Bears and bulls locked horns at the Pakistan Stock Exchange (PSX) yesterday as the KSE-100 index traded on both sides of the fence, but closed with a loss of 83 points owing to investor concern over surge in coronavirus cases. Market sentiment was further dampened by the rising trend in international oil prices as investors feared a further increase in prices of petroleum products over the next few months in the country.
KASB Market View
We see the market grasping to realities of economic indicators going ahead. Therefore, close watch on economic indicators remains as the current focus for the market as of now. Furthermore, kick off for the result season can bring in select surprises. Lastly, reduction in automobile prices through tax adjustments, in tandem with the low interest rate environment, in expected to keep vehicle sales on the higher side.
National News
Pakistan tops up March bonds to the tune of $1bn
Pakistan sold $1 billion on Tuesday in a reopening of existing three-tranche bonds launched in March, a deal that raised $2.5 billion and was its first international bond sale since late 2017. Pakistan sold $300 million of a tranche due in 2026 at 5.875%; $400 million in bonds maturing in 2031 at 7.125%; and $300 million in paper due in 2051 at 8.45%, according to a document from one of the banks on the deal seen by Reuters.
https://epaper.brecorder.com/2021/07/07/1-page/892461-news.html
SNGPL says can meet only 50pc RLNG demand
Power Division is reportedly in a state of shock as Sui Northern Gas Company Limited (SNGPL) has conveyed that it can meet only 50 per cent RLNG demand of power sector in August 2021, which is an indication of further increase in tariff due to use of expensive fuel.
https://epaper.brecorder.com/2021/07/07/1-page/892463-news.html
CNG price increases by Rs17 in Sindh
The Pakistan CNG Association has increased the price of compressed natural gas by Rs17 per kg in Sindh. People were seen complaining about the hike on Tuesday. They said they had better use petrol instead of CNG.
https://epaper.brecorder.com/2021/07/07/18-page/892580-news.html
Sales tax on motor spirit reduced
The Federal Board of Revenue (FBR) has reduced sales tax on motor spirit from 17 percent to 16.40 percent from July 6, 2021. The FBR has amended SRO 57(I)/2016 (sales tax on petroleum products) through a notification SRO 860(I)/2021, issued on Tuesday.
https://epaper.brecorder.com/2021/07/07/1-page/892459-news.html
Power sector ‘racket’ unearthed by WB
The World Bank has unearthed a “racket” of 23 Pakistani companies which were awarded all contracts of projects undertaken by the Distribution Companies (Discos) and National Transmission and Despatch Company (NTDC).
https://epaper.brecorder.com/2021/07/07/1-page/892462-news.html
8th Generation Hyundai Sonata (CKD); Hyundai Nishat Motor announces booking
Hyundai Nishat Motor Private Limited has officially revealed its 4th CKD model Hyundai Sonata in Pakistan. Hyundai Sonata is the 8th Generation Luxury Sedan and HNMPL is proud to bring a product for the first time in the D-Sedan Segment thereby providing Sonata a first mover advantage in this category for Pakistani consumers. It is pertinent to mention, 8th Generation is latest generation of Hyundai Sonata as available worldwide.
https://epaper.brecorder.com/2021/07/07/7-page/892500-news.html
Toyota IMC Issues Recall for Thousands of Cars in Pakistan
The Toyota Indus Motor Company (IMC) has issued a recall for particular vehicle models fitted with a faulty fuel pump that could cause their vehicles to misfire, stall, and fail to start up again.
https://propakistani.pk/2021/07/06/toyota-imc-issues-recall-for-thousands-of-cars-in-pakistan/
Private sector borrows net sum of Rs.97.72 billion in a week
The non-government sector has borrowed another net sum of Rs.97.72 billion during the week ended June 25, 2021, which brings the cumulative net borrowing for ongoing fiscal year FY2021 to Rs.549.58 billion. The net borrowing as of prior week was recorded at Rs.451.86 billion.
https://mettisglobal.news/private-sector-borrows-net-sum-of-rs-97-72-billion-in-a-week/
G-MSS for housing finance; FIs to face penalty for missing targets
The State Bank of Pakistan (SBP) has announced that it will impose penalty on the Financial Institutions (FIs) falling short of monthly mandatory targets of number of housing units and amount of disbursements assigned under the Government Mark-up Subsidy Scheme (G-MSS) for housing finance.
https://epaper.brecorder.com/2021/07/07/1-page/892457-news.html
Low taxes on tobacco industry; Pakistan may be facing Rs30bn annual revenue losses: ADB
Pakistan may be facing annual revenue losses of Rs30 billion (approximately $193.37 million) due to low taxes on the tobacco industry, while the health of the nation’s youth is at stake, says the Asian Development Bank (ADB).
https://epaper.brecorder.com/2021/07/07/4-page/892483-news.html
