Downward spiral to 9,504
July 10, 2006
The market continued its downward spiral that began on Friday with the news of a meeting with the SECP and the National Assembly’s Committee on Finance and Revenue. While the record NIT dividend of Rs. 5.80 per unit would have boosted the price of NBP, Bank of Punjab and Faysal Bank under normal market conditions, it went down 331 points to close at 9,504. The result of the meeting is that the government has directed the SECP to prepare a charge sheet against its former chairman Dr.Tariq Hassan for his failure to prevent the Karchi Stock Market crash in March 2005. Hassan had hinted at the Govt’s. intervention as the cause of no action taken against the ‘’culprits " .
While another team of investigators have been ordered to probe the rectums of some of the bigger brokers in regards to the March 2005 crash, 16 months later, it seems a bit fucking stupid to start now !! Another ‘’Mickey Mouse ‘’ event in the history of the KSE -100, especially as since the market crash of 2005, this year the market went up even higher than the 2005 peak and last week was only 500-600 points off last year’s high.
So perhaps the market will come off further down to 9,000 till this blows over and then back up as the punters extremely short memories come into play. Prepare the Vaseline and Buy BOP !!!
Market close : 9,504.85 — 331.19 points down.
