.5 10 -
0.45 24.40 1.51 0.18 1.35 6.16 0.44 3.16 1.05 8.80 1.96 24.25 5.10 4.70 1.41 0.46 1.65 2.05 1.24
2011 Div BR (%) (%)
20B 10B -
-
-
EQUITY INVESTMENT INSTRUMENTS
2011 Div BR (%) (%)
Performance of SR Non Life Insurance Index
Company
0.07 0.05 4.96 0.13 0.57 -0.04 -0.25 1.33 0.23 0.06 1.31 -0.08 -0.50 1.30 0.00 -0.15 0.08
FINANCIAL SERVICES
Company
Change % Change -5.90 -0.38 Market cap 200-Day High 32,653.77 mn Div Yield (%) 200-Day Low 7.07 -
Paid up Cap(mn)
Paid up Cap(mn)
11.00 38.53 67.00 11.27 44.04 14.05 96.89 59.33 16.25 7.16 8.01 11.41 6.60 13.40 7.05 6.80 3.38
LIFE INSURANCE
Open 1,532.78 Turnover 2,582,177 P/E (x) 9.45
Company
10.66 37.44 61.51 10.82 43.50 13.36 94.25 57.11 15.96 6.63 6.31 11.20 6.50 11.65 6.95 6.01 2.81
Performance of SR Life Insurance Index
GAS WATER AND MULTIUTILITIES
Sui North Gas Sui South Gas
12.00 39.90 70.75 11.38 45.40 14.40 99.88 59.59 16.65 8.50 8.14 12.00 7.10 13.49 7.10 7.20 3.75
Performance of SR Electricity Index
Performance of SR Gas Water and Multiutilities Index
Company
10.93 38.48 62.04 11.14 43.47 14.09 97.14 58.00 16.02 7.10 6.70 11.49 7.10 12.10 7.05 6.95 3.30
ELECTRICITY Open 1,267.85 Turnover 35,616,813 P/E (x) 13.91 Company
Change % Change 4.94 0.43 Market cap 200-Day High 79,323.04 mn Div Yield (%) 200-Day Low 10.07 -
Ask Gen Insurance Atlas Insurance Central Insurance XB Century Insurance EFU General Insurance Habib Insurance IGI Insurance New Jub Insurance Pak Reinsurance Pak Gen Insurance PICIC Ins Ltd Premier Insurance Reliance Insurance XB Shaheen Insurance Silver Star Insurance United Insurance XB Universal Insurance
Performance of SR Equity Investment Instruments Index Open 1,304.15 Turnover 28,272,034 P/E (x) 19.79 Paid up Cap(mn)
Company
1st Fid Leasing AL-Meezan Mutual F. AL-Noor Modaraba Atlas Fund of Funds B R R Guardian Mod. Constellation Modaraba 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 NAMCO Balanced Fund Nat Bank Modaraba Pak Modaraba Paramount Modaraba PICIC Energy Fund PICIC Growth Fund PICIC Inv Fund Prud Modaraba 1st Stand Chart Modaraba Trust Modaraba U D L Modaraba
264 1375 210 525 780 65 200 113 524 581 760 397 1008 3180 1186 283 1200 184 1000 250 125 59 1000 2835 2841 872 454 298 264
High Low 1,378.17 1,291.49 Total cos Defaulter cos P/BV (x) ROE (%) 0.44 2.21
PE
Open
High
Low
10.88 6.93 4.83 1.85 4.11 2.84 1.43 3.45 9.38 0.63 2.26 2.75 5.78 69.38 17.04 1.21 7.21 15.10 6.45 6.09 4.80 6.88 1.91 8.49 7.28 2.50 4.56 3.37 1.75
1.41 8.04 3.25 4.30 1.75 1.09 0.62 2.80 1.68 2.00 3.13 8.09 6.64 5.21 4.62 1.85 7.28 1.29 3.70 6.70 1.23 9.23 6.60 12.55 6.09 1.00 9.20 1.65 5.90
1.84 8.49 3.25 4.74 2.79 1.99 0.87 2.98 1.75 2.10 3.25 8.49 7.00 5.60 4.90 1.88 7.68 1.55 4.24 7.19 1.99 9.30 6.98 13.40 6.74 1.14 9.55 2.00 6.20
1.35 7.81 2.76 3.84 1.55 1.12 0.57 2.75 1.49 1.97 3.01 7.50 6.70 4.61 4.50 1.26 7.25 1.33 3.04 6.00 0.46 8.60 6.40 12.52 6.00 0.91 9.07 1.75 6.00
Close 1,350.17 Listed cap 29,771.58 mn Payout (%) 104.74
Last 60 days High Low
Close Chg
Volume
1.74 8.31 2.90 4.58 1.81 1.25 0.57 2.76 1.50 2.00 3.16 8.24 6.70 5.55 4.77 1.65 7.50 1.51 4.13 6.58 0.96 8.80 6.56 13.25 6.41 1.10 9.31 1.75 6.15
8349 2.00 549997 8.59 5099 3.80 39178 4.74 49700 2.79 10982 2.34 42057 1.10 7853 3.09 227887 2.37 112288 2.28 477593 3.88 19253 8.49 4113153 7.00 12248287 5.60 3680031 4.90 127402 2.23 720219 8.25 42508 2.18 55718 4.24 260758 7.75 13128 2.00 6860 9.45 117223 7.18 1379135 13.40 3753693 6.74 140555 1.19 12259 10.00 14017 3.45 26782 6.99
0.33 0.27 -0.35 0.28 0.06 0.16 -0.05 -0.04 -0.18 0.00 0.03 0.15 0.06 0.34 0.15 -0.20 0.22 0.22 0.43 -0.12 -0.27 -0.43 -0.04 0.70 0.32 0.10 0.11 0.10 0.25
Change % Change 46.01 3.53 Market cap 200-Day High 18,215.23 mn Div Yield (%) 200-Day Low 8.22 -
1.05 5.85 2.10 2.70 0.90 0.90 0.16 1.73 0.86 1.30 2.56 5.11 5.80 2.65 2.31 1.26 5.15 0.56 2.26 4.50 0.30 7.57 4.52 7.90 3.50 0.81 7.81 1.15 4.71
2010 Div BR (%) (%) 18.5 5 2.2 0 1.2 5 17 11 21 5 10 2.8 15.5 15 10 3 18 10 20 10 3 17 5 12.5
2011 Div BR (%) (%)
-
-
-
Open 13.25 10.50 53.95 59.00 1.15 2.29 34.03 17.01 6.28 34.00 81.49 33.50 47.88 16.01 18.40 2.87 7.10 2.20 1.74 1.88 139.56 687.14 59.25 61.08 69.00 2.50 36.21 44.94 2.90 20.25 1.71 58.59 1.50 10.55 8.02 944.50 8.25 27.72 2.00 5.00 1.99 51.97 131.41 1.65 2450.00 12.40 43.00 2.74 0.56 51.25 0.89 18.95 0.90 5.50 12.00 66.13 4.00 1.95 54.81 1.75 30.45 2.35 7.01 3.00 18.00 38.01 0.49 14.65 14.90 15.50 21.15 80.60 1.01 87.73 3.50 10.45 8.10 3.50 90.00 2.95 23.60 177.00 94.90 100.00 249.75 3.73 36.00 1100.00 7.06 6.49 6.74 0.66 61.50 93.71 23.99 1118.04 26.38 401.90 8.50 1.48 57.95 4.50 1.99 5.50 37.00 21.01 55.00 0.48 35.00 3.55 23.00 34.34 22.08 8.75 2.60 2.00 269.99 4.20 0.00 180.57 1.00 123.85 3.52 0.78 72.71 7.10 1.25 21.15 669.00 1.50 11.00
High 13.50 11.50 55.50 60.95 1.10 2.97 34.00 18.00 7.00 34.00 81.00 32.80 48.95 17.00 22.05 2.85 9.75 2.49 1.99 1.79 145.40 696.50 60.00 62.50 78.22 3.20 38.02 45.20 3.00 20.25 1.99 62.96 2.49 13.99 9.43 960.00 9.25 33.58 2.00 5.00 1.60 52.00 137.98 1.39 2493.00 11.40 44.80 2.79 0.69 54.85 0.80 19.65 0.98 5.50 11.00 74.54 4.86 2.00 58.17 2.20 33.82 3.30 7.49 4.00 19.00 38.01 0.49 15.00 14.90 16.00 22.20 77.77 1.79 92.11 3.50 10.40 8.00 3.50 98.70 3.62 25.20 168.25 94.90 104.35 260.80 5.72 36.00 1155.00 7.58 5.60 6.99 0.94 61.90 95.00 24.00 1123.00 26.90 420.00 8.80 1.49 60.79 6.14 2.20 6.45 38.14 21.22 52.25 0.66 36.45 4.19 22.70 36.00 25.00 8.79 3.30 2.02 268.00 4.50 8.77 180.57 1.00 129.25 3.52 0.78 72.71 7.10 1.50 26.97 635.55 1.28 11.00
Low
Close
12.99 7.80 53.30 58.24 0.63 2.01 32.81 16.99 5.31 34.00 79.05 32.00 44.61 15.01 18.99 2.13 7.89 2.00 1.26 1.05 140.05 660.00 56.30 62.49 66.95 1.60 34.35 41.66 2.80 20.00 1.32 58.59 1.05 9.62 7.51 880.02 8.30 27.50 1.51 5.00 1.60 48.60 130.00 1.05 2312.94 10.99 43.10 2.26 0.38 51.01 0.55 18.00 0.72 5.50 9.00 68.00 3.91 1.24 55.10 1.70 30.11 1.79 7.00 3.00 19.00 36.11 0.37 14.65 13.90 13.61 21.10 72.42 0.80 87.73 2.56 9.10 6.00 3.27 81.26 2.31 23.90 168.16 90.20 101.00 236.78 3.73 33.00 1050.00 7.00 5.50 6.10 0.40 59.00 80.15 18.63 1048.01 25.29 375.00 8.75 0.49 57.90 5.00 1.99 5.50 33.02 18.51 47.16 0.40 35.90 2.55 22.30 34.40 22.95 8.00 2.00 1.03 260.00 4.20 8.77 180.00 0.75 129.10 3.50 0.70 70.00 6.88 1.25 22.20 610.00 1.25 10.00
13.40 7.80 54.82 58.25 0.63 2.94 32.81 17.20 5.31 34.00 79.80 32.55 46.04 16.00 22.05 2.45 9.75 2.35 1.50 1.56 142.00 689.15 59.97 62.50 73.43 3.20 37.98 42.83 3.00 20.00 1.94 62.96 1.53 12.98 9.43 923.00 8.60 33.58 1.60 5.00 1.60 49.99 131.90 1.39 2374.86 11.00 44.10 2.79 0.60 51.60 0.79 18.00 0.72 5.50 10.00 74.26 4.68 1.74 56.99 1.75 33.82 1.79 7.25 4.00 19.00 36.11 0.37 15.00 13.90 14.88 21.10 76.00 1.38 92.11 2.57 10.35 6.26 3.30 81.26 2.90 24.49 168.25 94.90 101.01 249.99 5.72 33.03 1051.70 7.00 5.50 6.89 0.94 61.90 80.15 18.63 1105.00 26.90 400.00 8.80 1.48 60.79 5.08 2.00 6.45 35.73 18.51 49.51 0.50 36.45 4.00 22.30 34.50 25.00 8.79 3.30 2.02 260.00 4.50 0.00 180.00 0.75 129.10 3.50 0.70 70.00 6.88 1.50 26.97 610.00 1.25 10.00
Change
Vol
0.15 -2.70 0.87 -0.75 -0.52 0.65 -1.22 0.19 -0.97 0.00 -1.69 -0.95 -1.84 -0.01 3.65 -0.42 2.65 0.15 -0.24 -0.32 2.44 2.01 0.72 1.42 4.43 0.70 1.77 -2.11 0.10 -0.25 0.23 4.37 0.03 2.43 1.41 -21.50 0.35 5.86 -0.40 0.00 -0.39 -1.98 0.49 -0.26 -75.14 -1.40 1.10 0.05 0.04 0.35 -0.10 -0.95 -0.18 0.00 -2.00 8.13 0.68 -0.21 2.18 0.00 3.37 -0.56 0.24 1.00 1.00 -1.90 -0.12 0.35 -1.00 -0.62 -0.05 -4.60 0.37 4.38 -0.93 -0.10 -1.84 -0.20 -8.74 -0.05 0.89 -8.75 0.00 1.01 0.24 1.99 -2.97 -48.30 -0.06 -0.99 0.15 0.28 0.40 -13.56 -5.36 -13.04 0.52 -1.90 0.30 0.00 2.84 0.58 0.01 0.95 -1.27 -2.50 -5.49 0.02 1.45 0.45 -0.70 0.16 2.92 0.04 0.70 0.02 -9.99 0.30 0.00 -0.57 -0.25 5.25 -0.02 -0.08 -2.71 -0.22 0.25 5.82 -59.00 -0.25 -1.00
5000 4880 4785 4602 4208 4036 3922 3900 3523 3474 3277 3269 3179 3136 3096 3004 2947 2853 2653 2533 2506 2496 2452 2398 2385 2359 2343 2281 2000 2000 1820 1810 1690 1689 1674 1653 1556 1538 1533 1500 1500 1487 1442 1366 1177 1097 1055 1054 1050 1047 1005 1002 1001 1000 975 903 777 713 643 585 582 506 501 500 500 500 500 500 497 490 489 454 429 426 400 400 396 335 305 280 264 223 202 201 195 188 173 162 156 144 102 102 101 84 72 50 47 45 40 36 35 13 11 10 8 6 6 6 6 6 5 3 3 2 2 2 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0
BOARD MEETINGS
National Bank of Pakistan
KSE 100 INDEX
Bank Al-Falah Ltd
Fauji Fertiliser Bin Qasim Ltd
Company
Date
Time
JDW Sugar Mills Ltd Sanghar Sugar Mills Ltd Al-Abbas Sugar Mills Ltd Haseeb Waqas Quetta Textile Mills Ltd Baba Farid Sugar Mills Ltd Husein Sugar Mills Ltd Dewan Sugar Mills Ltd Alfalah GHP Principal Protected Fund Alfalah GHP Principal Protected Fund II Noon Sugar Mills Ltd Mitchell's Fruit Farms Limited Shakarganj Mills Limited
03-Jan 03-Jan 03-Jan 03-Jan 04-Jan 04-Jan 04-Jan 05-Jan 06-Jan 06-Jan 06-Jan 06-Jan 06-Jan
11.00 11.30 5.30 9.00 11.00 11.30 11.30 3.30 4.00 4.00 12.30 11.00 12.30
TECHNICAL LEVELS
Technical Outlook Technical Analysis RSI (14-day) MA (5-day)
Brokerage House
Leverage Position
77.91
Support 1
11,973.80
11,939.54
Support 2
11,925.20
Fair Value
Rs Recommendations
82.1
Buy
*Arif Habib Ltd
61.96
Neutral
AKD Securities Ltd
92.3
Positive
TFD Research
*Arif Habib Ltd AKD Securities Ltd TFD Research
Technical Outlook
MA (10-day)
11,886.61
Resistance 1
12,077.15
MA (100-day)
10,562.09
Resistance 2
12,131.85
Technical Analysis
MA (200-day)
10,319.90
Pivot
12,028.50
RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median
KSE 100 INDEX closed up 164.29 points at 12,022.46. Volume was 49 per cent above average and Bollinger Bands were 3 per cent wider than normal. As far as resistance level is concern, the market will see major 1st resistance level at 12,077.15 and 2nd resistance level at 12,131.85, while
Free Float Shares (mn) 318.44 Free Float Rs (mn) 24,462.89 CFS Shares (mn) N/A CFS Rs (mn) N/A CFS Rate N/A ** NOI Rs (mn) 187.01
Index will continue to find its 1st support level at 11,973.80 and 2nd sup- * Target price for Jun-11 & **Net Open Interest in future market NBP closed up 4.77 at 76.82. Volume was 174 per cent above average (trending) and Bollinger Bands were 25 per cent wider than normal. and is displaying an upward trend. Volatility is relatively normal as compared NBP is currently 13.5 per cent above its 200-day moving average and is to the average volatility over the last 10 trading sessions. Volume indicators displaying an upward trend. Volatility is relatively normal as compared to reflect moderate flows of volume into INDEX (mildly bullish). Trend forecasting the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into NBP (bullish). Trend forecasting oscillators are currently bullish on INDEX. Momentum oscillator is currently oscillators are currently bullish on NBP. Momentum oscillator is currently indicating that INDEX is currently in an overbought condition. indicating that NBP is currently in an overbought condition. KSE 100 INDEX is currently 16.5 per cent above its 200-day moving average
Fair Value
Rs Recommendations
Brokerage House
Fair Value
Rs Recommendations
Brokerage House
42
Buy
AKD Securities Ltd
43.29
Buy
TFD Research
TFD Research
78.44
Positive
TFD Research
36.85
Positive
306.04 20,881.45 N/A N/A N/A 16.30
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median
53.00 30.27 26.99 26.95 30.03 30.11
14.01
Positive
Technical Outlook
Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)
326.94 11,681.51 N/A N/A N/A 90.27
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median
182.55 5,507.52 N/A N/A N/A 42.52
Leverage Position
65.19 10.90 9.21 9.80 11.06 11.01
Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)
674.58 7,562.02 N/A N/A N/A N/A
Engro Corporation
Fair Value 59.97 74.2
Rs Recommendations
Brokerage House
Buy
*Arif Habib Ltd
Positive
AKD Securities Ltd
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median
66.18 62.84 51.67 51.31 63.30 63.83
Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)
Fair Value
Rs Recommendations
176
Sell
238.8
Buy
208.75
Neutral
Technical Outlook
Technical Outlook
Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)
TFD Research
TFD Research
Technical Outlook
Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)
Negative
Nishat Mills Ltd
*Arif Habib Ltd
70.85 65.99 57.05 56.98 67.07 67.71
Accumulate
* Target price for Jun-11 & **Net Open Interest in future market
AKD Securities Ltd
Technical Outlook
10.25
BAFL closed up 0.47 at 11.21. Volume was 47 per cent below average and Bollinger Bands were 18 per cent wider than normal. BAFL is currently 14.4 per cent above its 200-day moving average and is displaying an upward trend. Volatility is high as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into BAFL (bullish). Trend forecasting oscillators are currently bullish on BAFL.
Buy
Technical Analysis
AKD Securities Ltd
Buy
* Target price for Jun-11 & **Net Open Interest in future market
Accumulate
RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median
Accumulate
32.06
13
FFBL closed down -0.72 at 35.73. Volume was 67 per cent above average and Bollinger Bands were 23 per cent narrower than normal. FFBL is currently 18.9 per cent above its 200-day moving average and is displaying an upward trend. Volatility is high as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into FFBL (mildly bullish). Trend forecasting oscillators are currently bullish on FFBL.
56.82
72.5
*Arif Habib Ltd
54.03 36.24 30.86 30.06 36.59 36.87
AKD Securities Ltd
*Arif Habib Ltd
Rs Recommendations
Sell
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median
Fair Value
Rs Recommendations
34.7
29.1
Dera Ghazi Khan Cement Co Ltd
United Bank Ltd
Brokerage House
Fair Value
Technical Outlook
Leverage Position
78.92 73.11 66.48 68.33 74.33 74.94
port level at 11,925.20.
Brokerage House
Brokerage House
175.80 11,281.08 N/A N/A N/A 98.61
Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median
57.14 194.57 179.98 185.11 193.48 195.07
Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)
147.48 28,583.40 N/A N/A N/A 152.66
* Target price for Jun-11 & **Net Open Interest in future market
* Target price for Jun-11 & **Net Open Interest in future market
* Target price for Jun-11 & **Net Open Interest in future market
* Target price for Jun-11 & **Net Open Interest in future market
UBL closed up 2.95 at 68.23. Volume was 266 per cent above average (trending) and Bollinger Bands were 26 per cent wider than normal. UBL is currently 19.7 per cent above its 200-day moving average and is 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 UBL (mildly bullish). Trend forecasting oscillators are currently bullish on UBL. Momentum oscillator is currently indicating that UBL is currently in an overbought condition.
DGKC closed up 0.23 at 30.17. Volume was 33 per cent above average and Bollinger Bands were 46 per cent narrower than normal. DGKC is currently 12.0 per cent above its 200-day moving average and is displaying a downward trend. Volatility is extremely low when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into DGKC (mildly bullish). Trend forecasting oscillators are currently bearish on DGKC.
NML closed up 2.47 at 64.17. Volume was 51 per cent above average and Bollinger Bands were 25 per cent narrower than normal. NML is currently 25.1 per cent above 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 moderate flows of volume into NML (mildly bullish). Trend forecasting oscillators are currently bullish on NML.
ENGRO closed down -3.32 at 193.81. Volume was 150 per cent above average (trending) and Bollinger Bands were 28 per cent wider than normal. ENGRO is currently 4.7 per cent above its 200-day moving average and is displaying an upward 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 ENGRO at a relatively equal pace. Trend forecasting oscillators are currently bullish on ENGRO.
Company 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 Al-Falah 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 56.87 3.20 2.90 77.99 69.60 69.10 51.11 61.80 60.45 51.68 24.55 24.20 46.21 25.75 25.50 60.49 86.65 85.85 67.03 17.40 17.10 37.63 9.40 9.15 62.84 331.40 328.25 59.42 123.40 122.10 65.19 11.10 10.95 67.99 3.45 3.25 52.23 9.70 9.60 53.75 2.10 2.00 53.00 29.90 29.65 55.81 2.85 2.70 40.75 2.60 2.45 49.20 43.45 42.90 46.56 72.60 69.75 57.14 191.65 189.45 62.84 15.15 14.75 47.26 4.95 4.85 54.03 35.40 35.05 73.76 124.65 123.45 66.00 120.55 119.10 64.66 37.10 36.80 66.48 143.45 142.65 48.23 250.30 248.15 50.54 3.90 3.85 47.81 1.50 1.35 48.41 2.50 2.40 44.21 10.70 10.55 57.75 40.10 39.55 62.55 2.70 2.55 65.95 13.50 13.30 51.53 75.15 74.50 72.58 227.15 225.75 44.23 2.85 2.80 78.92 76.05 75.30 53.60 22.40 22.10 58.53 18.55 17.95 52.04 2.85 2.80 55.80 1.95 1.90 66.18 63.40 62.60 68.14 170.15 169.45 38.04 2.70 2.65 45.17 2.05 1.95 46.05 2.20 2.15 39.60 6.55 6.40 66.16 293.25 290.50 66.17 215.65 214.20 43.54 69.25 68.70 64.73 293.10 290.95 53.01 19.15 18.95 64.32 207.65 207.05 36.76 26.55 26.40 46.01 13.00 12.80 48.70 20.50 19.55 43.19 2.20 2.15 33.53 3.50 3.40 70.85 67.70 67.10 53.09 2.75 2.65
1st
2nd
Resistance 3.75 4.00 70.95 71.75 64.00 64.85 25.50 26.05 26.50 27.00 88.90 90.35 17.95 18.20 10.00 10.35 337.80 341.05 126.60 128.50 11.45 11.65 3.80 3.95 10.00 10.20 2.40 2.60 30.50 30.85 3.15 3.25 2.80 2.85 44.65 45.30 77.75 80.10 196.00 198.15 16.25 16.90 5.15 5.30 36.40 37.05 127.65 129.45 124.30 126.70 37.70 38.00 145.60 146.95 254.30 256.15 4.15 4.25 1.90 2.15 2.65 2.70 11.15 11.45 41.60 42.55 2.90 3.00 14.00 14.30 76.30 76.85 230.05 231.55 2.95 3.00 77.75 78.75 23.10 23.50 19.55 19.95 3.05 3.20 2.05 2.15 65.35 66.60 171.65 172.45 2.80 2.85 2.25 2.35 2.30 2.35 6.90 7.05 299.75 303.50 219.25 221.40 70.85 71.85 297.85 300.50 19.75 20.15 208.80 209.35 26.85 27.00 13.65 14.05 21.95 22.50 2.30 2.35 3.70 3.80 68.85 69.50 3.00 3.10
Pivot 3.45 70.45 62.65 25.15 26.25 88.10 17.65 9.75 334.65 125.30 11.30 3.60 9.90 2.30 30.25 3.00 2.65 44.10 74.95 193.80 15.80 5.10 36.05 126.45 122.90 37.40 144.80 252.15 4.05 1.75 2.55 11.00 41.05 2.80 13.80 75.65 228.65 2.90 77.00 22.80 18.95 3.00 2.00 64.60 170.95 2.75 2.15 2.25 6.70 297.00 217.80 70.30 295.75 19.55 208.20 26.70 13.40 21.05 2.25 3.60 68.30 2.90
CVS to buy Universal's Medicare unit for $1.25bn 8
Monday, January 3, 2011
Million families set to be life-insured WASHINGTON: AIG CEO Edward Liddy interacts with protesters as he arrives to testify before the House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises on Capitol Hill. -Reuters
sues AIG, Chartis unit sign Allstate BofA and Mozilo over $4.3bn credit pact Countrywide
CHARLOTTE: Bailed-out insurer American International Group took another step toward winding down its US government support on Monday by securing $4.3 billion of bank credit lines, and company shares surged. AIG's shares closed up 9.3 per cent, or $5.05, to $59.38 on the New York Stock Exchange. The price was a two-year high for the stock, which was posting its largest one-day gain since rising 12 per cent on December 9. AIG and its property insurance unit Chartis Inc agreed to three separate credit facilities with banks, partially replacing credit lines from the Federal Reserve Bank of New York, AIG said in regulatory filings. "We believe we are close enough to completing our recapitalization plan that we can see the finish line," said Robert Benmosche, AIG'schief executive, in a prepared statement. JPMorgan Chase & Co, Bank of America Corp, and Citigroup Inc were joint lead arrangers for the three facili-
losses
ties. AIG said in a prepared release that 36 banks agreed to participate in the credit facilities. AIG signed two credit agreements worth $1.5 billion each, one for three years and another for 364 days, it said in a regulatory filing. Separately, Chartis signed a $1.3 billion letter of credit and reimbursement agreement with its lenders. The new credit facilities will be used once the previously announced recapitalization plan with the US Treasury Department and the New York Fed is closed, effectively ending a portion of the government's support of the insurance giant issued at the height of the
financial crisis in the fall of 2008. The new private sector credit line is not a dollar-for-dollar replacement of the Fed's credit line, which currently totals $21 billion. But the Fed's credit line is expected to be paid off in the first quarter 2011, according to the insurer's previously announced recapitalization plan. In total, the US government holds a $91 billion stake in AIG. The facilities come less than a month after the insurer returned to the debt market after a two-year absence, raising $2 billion in unsecured notes. -Reuters
Dai-ichi to take over Australia's Tower for $1.2bn TOKYO: Dai-ichi Life Insurance Co will take full control of Tower Australia Group Ltd for $1.2 billion in cash, the latest in overseas acquisitions by Japanese insurers keen to move away from a stagnant home market. It is the first major purchase by Japan's No.2 life insurer since its $11 billion stock market debut in April, and is another deal for Australia's $1.2 trillion wealth management sector, which is growing thanks to compulsory private pension schemes. While Dai-ichi did not raise any money through its IPO, it said it would use it as a springboard to push into overseas markets to address concerns about its growth prospects in Japan, where the population is shrinking. It will pay A$4.00 per share for all the shares it does not own in Tower Australia, a 47 per cent premium over Tower's latest closing price. Dai-ichi is currently the biggest shareholder in the
midsized life insurer, with a 29 per cent stake. "This is a positive move," said Ryosuke Okazaki, chief investment officer at ITC Investment Partners in Tokyo. "Top management is being decisive and if it did not take steps like this there wouldn't have been any point to it becoming a listed company." The buyout ranks as the Japan's third biggest insurance acquisition after Tokio Marine Holdings, Japan's No. 2 nonlife insurer, spent $4.7 billion to buy US insurer Philadelphia Consolidated and 442 million pounds to buy Lloyd's of London insurer Kiln Plc. Overseas acquisitions made by Japanese insurers hit a peak in 2008 with 547 billion yen worth of deals struck. This year there has been 109 billion yen worth of transactions made. Dai-ichi said the deal will increase the amount of net profit derived from overseas to 9 per cent from 3 per cent. It had 55.6 billion yen net
profit for the year ended March 2010. Dai-ichi also has minority stakes in Ocean Life Insurance Co in Thailand and Star Union Dai-ichi Life Insurance Co in India. Australia's wealth management sector is the world's fourth-largest and has recently seen much M&A activity, with Australian wealth manager AMP and French insurer AXA SA launching a new $13.1 billion-plus bid for AXA Asia Pacific last month. Private equity firm Kohlberg Kravis Roberts & Co offered $1.7 billion for wealth manager Perpetual, although the deal fell through this month. Tower Australia's principal activities include life insurance, funds management, superannuation, financial planning, and investment management. Dai-ichi's shares rose 2.1 per cent to 133,600 yen in Tokyo after the Nikkei business daily first reported the deal earlier on Tuesday. -Reuters
NEW YORK: Allstate Corp has sued Bank of America Corp, its Countrywide lending unit and 17 other defendants for allegedly misrepresenting the risks on more than $700 million of mortgage securities it bought from Countrywide. Allstate, the largest publicly traded US home and auto insurer, alleged it suffered "significant losses" after Countrywide misled it into believing the securities were safe, and the quality of home loans backing them was high. The lawsuit also names several former Countrywide officials as defendants, including longtime Chief Executive Angelo Mozilo. Countrywide was the largest US mortgage lender before Bank of America bought it in July 2008. Allstate said that starting in 2003, Countrywide quietly decided to boost market share and ignore its own underwriting standards by approving any mortgage product that a competitor was willing to offer, in a "proverbial race to the bottom." Countrywide then passed on the added risks to investors who bought debt backed by the mortgages, Allstate said. "Defendants knew the loans offloaded onto Allstate were a toxic mix of loans given to borrowers that could not afford the properties, and thus were highly likely to default," said the 150page complaint filed on Monday in Manhattan federal court. Allstate seeks to undo its securities purchases, which took place between 2005 and 2007, plus unspecified damages. The Northbrook, Illinoisbased company joined Charles SchwabCorp, the Federal Home Loan Banks and others in suing lenders for allegedly misleading them about mortgage securities. Bank of America, the largest US bank by assets, last month said it faced lawsuits over $54 billion of such debt. A spokesman, Bill Halldin, in an email said the Charlotte, North Carolina-based bank is reviewing the complaint. "This unfortunately appears to be a situation where a sophisticated investor is looking for someone to blame for a downturn in the economy and losses on an investment it made," he said. Reuters
MULTAN: Chairman Benazir Income Support Programme (BISP) Farzana Raja has said that one million poor families would get life insurance facility under the BISP and termed it a new year gift from the government to the masses. Addressing a press conference at the local circuit house, she said poverty survey would begin in South Punjab from Sunday and added that health insurance cards would also be given to the poor BISP recepients before June 2011. To a question on statements from some political parties, she said that all parties should work together to solve the problems of the poor segments of the society. She said that 150,000 mobile phones have been distributed among the poor families in the first phase in the four districts including Musa Khel, Layyah, Batgram, and Larkana to enable them avail modern mobile phone banking system and get monthly financial assistance in transparent manner. She said that government did not spend money for providing mobile phones to the poor women and heaped praise on banks that contributed resources for this purpose. More BISP beneficiaries will be able to avail the facility, she added. She said that the BISP registered families would get Rs 100,000 within 15 days after the death of their family head under the life insurance scheme. BISPchief said that 140 poor families received first instalment of the financial assistance meant to initiate businesses in Lahore last Friday and added that another 120 poor families would get Rs 100,000 for the purpose in Dera Ghazi Khan on Sunday (Jan 2). She said that three million families were availing the financial assistance under BISP and a poverty survey to identify poor persons who were not included in the earlier surveys would begin shortly. She added that 350,000 families of Balochistan were included in the list of the
BISP beneficiaries. Farzana Raja said that well over 50 per cent work of the poverty survey had been completed. She said that BISP bill has been approved by the National Assembly and the Senate and no dictator would be able to terminate this programme. She said that South Punjab uplift was the priority of the government. BISP chief said that Countrywide Poverty Survey under Benazir Income Support will be completed before June, 2011 and the number of total beneficiary families would rise up to 5 millions. She said that this nationwide survey would enable these families to get benefitted from monthly cash grant, vocational training, returnable loans under Waseela-e-Haq and life Insurance. Moreover, Health Insurance facilities to registered beneficiaries would be offered soon. She said that President Asif Ali Zardari and PPP government have adopted policy of reconciliation for the sake of the people. To a query she said that I would urge to leaders of all political parties to work together for resolving the issues faced by Pakistan and its people and not get engaged in political vendetta. She appealed to the people to support the survey teams for successful completion of Poverty Survey so that people in need can be reached out and given their right at their doorstep, thus, it would be a help in achieving BISP's objective of making Pakistan a welfare state. She said that transparency and facilitation of the beneficiaries is the priority and for that purpose the whole system is established on modern technology. International aid agencies are quite appreciative of this programme as it is proving to be a comprehensive welfare mechanism for the people of Pakistan. In response to a question, she said that government will complete its tenure because it is striving hard for the wellbeing of the people of Pakistan. -Agencies
A premium week for KSE insurers Staff Reporter KARACHI: Positive activities were observed in the insurance stocks last week at the Karachi stock exchange with near 7 million shares traded together in life and non-life insurance stocks. Adamjee Insurance was the most traded stock with 3.21 million shares followed by Pak Reinsurance
with 2.67 million shares. Top gainers of the week include Central Insurance --up by Rs4.96 to close at 67-- and New Jubilee Insurance --up by Rs1.33 to close at Rs59.33. Moreover American Life Insurance fell by Rs0.95 to close at Rs18 and Reliance Insurance by Rs0.5 to close at Rs6.6 to be the major losers of the week.
JPMorgan, Barclays off MBIA split opposition WILMINGTON: JPMorgan Chase & Co and Barclays Plc dropped their opposition to MBIA Inc's plan to restructure its businesses. Shares of MBIA, the largest US bond insurer before it suffered major losses from insuring subprime and other risky securities, closed up 8.8 per cent. JPMorgan Chase and Barclays disclosed their decision not to oppose MBIA's plan to split its municipal bond insurance business from its structured finance operations in a filing with the New York State Supreme Court in Manhattan. The banks did not give a reason, and they did not immediately return calls for comment. MBIA announced the planned split in 2009, in a restructuring overseen by the state's insurance commissioner. The company has said the split would allow it to continue to guarantee municipal bonds, allowing local governments to borrow more cheaply. But opponents said it would fraudulently transfer billions from its MBIA Insurance unit, leaving it without sufficient funds to cover claims stemming from guarantees on complex financial instruments. MBIA declined to comment. More than one dozen major banks remain as plaintiffs opposing the MBIA plan, including Citigroup Inc , Morgan Stanley and HSBC Holdings Plc. -Reuters
SLIC announces 50pc adhoc allowance for staff LAHORE: State Life Insurance Corporation of Pakistan (SLIC) announced adhoc allowance rate of 50 per cent of the basic pay for officers and staff with effect July 01, 2010. SLIC sources told APP here Sunday that the staff other than officers will be paid adhoc allowance subject to submission of undertaking for prepayment developed by law division which will be filled by individuals as well as CBA representatives. Chairman Inqalab Group,Tariq Altaf Tipu thanked the corporation Chairman Shahid Aziz Siddique and members of the board of directors for announcement of adhoc allowance which he added was long awaited for subordinate staff. He said that SLIC staff will continue to work hard to meet the future challenges and contribute towards the promotion of life insurance activities in the country. -APP
PNB seeks partners for insurance business NEW DELHI: State-run Punjab National Bank (PNB) said it has invited expression of interest (EoI) from Indian and foreign companies for strategic partnerships ininsurance business. PNB is looking at both life and non-life business and is evaluating options, India's second-largest public sector lender said in a statement late on Wednesday. In June, PNB bought out the stakes of its insurance joint venture partners Principal Financial Group of Mauritius and 25 per cent of Berger Paints. -Reuters
Aussie Schlierenzauer soars up in 3rd event of four-hills ski jumping tourney in Innsbruck
9
Monday, January 3, 2011
Kaka may join Man United this mth Monitoring Desk LONDON: Brazilian superstar Kaka is likely to join Manchester United in a shock loan deal this month which could lead to a permanent 50 million pounds move. The Brazilian superstar midfielder has been heavily linked to a move to Inter Milan with Real Madrid wanting 50 million pounds. Chelsea, too, is seriously interested in grabbing the playmaker who has now fully recovered from an ankle injury after surgery, the Daily Star reports. The link has already been established with Kaka, winning a Champions League trophy with Chelsea boss Carlo Ancelotti when they worked together at AC Milan. According to reports in Spain, Manchester United have now emerged as clear favourites with Real Madrid boss Jose Mourinho happy to do business with his old sparring partner Sir Alex Ferguson. Mourinho would prefer sending Kaka to United rather than his previous club Inter. Ferguson has insisted he will not be buying in the transfer window but a loan deal for Kaka would be the perfect solution.
Nadal beats Federer in Abu Dhabi tennis final ABU DHABI: Top-ranked Rafael Nadal started 2011 with a win over his main rival, beating Roger Federer 7-6 (4), 7-6 (3) Saturday to defend his title at the invitational World Tennis Championships. Both players held serve throughout the match, and Federer had the early momentum in the first tiebreaker, hitting a couple of blistering forehand winners to go up 3-0. But Nadal won the next five points and clinched the set when the Swiss hit a forehand long. In the second tiebreaker, Nadal went up 3-1 with a drop volley and Federer sent his return long on the next point. The Spaniard then set up match point with a crosscourt forehand winner and converted it when Federer hit a forehand long. "For both of us, these are the first matches of the season. So it is special for us," Nadal said. "This is the perfect place to start the season here in Abu Dhabi." Both Federer and Nadal were given byes into the semifinals of the six-player exhibition tournament. Federer beat fifth-ranked Robin Soderling on Friday while Nadal ousted Tomas Berdych. "I never lost my serve but I still lost the tournament, it's kind of tough," Federer said. "Rafael and myself must have played so many times and so many times it has come down to a few shots here and there. He is an amazing shot-maker. Me as well but today he got the better of me." Last month, the two split charity matches with Nadal winning a match in Spain and Federer one in Switzerland. In tournament play, Nadal has a 14-8 record against Federer. The Swiss won their most recent meeting, a threeset victory in the final the ATP World Tour Finals in London.Agencies
Alam upbeat about 2011 ISLAMABAD: Pakistan team manager Intikhab Alam has said that the way things are going - the team will not only taste success but also the image of Pakistan cricket would also improve in 2011. The former Test captain said the reason for his optimism was not only the improving spirit and discipline among the players but also recent steps taken by the cricket board to put things right."There is no doubt 2010 was a very bad year for Pakistan cricket and the controversies and scandal indirectly also had an impact on the players' performances," he was quoted as saying. "It is hard for any team to just focus on cricket and keep on performing consistently when so many things are happening outside the field," cricket365.com quoted him as saying. "The last year was like a
nightmare for Pakistan cricket, but it is now part of history and we have to look ahead. I have told the players just focus on cricket and the results will come naturally because we have lot of talent in our cricket," he added. Pakistan cricket was rocked by incidents of indiscipline, infighting and spot-fixing allegations in 2010 which also put the cricket board under pressure which at one stage in March even resorted to banning or fining seven players after the Australian tour. He said he was happy at the way the players were responding to the challenges and to the new enforcement of disciplinary measures in the team. "There are not issues within the team it is just a matter of time before the confidence starts flowing again and there is self belief we can beat anyone," he said.-APP
CAPE TOWN: SAfrica's Jacques Kallis watches India's Sreesanth field the ball during the third test cricket match.-Reuters
Xavi to equal Barca appearances record LONDON: Spain midfielder Xavi is set to make his 549th official appearance for Barcelona at home to Levante matching the club record set by former player Migueli. Xavi, who turns 31 on Jan. 25, debuted for Barca in 1998 and has been shortlisted along with team mates Lionel Messi and Andres Iniesta for the FIFA Ballon d'Or, which is to be announced on Jan 10. "What Xavi has achieved is incredible and demonstrates that he has a great mental strength," coach Pep Guardiola told reporters. Valencia receive Espanyol
on Sunday (2100), for a fourth against fifth clash, without injured first-choice goalkeeper Cesar and suspended duo, defender David Navarro and striker Roberto Soldado. Atletico Madrid host Racing Santander on Monday (1900) with a doubt over Uruguay striker Diego Forlan who has an ankle injury. The sixth-placed club have had to issue an apology on behalf of new signing Elias, who could make his debut, after the Brazil midfielder was photographed holding up a scarf with an anti-Real Madrid slogan at his presenta-
tion. Hercules have criticised Dutch midfielder Royston Drenthe, on loan from Real, who has refused to turn up to training after the winter break saying he has not been paid. "He is showing a lack of respect towards Real, Hercules and his team mates," club president Valentin Botella told reporters. Hercules, who face Real Mallorca away on Monday (1900), have promised playing and coaching staff they will paid November wages by the middle of January.Reuters
Untested Beer to make Test impact: Clarke SYDNEY: Michael Beer has played just seven first-class games and has never appeared at the Sydney Cricket Ground but Australian skipper Michael Clarke on Sunday backed him to have a major impact on his Test debut. Left-arm spinner Beer will play alongside fellow debutant Usman Khawaja in tomorrow`s fifth and final Ashes Test against England as Australia attempt to level the series after seeing their chance of winning back the Ashes slip away. Beer, 26, will become
Australia`s 10th Test spinner since the 2007 retirement of Shane Warne when he plays at the SCG for the first time. But Clarke, who made 151 on his Test debut against India in 2004, does not believe a lack of experience with the Sydney conditions will affect Beer`s performance. "We all made our debut (somewhere)," Clarke told reporters. "I made my debut in Bangalore and I`d never been to Bangalore before, never seen that change room, never played a game on that wicket.
SYDNEY: England will carry an air of unfinished business into the final Test of the Ashes series starting Monday, despite having already ensured it retains the famous urn. England cannot lose the series after its emphatic win in the fourth Test at Melbourne, but the Sydney Test offers the enticing prospect of its first Ashes series win since 1987. That achievement, laudable in itself, would take it closer to its longer-term goal of attaining the world`s No 1 ranking in Test cricket. Australia enters the final Test of an unsuccessful series under an unpopular stand-in captain, but will be eager to square the series, save some
face and begin a much-needed rebuilding process. Michael Clarke will start as Australia Test captain for the first time, replacing Ricky Ponting who has a broken finger. While teammates have rallied around Clarke and pledged their support, newspaper polls have shown only eight percent of Australians support his promotion to the captaincy. Ponting is not a universally popular captain, but is admired for his past successes and embodying the qualities of doggedness, grit and fortitude associated with the captaincy since the days of Allan Border and Steve Waugh.
It`s no different." Clarke, who is standing in as skipper for the injured Ricky Ponting, said the atmosphere of a 46,000capacity SCG and the backing of home support should be enough to lift Beer. Beer is in his first full season with Western Australia after moving from Victoria, where he played club cricket. But after being 12th man for Australia in the Perth and Melbourne Tests, Clarke believes Beer has earned the opportunity to play at the highest level.-Reuters
Rooney tunes Manchester United’s win Monitoring Desk LONDON: Wayne Rooney scored his first goal in open play since March as Manchester United won away in the Premier League for only the second time this season with a 2-1 victory against West Brom. United, unbeaten in the league this season and with two games in hand, remained top on goal difference alone after Manchester City’s 1-0 victory at home to Blackpool. Rooney opened the scoring at The Hawthorns but substitute Javier Hernandez, sealed victory 15 minutes from time after the Baggies’ Peter Odemwingie had missed a penalty. “Over the years we’ve had to battle out games and we had to do that today,” said United manger Sir Alex Ferguson. Rooney scored United’s opener, provided the corner for their second and played through the pain of an ankle injury late on when Ferguson had used up all three of his substitutes. He put United 1-0 up in the third minute when he stooped to head in a Patrice Evra cross. But West Brom were level 11 minutes later when James Morrison lashed the ball in from 25 yards out. The hosts, who had a spotkick appeal turned down in the first half, did have a penalty just after the hour when United’s Rio Ferdinand brought down Jerome Thomas in the box.
Crowds swarm BD banks for WC tickets DHAKA: People queued overnight outside of banks in the Bangladeshi capital of Dhaka in a desperate bid to buy highly-prized cricket World Cup tickets, which went on sale on Sunday. Two leading Bangladeshi banks are selling tickets for eight matches at the Feb. 19April 2 tournament, to be jointly hosted along withIndia and Sri Lanka, from their 80 branches across the country. People started gathering in front of the banks on Saturday morning, braving cool weather but there were expected to be a number of disappointed fans. The Bangladesh Cricket Board (BCB) said the Sher-e-
Bangla National Stadium, which will host six matches including the opener between India and Bangladesh, has a seating capacity of 25,167 but only 15,167 tickets are available for local spectators. The remainder of the tickets are to be reserved for the International Cricket Council, foreign visitors and other stakeholders. There is a similar situation at the Zohur Ahmed Chowdhury Stadium in Chittagong, which will host Bangladesh's group matches against England and Netherlands, with 12,521 tickets made available for locals at the 17,800 capacity venue.Reuters
DHAKA: People stand in queue to buy tickets for the cricket World Cup in Dhaka.-Reuters
Eng Aim for Ashes Win Clarke, 29, is more of a flamboyant character with his bleached hair and very public breakup with his former model fiance. Teammates have worked this week to alter that image, to paint Clarke as a more mature and driven individual. "He`s got a very good cricket brain, he thinks about the game very well, he`ll be an aggressive captain," Mike Hussey said. "He`ll always be looking to take wickets out there, he`ll be looking to make changes to the field, changes to the bowlers, searching for a wicket all the time and he`ll always want the game going forward." Hussey said Clarke had been
an energetic captain when leading the national side in limited-overs games. "I guess the challenge for him is to be able to maintain that over the five days of a Test match. It`s going to be hard graft but we have 100 per cent confidence in him." Wicketkeeper Brad Haddin, who will be Clarke`s vice-captain, said the public perception of Clarke could quickly change. "The reaction with the public with all our players changes from week to week," he said. "You`re one good innings away, or sometimes one good cover drive away, from the support being with you." "Michael`s a very strong
character so things will be okay. He`s got a very good cricket brain. He`ll do Australia proud." England has been able to enjoy a relatively untroubled preparation for the final Test, its players showing every sign of delight at Australia`s discomfort. Off-spinner Graeme Swann twisted the knife a little today, saying he was at a loss to understand Australia`s decision to omit its most experienced spinner, Nathan Hauritz, from its Ashes squad. Swann suggested Hauritz`s absence had helped England. "I honestly don`t understand how Australian selection works," Swann said. "It`s
obviously different to how it works in England. "I don`t know why he (Hauritz) was dropped in the first place and why he`s not been brought back in." "I genuinely feel sorry for him because I don`t think he deserved to miss out on this whole series. He bowled well against England two years ago and he was a guy who caused a few of our players some problems." The uncapped Michael Beer is the only specialist spinner in Australia`s squad, and with the Sydney Cricket Ground usually helpful to spinners, he is a candidate to replace one of the pacemen in the starting eleven.-Online
10
Analysis & Feature
Monday, January 3, 2011
MORE IRAN STEPS SEEN TOUGHER SELL TO NEW UN COUNCIL * US, EU MAY NOT PURSUE FURTHER UN IRAN SANCTIONS IN 2011 * NEW MEMBERS SAFRICA, INDIA SEEN RELUCTANT ON SANCTIONS * ICOAST, SUDAN, NKOREA OTHER TOP ISSUES FOR UN COUNCIL
I
ndia and South Africa join the UN Security Council on Saturday, bolstering a bloc of countries on the powerful panel that may be reluctant to support new sanctions against Iran over its nuclear program. However, barring any shocking revelations about Tehran's nuclear program, some analysts suggest that Washington might forgo pursuing new UN steps against Iran in 2011. That
Korean peninsula, Security Council expansion and the expected re-election of Secretary-General Ban Kimoon for another five-year term starting in 2012. The five newcomers to the Security Council are not expected to impact its approach to North Korea, where the veto-wielding permanent memberChina plays a decisive role, or Ivory Coast, where the entire council voiced support for the UN-certified
"If Iran does something outrageous, it's going to be hard for countries like India and South Africa to resist further sanctions," Cirincione said. may be good news for oil markets, since Western diplomats say Iran's energy sector would be the next logical area to sanction. Germany, Portugal and Colombia join the 15-nation Security Council on Jan. 1, also for two-year stints as rotating members. Apart from Iran's nuclear ambitions, council diplomats point to other key issues on the council agenda in 2011 -- the threat of new civil wars in Ivory Coast and Sudan, tensions on the
results of last month's presidential election. Newcomer South Africa has vowed to raise the possibility of suspending a genocide indictment against Sudanese President Omar Hassan al-Bashirif a Jan. 9 referendum on south Sudan's independence goes ahead peacefully. Southerners are widely expected to choose secession over remaining under Khartoum. If the vote goes well, diplomats say the United
States, Britain and France might consider suspending the indictment. But the new composition of the council could complicate matters for US President Barack Obama's administration should it choose to pursue a fifth round of UN sanctions against Tehran for refusing to freeze its nuclear enrichment program. Four rounds of increasingly restrictive UN sanctions on Iran have targeted its nuclear, missile, financial and shipping industries. These have been supplemented by even more draconian US and European Union steps that included energy sanctions. Tehran insists its atomic program is peaceful and not intended for producing weapons, as Western powers suspect. TROUBLES WITH CHINA The addition of the five rotating members is not the only change for the council. An increasingly self-confident China has been using its diplomatic weight to protect countries that Beijing considers to be its allies. Beijing fought hard to remove all but one Iranian bank from a list of firms in the fourth round of UN sanctions in June. It later blocked US attempts to have the council rebuke Myanmar's military rulers and North Korea over its nuclear program. When South Africa was last on the council in 20072008, it voted twice in favor of sanctioning Iran but joined China and Russia in lobbying to dilute the proposed punitive measures. Brazil, on the council through the end of 2011, has also been reluctant to punish
Iran. It joined Turkey in June to cast the first ever votes against Iransanctions on the Security Council. Previously there had only been one abstention. India, which was last on the Security Council in 1991-1992, has close commercial ties to Iran, and has also indicated that sanctions were not the right strategy. But George Perkovich of the Carnegie Endowment for International Peace said that the latest developments
in India-Iran relations suggested India's support could be won. Tehran has threatened to block oil sales to India after it implemented prohibitive new rules on trade with Iran that earned New Delhi praise fromWashington. Joseph Cirincione, president of the Ploughshares Fund, a global security foundation, said that if there are any new revelations about hidden nuclear sites in Iran in 2011, or similar developments, the Indians
and South Africans would probably be amenable to new punitive steps against Tehran. "If Iran does something outrageous, it's going to be hard for countries like India and South Africa to resist further sanctions," Cirincione said. Obama's open door to engagement with Iran will help to ensure that India, South Africa, China and Russia keep "an open mind" regarding further UN sanctions in 2011, he added.
But absent any "outrageous" moves by Iran, Cirincione and Mark Fitzpatrick of the International Institute for Strategic Studies in London said thatWashington and its EU allies would probably forgo a push for new UN sanctions in 2011. "In the meantime, the US will tighten the financial and other unofficial sanctions that have proven to be the most burdensome for Tehran," Fitzpatrick said. Reuters
OPEC caution on output may help bring back $100 oil
O
il has burst above top exporter Saudi Arabia's preferred $70$80 range and yet OPEC is unlikely to stop the rally, helping to prepare the way for the market to bound above $100 a barrel. At meetings this month -- a full conference of the Organisation of the Petroleum Exporting Countries in Quito and talks among Arab oil ministers inCairo -- oil producers stood by OPEC's two-year-old set of output curbs. Even prices of $100 -not far above a 26month high of $91.88 hit this week -- need not damage the economy and would not mean OPEC should pump more if they resulted from speculation rather than any shortage, ministers and officials have said. "If it goes to $100 due to speculation, OPEC will not move," OPEC Secretary General Abdullah al-Badri said this month. He also said the organisation did not want oil to rise that far. Analysts are split into those who see fundamental strength as the world economy recovers, driving up fuel consumption, and those
who focus on differences between today's relatively well-supplied market and that of 2008, when oil sped to its alltime high of nearly $150 a barrel. "It remains to be seen whether prices are responding to shortterm weather conditions or longer term demand
That would add to oversupply in a market, which for all the nominal strength is still in contango for US crude - a structure in which a relatively cheap frontmonth contract encourages stock-building. DEJA VU? More bullish analysts say OPEC caution
for US crude to 2011 to $91 a barrel, adding that this average figure implied "a sustained period of trading above $100 at points during the year". Husseini and many inside OPEC have said dollar-denominated oil is cheaper than it seems because the dollar has
l OPEC wary of adding unnecessary oil
l OPEC still has spare capacil
ty, inventories in surplus Speculative long positions at record in United States
and monetary issues," said Sadad al-Husseini, an oil analyst and former top official at Saudi state oil giant Saudi Aramco. "Given the still abundant oil inventories, it wouldn't make sense for OPEC to over-react on what may be a very transient condition." By the time any extra oil reached consumers, demand could be lower after the peak demand of the northern hemisphere winter.
recalls its action ahead of the record bull run of 2008, when it was slow to add oil. "The signal from the latest meeting in Quito was one in which the producers are still concerned about the downside," Barclays Capital said in a note. "In our view, that means that the upside is more likely to be controlled reactively with a delay rather than preemptively." It set its price forecast
fallen. "Prices have not yet risen to $100/barrel and there is nothing mysterious about $100/barrel," he said. "It equates to no more than $80/barrel in 2005 dollars, once current prices are corrected for inflation." In nominal terms, oil has risen 35 percent from a low hit in May and this week's peak was around 15 percent above the price at the end of 2009. The current rally set
in around September after the US Federal Reserve embarked on its latest quantitative easing, which has triggered a wave of buying across financial markets. Barclays noted total commodity assets under management had reached an all-time high after investors piled in. Data from US regulator the Commodity Futures Trading Commission released this week showed money managers extended their net long crude oilpositions to a record. "The Fed has in a
sense been pushing the speculators. OPEC can very well argue it's not its role to add more oil," said Olivier Jakob of Petromatrix. Still oil's strength has been modest by comparison with commodities that face looming shortfalls, such as copper, which has touched a series of records. As oil began to rise in September, traders were contemplating record fuel inventories in the United States, the world's biggest oil user. Stocks have since fallen, although a deep draw in crude stockpiles could have been in part because of year-
end tax positioning. The latest US data will emerge late on Wednesday and on Thursday. In addition to stocks, OPEC has significant spare capacity, which it has pegged at around 6 million barrels per day (bpd). Iraq, which is exempt from the OPEC system of supply curbs as it recovers from war and sanctions, has huge scope to grow. Analysts have disputed it can meet a capacity target of 12 million bpd in around seven years, but even a slower increase would provide much of the extra oil
needed to meet any rise in demand. Its new oil minister said it aimed to increase output to 3 million bpd by the end of 2011, up from around 2.6 million bpd. A Reuters poll saw the call on OPEC, as opposed to non-OPEC oil, increasing by 600,000 bpd in 2011. Overall oil use would rise by 1.5 million bpd. Absolute demand would hit a new high, but the rate of demand growth is slower than the record of 3 million bpd in 2004, according to figures from theInternational Energy Agency. -Agencies
China to explore Mars with Russia this year
QUEENSLAND: An aerial view of partially submerged houses in flooded Rockhampton in Australia's state of Queensland.-Reuters
UN Ivory Coast mission to probe reported abuses UNITED NATIONS: UN peacekeepers in Ivory Coast have been instructed to visit areas where human rights abuses are alleged to have taken place and record any violations, the United Nations said. The country was plunged into crisis after incumbent president Laurent Gbagbo refused to step down after a disputed election in November, leading to an outbreak of violence in a nation still divided since a civil war in 2002 and 2003. The electoral commission, world leaders and the UN General Assembly have recognised Gbagbo's rival Alassane Ouattara as the winner of the election. "The Secretary-General told President Ouattara that he was alarmed by the reports of egregious human rights violations," UNspokesman Martin Nesirky said in a statement, referring to atelephone conversation between UN chief Ban Ki-moon and Ouattara on Saturday. The UN peacekeeping mission in Ivory Coast, known as UNOCI, said last month pro-Gbagbo forces were blocking access to what could be a mass grave near Abidjan. UN diplomats told Reuters UNOCI was still barred from the site. "He (Ban) said UNOCI had been instructed to do everything possible to gain
access to the affected areas both for prevention and to investigate and record the violations so that those responsible will be held accountable," Nesirky said. Defiant in the face of growing international pressure, Gbagbo reiterated a call for the peacekeeping mission to leave Ivory Coast on state television on Saturday, accusing it of opening fire on civilians. The mission rejected a similar accusation on its website three days ago as "lies" and said the stateowned broadcaster was spreading misinformation to incite hatred against it. CRIMINAL COURT Residents of an area alleged to be the site of a mass grave said last month the Ivorian military had closed off the site and chased away anyone who tried to gain access. Gbagbo's Interior Minister Emile Guirieoulou said last month there was no mass grave. Ouattara has asked for the International Criminal Court in The Hagueto send a mission to Ivory Coast to investigate reports of post-election violence committed by pro-Gbagbo forces. He reiterated the request in his call with Ban on Saturday. The UN has put the death toll from the violence at more than 170, the United
States at over 200. Three presidents from the West African regional bloc ECOWAS are planning a second round of talks on Jan. 3 with Gbagbo to try to persuade him to cede power to Ouattara or face an operation to remove him by force. A statement issued by the African Union on Sunday said they would be joined by Kenyan Prime Minister Raila Odinga, who has called for the use of force to oust Gbagbo and whose own electoral dispute with President Mwai Kibaki, accused of rigging the Kenyan election in 2007, let to ethnic bloodshed in which 1,300 people were killed. The United Nations has expressed concern that the homes of political opponents of Gbagbo in the main city of Abidjan have been marked to identify their occupants' ethnicity, indicating that the country could be heading for ethnic violence. Nesirky said Ban "reaffirmed to President Ouattara today the UN's principled and unwavering position on upholding the election outcome based on the will of the people of Cote d'Ivoire (Ivory Coast)." Ban added that "the international community remained committed to work together for a peaceful and durable end to the stalemate", Nesirky said.-Reuters
BEIJING: China's first Mars probe is expected to be launched in October this year in a joint operation with Russia after a two-year delay, state media reported Sunday. The probe, Yinghuo-1, was due to blast off in October 2009 with Russia's "Phobos Explorer" from the Baikonur Cosmodrome in Kazakhstan but the launch was postponed, the official Xinhua news agency said. Quoting an unnamed expert at the China Academy of Space Technology, the report said the blast-off had been pushed back to October this year. It added that China planned to launch a Mars probe on its own in 2013. According to previous reports, the orbiter is due to probe the Martian space environment with a special focus on what happened to the water that appears to have once been abundant on the planet's surface. China has already begun probing the moon and this will be the next step in its ambitious space exploration programme, which it aims to be on a par with those of the United States and Russia. It currently has a probe -- the Chang'e 2 -- orbiting the moon and carrying out various tests in preparation for the expected 2013 launch of the Chang'e-3, which it hopes will be its first unmanned lunar landing.Reuters
Continued from page 3
And soybeans closed out the year at their highest level since before the global financial crisis but below their record high above $16 a bushel, amid concerns about the size of this year's South American crop. The average CBOT front-month corn price was $4.99-1/4 a bushel in 2010, the highest since at least 1973. The 2010 average soybean price of $11.82-7/8 a bushel also was the highest on record. CBOT wheat futures prices averaged $6.503/4 a bushel in 2010, the highest since $8.23-1/8 in 2008. Chicago Board of Trade March corn futures settled up 13 cents at $6.29 a bushel. CBOT January soybeans were up 27-3/4 cents at $13.93-3/4 a bushel and CBOT January wheat was up 9-1/2 cents at $7.94-1/4 a bushel. -Reuters
No #5
GAZA: Israeli warplanes have pounded positions in the central and northern Gaza Strip, leaving at least two people injured, a Press TV correspondent reports.Israeli fighters bombarded the northern city of Jebaliya as well as areas in the central Gaza on Saturday night. The overnight attacks left two people wounded and caused panic among the Palestinians in the targeted areas. Earlier on Tuesday, Israeli forces killed a Palestinian man and wounded five others in tank shelling and gunfire attack on the southern Gaza Strip city of Khan Yunis. The Israeli military has repeatedly waged attacks on Gaza since its massive war on the territory at the turn of 2009. The 22-day offensive left more than 1,400 Palestinians in the densely populated coastal sliver dead.-Online
Continued from page 12
and giving them authority to take decisions, but on other hand, it has given rise to number of problems which still needed to be resolved. The recommendations proposed by the Commission in this regard had not yet succeeded to remove the concerns of the provinces in this connection, sources said. -Agencies
No #6
Passenger jet explodes in Russia Moscow: A Russian passenger jet carrying 124 people caught fire as it taxied down a snowy runway in Siberia and then exploded on Saturday, killing four people and injuring 43, including six who were badly burned, officials said. Most of the passengers and crew were evacuated before the explosion, though people on board described a chaotic scene as the burning plane filled with thick, black smoke and panicked passengers climbed over one another to rush through flames to escape.Emergency services spokesman Vadim Grebennikov said the fire, which began in one of the engines as the plane taxied for takeoff, caused a powerful blast that destroyed the Tu-154 aircraft and spread flames across 1,000 square meters (11,000 square feet).Russian television showed video taken with a mobile telephone of the burning plane, its center a giant fireball. All that remained afterward was the tail section and part of a wing.Grebennikov said 10 people were seriously injured, including six who were badly burned and four who suffered broken bones or other trauma. Most of the other injured passengers sought treatment for poisoning after inhaling toxic fumes. The plane, which belonged to the regional Kogalymavia airline, was to fly from the western Siberian town of Surgut to
Moscow.Among the passengers were members of the Russian pop group Na-Na, who described the panic on board the plane."First we heard a clap and then there were flames in the back of the plane and people immediately panicked," group member Yury Rymarev said on NTV television. He said flight attendants tried to calm the passengers, but the flames began to spread, especially after one of the passengers opened an emergency exit and air rushed in. The plane quickly filled up with smoke that was black and acrid from burning plastic, Rymarev said.Another group member, Sergei Grigoryev, who was sitting in the back of plane, described how passengers clambered over the heads of those in front of them as they rushed to get out. "My whole life flashed before my eyes and I'm still upset," he wrote on the website of Na-Na, a group that was popular in Russia in the 1990s.A third member of the group, Vladimir Politov, said some people were so desperate to get out that they ran right through the flames, the RIA Novosti news agency reported. He and other passengers described difficulties with opening the emergency exits, saying all or most of the people got out through one exit over a wing."Only one exit was working. We didn't see the middle exit. It seems it couldn't be
opened -- something was wrong with it," passenger Olga Sytnik told a local television station. "People got out of the plane and found themselves on the wing. Some kind of stairs were put there for them and people started to go down. But before that there were a lot of people on the wing. Some people just jumped down from the wing to the ground and ran away limping."All three engines on the Tu154 are located in the back of the aircraft. Saturday's fire appeared to have started in the engine mounted over the rear of the plane.The Tu-154 has been the workhorse of the Soviet and post-Soviet civilian aviation industry, first entering service in the 1970s.But after a series of crashes involving the aging fleet raised safety concerns, flagship carrier Aeroflot withdrew all of its Tu-154s from service, with the last flight a year ago. However, the midrange jet remains the mainstay of smaller airlines across Russia and the former Soviet Union. It is banned from parts of Europe due to excessive engine noise.Just last month, two people were killed and 83 injured in an accident involving engine failure on a Tu-154. Two of the engines failed shortly after takeoff from a Moscow airport and the third cut out as the plane made an emergency landing. It skidded off the snowy runway and broke apart.-Online
Israeli fighter jets strike Gaza Strip
CONTINUATION No #1
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International & Continuation
Monday, January 3, 2011
Continued from page 5
Ahsan Rasheed, Director Research AMJ Growth. Foreign investors remained on the buying side as according to NCCPL they did a net-buying of $12.2 million during the week. This brought the net buying of the offshore investors to $526 million in CY10 from $24 million in CY09. Investor participation too witnessed some improvement last Continued from page 3 No #2 week as 579 million shares traded in the overall market which is Tin outperformed other LME peers this year, with prices up by 78 million more as compared to a turnover of 501 million shares nearly 60 per cent. Constrained supply from top exporter a week earlier. Average daily turnover stood at 115.8 shares --15.6 Indonesia is expected to drive prices to new records, having million shares more from an average volume of 100.2 million reached $27,500 a tonne in November. Nickel rose 35 per cent for shares last week. Out of total 427 active issues 234 advanced and the year in anticipation of a pickup in stainless steel demand, 177 declined while 16 issues remained unchanged. despite stockpiles that remain relatively ample. Stocks hit a record Continued from page 1 No #7 of 166,476 in February, and have since declined some 20 per cent. landlords rather than the poor," he said, added MQM has made LME zinc rose slightly on the day to finish the year down 5 per cent at $2,440 per tonne. LME aluminium rose toward two-year the decision with an honest intent. According to the media highs near $2,500 a tonne on Friday and ended bid at $2,467 sources, MQM chief Altaf Hussain made contact with PML-Q leader Chaudhry Shujaat Ahmed, JUI-F leader Maulana Ghafoor rings, up 11 per cent for the year. -Reuters Haidry and AMPL chief Pir Pagara and deliberated with them the Continued from page 12 No #3 current situation arises out of MQM latest stance. Political pundits to use mobile phones and computers, the report said. now say that the ball is in PML-N court to decide the fate of The LibDems promised to scrap control orders in last year's Gilani-Government, and today will prove their stance in the election campaign and a reversal of that position could fatally National Assembly Hall. PML-N holds 91 seats in the lower undermine the credibility of Lib Dem leader Nick Clegg, the house, though in the position to shake the government on its own deputy prime minister, with his party. Support for the LibDems but only after alliance with other opposition factions in the House. has slumped since the party performed a U-turn over raising stuContinued from page 1 No #8 dent tuition fees to help cut a record peacetime budget deficit. that they welcome MQM decision, added that it was the natural Security agency MI5 and the interior ministry have pushed for control orders, introduced by the former Labour government, to outcome of the PPP government politics. Regarding the vote of confidence move, Iqbal said that they will be kept, the report said. Nine suspects, all British, are now subject to control orders, the Sunday Times said. They are electronically cross the bridge when they come to it, it would be too early to comment on it. tagged and confined to their homes for 16 hours a day. International civil liberties groups have united to call on the Continued from page 1 No #9 government to abandon control orders, accusing it of presiding He did not say when the hostile aircraft had been shot down, but over one of the most serious violations of natural justice in any described them as "western drone reconnaissance" aircraft. developed democracy, the Observer reported. -Reuters Iran is at odds with major powers over its nuclear activities, which the United States and its allies suspect are intended to Continued from page 12 No #4 MQM so as to take the country out of prevailing devastating situa- enable Iran to produce nuclear bombs. Iran denies the allegations and says it wants only to generate electricity. tion. He vowed to spare no efforts to eradicate the social injustices The United States and Israel, Iran's main foes, do not rule out and outdated system and putting on track to the country on the avenue military action if diplomacy fails to end the nuclear row. -Reuters of development and prosperity through peaceful revolution. -NNI
SANGIN: Members from the Taliban stand, after voluntarily handing over their weapons and joining the government, in Sangin district.-Reuters
Zimbabwe 2011 election may be postponed HARARE: Zimbabwe is likely to postpone a parliamentary election that President Robert Mugabe's party wanted by midyear in order to allow completion of constitutional reforms, astateowned newspaper reported on Sunday. Mugabe's ZANU-PF party endorsed plans to call early polls two weeks ago, despite strong opposition from rivals that the political climate was not right for a free and fair vote. The Sunday Mail newspaper, which is tightly controlled by ZANU-PF officials, quoted unidentified sources saying it was not feasible to hold elections in the first half of 2011 and that
Zimbabwe had said so to fellow members of the Southern African Development Community (SADC) weeks ago. "Sources yesterday said it was highly unlikely that the polls will be held before June as the crafting of the new supreme law looks certain to spill into the second half of the year," the weekly said, citing also what it called "intervening complications" in the implementation of Zimbabwe's power-sharing agreement. ZANU-PF officials were unavailable on Sunday to comment. Mugabe, 86, and arch rival Prime Minister Morgan
Tsvangirai of the Movement for Democratic Change (MDC) were forced into a coalition government two years ago after a disputed 2008 election which had exacerbated a severe economic crisis. The unity government, which also includes a small MDC faction led by Deputy Prime Minister Arthur Mutambara, is credited with stabilising an economy crushed by hyperinflation and reducing political tension. But the coalition has been hobbled by quarrels over the pace of political reforms, policies and state positions, and Mugabe has said he sees no need to extend the coalition beyond the middle of this year.-Reuters
Nigerian militant group says not behind Abuja bomb LAGOS: Nigeria's main militant group, which claimed responsibility for October car bombings in Abuja, said it was not behind the New Year's Eve blast in the capital. A bomb on Friday in a busy market area, where people gather to socialise beside an army barracks, killed at least four people and wounded dozens. There has been no claim of
No #10
responsibility for the attack andPresident Goodluck Jonathan has said the perpetrators have not yet been identified. "The Movement for the Emancipation of the Niger Delta (MEND) denies any involvement in any of the bombings that took place inAbuja, Nigeria on Friday, December 31, 2010," an emailed statement from the
group's spokesman said on Sunday. Though MEND said it planted car bombs in Abuja on October 1 that killed at least 10 people, its previous attacks have tended to avoid civilian casualties. The militant group operates from the Niger Delta where it has attacked oil and gas facilities for years.-Reuters
Continued from page 1
elements politicised it for their personal gains and they misguided the people. He said the General Sales Tax Reforms (GSTR) is not a matter of the PPP only but the whole nation, adding that if tax net is not widened then self-dependence cannot be achieved. In this context, he said that if the nation would not sacrifice then the next generations of the country would be under a huge burden of debt of international monetary agencies. To a question, he said the reconciliation process would continue."We would try our best to remove the reservations of our allies to keep them in the coalition". However, Kaira said," All our allies have the right to have difference of opinion and this is the beauty of democracy".-NNI
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Isb is ready for meaningful talk with India: FO
Pak says peace sans Kashmir a pipe-dream LAHORE: Chief Minister Punjab Mian Shahbaz Sharif talking to the media men at Allama Iqbal International Airport on his arrival after the visit of London and Turkey.-Online
CM Punjab returns from Turkey with big hopes
Shahbaz says will talk gas-shortage with PM Says Turkey vows to set up 150MW plant, a varsity LAHORE: Chief Minister Punjab Mian Shahbaz Sharif said that a university and a power plant of having capacity of generating 150 megawatts would be setup in Punjab with the cooperation of Turkey. He was talking to media persons at Allama Iqbal International Airport, Lahore after his arrival back from Turkey, here on Sunday. Shahbaz Sharif termed his visit to Turkey as successful
20 killed in Nangarhar onset KABUL: At least 20 insurgents were killed and 21 others were arrested in an operation carried out by Afghan and foreign forces in eastern Nangarhar province, local officials said on Sunday. The operation was launched one week ago in Shirzad district of Nangarhar province to wipe out insurgents from the area. The operation will soon be expanded to two other districts in the province, officials added. The militants have suffered heavy casualties in the operation so far, Alishah Paktiawal the police chief of Nangarhar said. "A Taliban commander was also killed in clashes with Afghan and foreign troops in the operation," Paktiawal added. There were no civilian and military casualties in the operation, local officials said. Shirzad district, bordering Pakistan, is one of the volatile areas where Taliban militants have been active. Afghan and Nato forces have also launched military operations in the northern Afghanistan in which insurgents have suffered a lot of casualties so far. -NNI
18th Amend
Commission meets today I S L A M A B A D : Implementation Commission on 18th Amendment would meet here at Parliament House on Monday with Chairman Commission, Senator Mian Raza Rabbani in chair. Issues relating to implementation of 18th Amendment and transfer of five ministries to provinces would be discussed in the meeting. The Commission would also discuss the difficulties and hurdles in way of transfer of five federal ministries to provinces. It should be mentioned that though provinces seem to be satisfied with awarding provincial anatomy under 18th Amendment See # 5 Page 11
and said that number of MoUs for mutual cooperation in various sectors have been signed with Turkish government and private sector during the visit. He said that Turkish government would extend financial assistance to Punjab government to setup a university and a power plant with 150 megawatts power generation capacity. The CM Punjab said that during his visit he apprised
the Turkish government and investors about the broad opportunities of investment in various sectors including industries and power fields. He said that an agreement regarding mutual cooperation in boosting livestock and dairy sectors has also been signed which would help in development of the two sectors. Shahbaz pinned hope that agreement signed with Turkey regarding solid waste man-
agement would not only help in dumping the solid waste but would also help the two countries to take benefit of each others expertise. He vowed that Lahore would be made as beautiful as Turkish capital of Istanbul. To a question, he said the ongoing problem of gas load-shedding would be solved soon adding he would talk to Prime Minister Yousuf Raza Gilani to fix the gas problem. -APP
ISLAMABAD: Foreign Office Spokesman Abdul Basit said Sunday that Kashmir issue must be resolved in accordance with the aspirations of the Kashmiris and the United Nation (UN) resolutions. In a brief telephonic talk with a private TV channel, he said, "Without resolving the issue, it is too much difficult to maintain peace and stability in the entire region." He said: "Pakistan is ready for meaningful and comprehensive dialogues with India on core issues such as Kashmir, Siachin and others." Pakistan had already held composite dialogue with India on various issues including Kashmir, Siachin, economic,
cultural issues etc, but India did not show seriousness over the issues, he added. Abdul Basit said that India should show maturity about the issues to bring peace in the region. However, he said, that it was not possible to resolve all the issues in accordance with the aspirations of India. He said "Only dialogues are not enough for resolving the strategic issues, but India should take serious steps to remove all the irritants and discriminations. Pakistan always tried its best to maintain good ties with India," he added. He appreciated India's statement that it wanted to maintain
peace in the region. He said that Pakistan had also taken several measures for sustaining peace and stability in the entire region. He termed the Indian allegations of terrorism against Pakistan as baseless because the latter was itself a victim of terrorist activities. "We are combating a successful war against terror and also taking several measures to eradicate terrorist activities from the region," he maintained. He said that Pakistan was sincerely co-operating with India about Mumbai attacks, but the latter had not provided any information about the 'Samjhota Express'. -APP
It's time to end hostility, Krishna tells Pakistan NEW DELHI: Indian Minister for External Affairs S M Krishna said on Sunday that Pakistan's posture of "compulsive hostility" will not help a serious and sustained dialogue between the two countries. In an interview, Krishna said New Delhi would "walked the extra mile in reaching out" to its neighbours "We earnestly
hope that our neighbour would see the merit in constructive engagement and discard the posture of compulsive hostility", he said. The External Affairs Minister said, "Our only expectation from Pakistan is to dismantle the terror infrastructure that operates from the territories under its con-
trol. A serious and sustained dialogue can thrive only in a peaceful and terror free climate." Krishna said that terrorism, whether state-sponsored or not, has no place in today's world and needs to be rooted out through concerted efforts of each and everyone. Agencies
Cameron may face defeat on EU bill LONDON: Prime Minister David Cameron could face a parliamentary defeat over Europe but is set to avoid a damaging split in the ruling coalition over a controversial counter-terrorism measure, reports said on Sunday. The Sunday Telegraph said 'eurosceptics' among Cameron's centre-right Conservatives could combine with opposition Labour legislators to inflict an embarrassing first parliamentary defeat on Cameron over his flagship European Union bill. The proposed law, designed to prevent the transfer of further powers from London to Brussels without a referendum, will be debated in parliament on January 11. Cameron proposed the so-called "referendum lock" in an attempt to appease eurosceptics in his party angered by his decision to give up his campaign for a referendum on the EU's Lisbon treaty. But the Sunday Telegraph said his strategy appeared to have backfired. Some eurosceptic Conservatives feel the measure offers no real safeguards, because ministers would have discretion in many cases over when a referendum
was required and their decision could be challenged in the courts. The report said eurosceptic Conservatives would propose radical amendments to the legislation and, if these were rejected by the government, some could vote against the entire bill. It quoted sources in the main opposition Labour Party as signalling that Labour leader Ed Miliband would order his members of parliament to oppose the legislation. The Sunday Times said "control orders" -- a contentious form of house arrest imposed on some terrorism suspects who have not been charged -would be scrapped in a victory for the centre-left Liberal Democrats, the junior partner in Cameron's coalition. The cabinet was poised to approve a compromise deal next week, ending months of arguments that Cameron feared could destroy the eight-monthold coalition, the newspaper said. Suspects will be allowed to stop wearing electronic tags and be released from home curfews. They will be able to travel freely in Britain, but not overseas, and See # 3 Page 11
Wheels of change set in motion:Altaf Says ending heredity politics is MQM's agenda MULTAN: Muttahida Qaumi Movement (MQM) Quaid, Altaf Hussain has said that revolution has become fate of the country, people of lower and middle classes, comprising 98 per cent of the total population of the country are only guarantee for survival and stability of country. Altaf Hussain said this in his telephonic address to MQM Zonal Organization Committee, party's women wing, Legal Aid Committee, social forum and office bearer of APMSO here at party's Multan Zonal Office. He said that country's politics was confined to few families who were ruling the nation generation after generation and do not let legible and sincere people to come forward and play role for development and stability of the country. The MQM Quaid said steering the country out of the prevailing gloomy law and order and economic scenario we needed to end the culture of hereditary politics and provide opportunity to edu-
cated and sincere youth who feel heartfelt grief over sufferings of country and its people. He said that Pakistan came into being as a result of untiring efforts of leadership of freedom movement and sacrifices of millions of Muslims but it was matter of grave concern that despite passage of six decades we have not succeeded to achieve the desired goals for which Pakistan was established. Altaf Hussain said that political leadership was concentrating over development of their constituencies only and it has ignored the Southern Punjab urging the people of these areas to wake up against the injustice being done to them. He urged the people of Southern Punjab to continue peaceful efforts for achievement of their basic rights. The MQM chief said that his party has a revolutionary plan for development of country and uplifting of the living standard of its people therefore countrymen should join and cooperate with the See # 4 Page 11
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