13,759 - More panic selling
January 22, 2008
Global panic selling took its toll on the KSE-100 index which opened over 250 points down and then slowly recovered to close down at 13,759. Arif Habib Ltd closed at its highest close to date at its upper limit of 360.55 and traded its highest ever volume of 5 million plus shares. Markets got another bashing with HK, China and India suffering further losses.
The US Federal Reserve slashed interest rates by 75 basis points on Tuesday – and hinted clearly at more cuts to come – in a bid to arrest the deterioration in the US economy and stem a wave of selling in world stock markets….Financial Times. Once again the KSE-100 index has been relatively unscathed by all the global panic selling since yesterday, with a loss of only 115.2 points in the last 2 days. There should be some bounce in regional markets 2moro as they are quite oversold. Upside sees resistance at 13,900 and downside support is at 13,560.
News : The Federal Cabinet, which met here on Tuesday with Caretaker Prime Minister Mohammedmian Soomro in chair, approved the Stock Exchanges (Corporatization, Demutualization and Integration) Ordinance.The proposed Ordinance will ensure that all the Stock Exchanges are corporatised and effectively demutualized within 110 days of the promulgation of the Ordinance. After demutualization, 60% of the Directors and the Chairman of the Board of any Stock Exchange will be independent members…Eventually the shareholding structure of the Stock Exchanges will be 40% with the existing members, 20% with the general public and 40% with the foreign strategic investors or local Financial Institutions…Aaj News
Upper Caps : Arif Habib Ltd. / Adamjee Insurance
Market Low : 13,562.16 High: 13,850.19
Market Close : 13,759.50 – 90.69 points down
