Dear Clients,
Pakistan’s Stock Market continued the positive trend today as bulls dominated the bears today. Expectations of monetary policy to keep interest rates unchanged kept the stock prices up. Refinery stocks had a strong run as expectations of Refinery policy kept stocks near upper cap. Technology stocks, over all, had a breather as investors opted for profit-taking & sectoral switches. Oil Market Companies & Chemical Industries remained positive also. Power stocks also remained upwards as Power division withdrew it’s summary to ECC asking to stop payments to IPPs subject to NAB’s inquiry. Payment is otherwise expected next week.
Among key events; Waves Singer Pakistan announced rights along with shifting of the factory and beginning of Real Estate venture. We expect next week to begin mildly positive as a carry over of unchanged Monetary Policy helps growth stocks & equity markets in general. Similarly, launching of Hyundai Elantra might bring interest in Millat Tractor, Nishat Mills & DG Khan Cement. SBP’s forward guidance hints at no change in May’s policy as well. This should bode very well for Equity Capital Markets.
KASB Research
