Imtrade gas 76


We expect SBP to increase the policy rate by 50bps to 8.0% (Discount rate to 8.5%) in the upcoming MPS, taking cumulative interest rate increases in CY18 to 225bps. Burgeoning inflationary pressures will take precedence in the decision, in our view, but we expect the MPS committee to also consider recent improvement in external account and settle on a modest rate hike (compared to a 100bps move in Jul’18).

The 100 Index extended its losses from the previous session as technical supports gave way to bears and waning investor confidence forced market bulls to start looking for shelter. electricity in homes As concerns on economy keeps influencing market sentiment, the market’s ability to sustain relatively large orders without impacting the price of securities is also diminishing.

After staging a minor retreat in the previous session the 100 Index extended losses and closed down 354.57pts (-0.85%) at 41,266.39 as it moves towards next technical support. q gas station Market participation was mixed with the 100 Index volume surging past yesterday’s volume (+38.16% on d/d basis) perhaps as BOP came into limelight and churned 43.28mn shares in today’s session.

After much ado about nothing and amid listless trading the 100 Index closed on a buoyant note, in line with our morning outlook. Cements were in the limelight perhaps after PM Khan constituted a committee under the head of Federal Secretary Housing and Works to come up with initial feasibility report within a week for construction of low-cost five million houses.

The 100 Index extended its losses from the previous session amid thin participation as dearth of market moving triggers and concerns on economy kept market participants on the sidelines. While market participants were looking for a glimpse into forward guidance from the much anticipated maiden ECC meeting scheduled for today, it fell short of expectations.

According to NFDC official numbers, Urea offtake for Jul’18 clocked in at 496K tons, up 46% yoy (low base effect) but down 17% mom. gas after eating pasta Urea inventory now stands at 86K tons, lowest since Jul’11. electricity dance moms song On cumulative basis, urea offtake clocked in at 3.3mn tons for 7MCY18, up 6% yoy, resulting from (i) pre-buying on account of subsidy removal in May’18 and (ii) improved farmer economics.

In line with our earlier view, market participants looked beyond disappointing result announcements, concerns regarding ongoing high profile NAB investigations, decline in crude oil prices and a global selloff from the previous session and turned the tide on market bears as PTI’s Imran Khan looked set to have a smooth sailing in election later today after PPP and JI withdrew their support for PML-N President Shehbaz Sharif.

As per our survey, domestic institutions see political clarity emerging after elections, with the KSE-100 Index expected to gain 20-25% next year despite macroeconomic slippages. More than 60% of participants believe elections will be held on time, with PML-N likely to lead a coalition government and PTI in opposition. gas station in spanish However, a sizeable 20% of respondents believe elections may either be delayed or not be held at all. Note that this survey was conducted prior to the weekend.

We initiate coverage on Engro Foods (EFOODS) with a Sell stance and a Dec’18 TP of PRs81/sh. EFOODS has achieved significant milestones in just over 10yrs of existence and it will continue to be a major player in Pakistan’s dairy sector, but an interim period of consolidation will keep profitability and thus share price in check, in our view.

Following weaker than projected 2QCY17 earnings (EPS: PRs4.41; -6%YoY) and expectations of more NIM compression, we cut our CY17-21F estimates by 12.5% on average and reduce our Dec’18 TP by 19% to PRs237/sh. gas apple pay Although CAR is 15%+, we build in a diminishing cash payout ratio inline with management guidance but go a step further by incorporating PRs10bn Tier-II issuance in CY19F, similar to UBL.