7,872
August 8, 2009
Talks with the IMF have been successful in terms of the release of the 3rd tranche & an additional loan of $3.2 billion. As the market had been sitting on the fence awaiting the news, it should propel the KSE-100 index above 8k next week. The final upward trigger will depend on how many bps will be cut in the Monetary Policy announcement on August 15th.
News : A huge inflow of $19.146 million (Rs 1.55 billion) of foreign portfolio investment at the local equity market was recorded during the outgoing week ended August 7, 2009. This was the highest weekly net inflow witnessed by the market in last 15 months…offshore investors bought shares worth $25.2 million and sold shares worth $6.6 million during the week….Analysts believed that the foreign investors interest at the local market is reviving and they are coming back to invest here. They were expecting that more foreign portfolio investment would come in the local equity market as the Pakistan equity market is still cheaper as compared to other regional markets,…Aaj News
Askari Bank Limited announced on Friday that it had decided not to proceed with the merger of Mybank Limited with and into Askari Bank Limited…In June, Askari Leasing had announced its intention to merge with Askari Bank and at the same time intentions to merge Askari Bank and Mybank were also announced. Well-informed sources told Daily Times that one of the banks had a big infected portfolio because of which the two disagreed on the swap ratio. As a result, talks broke down… Daily Times
Petroleum giant Shell has agreed to participate with 4gas in Pakistan’s first liquefied natural gas (LNG) import project,With Shell becoming part of Mashal LNG project, it would open up sources of gas supply from around the world…British Shell and Carlyle Group’s 4gas separately showed interest when Mashal LNG was tendered in 2005. Subsequently, 4gas was issued exclusivity letter by the government that brought it close to the actual award of the project….The $700 million project comprises a floating terminal and storage tanks built onboard a ship, which will be chartered for the duration of the contract. All the investment is being made by 4gas. Work on the project, including dredging and pipelines, is slated to start by December 2009…. The News
Market Low : 7,822.32 High : 7,937.80
Market Close : 7,872.23 — 49.91 points up
