13,353 - further downside
January 2, 2008
The Karachi stock market opened up and made a high of 13,778. It then slowly went down and in the last half hour got bashed down to 13,353, due to some baseless rumours. The market is now down by 1,418 points (9.6% ) in the last 3 sessions and should be ripe for a pullback soon. The uncertainty of the election date has been removed today with the announcement of Feb.18th as the new date. Provided the 2 political parties behave and control their dogs from rioting and burning, there should be some consolidation in the market. Oil has hit $100 today for the 1st time. The next upward resistance is 13,500-700.
News : Cement sales in Pakistan jumped 24 percent in the first half of fiscal 2007/08 from a year earlier, driven by growing construction demand at home and abroad…Sales totalled 13.9 million tonnes for the six months to December, compared with 11.18 million tonnes in the same period of 2006, said Shahzad Ahmed, secretary-general of the All Pakistan Cement Manufacturers Association Pvt Ltd. Exports of cement soared 149 percent to 2.99 million tonnes from the 1.20 million tonnes shipped a year earlier…Cement demand is expected to rise further as the 2007/08 budget has earmarked a record 520 billion rupees ($8.45 billion) for the public sector… Aaj News
Crude oil rose to $100 a barrel for the first time in New York as record global fuel consumption threatens to outpace production.Oil’s gain, extending last year’s 57 percent rally, was boosted by forecasts that U.S. stockpiles dropped to a three-year low last week. Unrest in Nigeria, Africa’s largest oil producer, also spurred prices…"Various geopolitical problems have deteriorated overnight, in particular Nigeria and Pakistan. Commodities, and in particular oil, have become safe havens in a dangerous world.'’… Bloomberg
Lower Caps : AHSL / AHL / ICI / MCB / DGKC / JOVC / PRL / CCBL / NML / BOSI / AICL /JSBL
Market Low : 13,335.61 High : 13,778.06
Market Close : 13,353.38 — 313.05 points down
