STOCK MARKET UPDATE: 13.11.2012

STOCK:

Karachi Stocks Down 44.12 Points:
KARACHI, Nov 12: At the close of trading, the KSE-100 index was at 16199.15, down 44.12 points. 

(Today Market is 4.16 Down @ 10.18 am)

November 12, 2012

5 TOP GAINERS  &  LOOSERS:

Unilever Food	Rs 180.00	Exide (PAK)	Rs (13.00)
Island Textile	Rs 24.42	Sitara Chemical	Rs (6.74)
National Foods	Rs 13.98	Atlas Battery	Rs (6.20)
Pak Int. Con	Rs 7.37	Pak Gum & Chem	Rs (4.72)
Sunrays Textile	Rs 5.67	Packages Ltd	Rs (3.76)

Stocks fall on city killings

KARACHI, Nov 12: Deteriorating law and order situation in the country’s commercial hub forced stock investors to square their positions on Monday and also booked profits at higher levels after the market ended on a record high in the previous trading session, brokers said.
The KSE 100-share index ended 0.18 per cent, or 29.59 points lower at 16,213.68 points. It made an all-time high at 16,278.00 points on Thursday.
Turnover marginally decreased to 149.41 shares, compared with 152.94 million shares traded on Thursday. Trading value also fell by more than Rs2.3 billion to Rs3.52 billion from Rs5.88 billion the previous trading session.
Market capitalisation stood at Rs4.043 trillion, lower than Thursday’s capitalisation of Rs4.049 trillion.
“Prevailing law and order situation of the city forced investors to trim their portfolio. Oil and fertiliser sector remained under pressure,” said Samar Iqbal, a dealer at Topline Securities Ltd.
A spate of killings across the city in the last few days made investors cautious, brokers said.
Energy stocks such as Pakistan State Oil ended 46 paisa lower at Rs216.92 and Pakistan Petroleum Ltd shed Rs1.60 to end at Rs177.02.
Fertiliser sector also witnessed pressure as Engro Corp lost Rs3.39 to Rs91.84.
“Unrest in the city, fall in rupee dollar parity ahead of IMF loan repayments due this month, uncertain global stocks and commodities, limited foreign interest and rising political uncertainty played a catalyst role in bearish sentiments,” said Ahsan Mehanti from Arif Habib Ltd.
“Investor support continued in second and third tier stocks on strong valuations.”
Some interest came in cement stocks as well as selling was witnessed last week.
Foreigners became net sellers as they sold shares worth a net $705,021, compared with a net buying of $15.68 million, bringing the total for this month to $22.1 million. But individuals were the major buyers with equity worth $1.8 million.
The market capitalisation based KSE 30-index fell by 0.46 per cent, or 61.56 points, to close at 13,269.90 points.
Out of the 331 companies traded, the value of 162 increased, 145 decreased, while 24 remained unchanged, indicating that the pressure was on index-heavyweights.
The biggest gainers and losers were as follows: On the plus side, Unilever Food was up by Rs180 to Rs3,780, followed by Island Textile which was up by Rs24.42 to Rs512.93. On the declining side, Exide Pakistan lost Rs13 to Rs317 and Sitara Chemical which decreased by Rs6.74 to Rs177.
The list of volume leaders included mainly middle tier shares: JS Bank rose 54 paisa to Rs6.45 on 17.5 million shares, Azgard Nine gained 54 paisa to Rs7.59 on 17.36 million shares and Fauji Cement ended 11 paisa higher at Rs6.64 on 11.49 million shares.
Jahangir Siddiqui Co gained Re1 to Rs16.14 on 11.42 million shares. DG Khan Cement rose 60 paisa to Rs53.25 on 7.32 million shares, and JS Investments ended 49 paisa higher at Rs9.59 on 7.25 million shares.
Bank of Punjab ended 23 paisa higher at Rs8.73 on 3.54 million shares, Lafarge Pakistan shed 5 paisa to Rs5.25 on 3.51 million shares and Fatima Fertiliser gained 30 paisa to Rs26.37 on turnover of 3.43 million shares.
Nishat Chunian ended 50 paisa lower at Rs28.08 on 3.42 million shares.

KSE eases towards 16,200 points

KARACHI: Pakistani stocks eased towards 16,200 points on Monday, as weakness in Engro Corp and oil shares offset a rise in bank stocks.
Engro fell 4.1 percent to 91.33 rupees, while JS Bank rose 10.83 percent, or 0.64 rupees, to 6.55 per share.
Azgard Nine rose nearly 7.38 percent, 0.52 rupees, to 7.57 per share.
The Karachi Stock Exchange (KSE) benchmark 100-share index ended 0.18 percent, or 29.59 points, lower at 16,213.68. (Reuters)
Company news:
SSGC, SNGPL accounts not yet finalised: ISLAMABAD, Nov 12: The determination for Final Revenue Requirements (FRR) of two gas utilities SNGPL and SSGCL for 2011-12 has been delayed beyond a legal deadline owing to inability of the government and Ogra to fix a cap on allowance for gas theft, loss in security hit regions and minimum monthly charges.
An Oil and Gas Regulatory Authority Ogra official told Dawn on Monday that the regulator was required to finalise the FRR by end of September 2012. As a consequence, the legal requirement to declare final accounts of the two gas utilities has been delayed by almost two months now.
The two gas utilities informed the capital market regulators the Securities and Exchange Commission of Pakistan and the Karachi Stock Exchange that they could not finalise their annual accounts because of delays by the Ogra to determine their FRR.
The gas utilities were granted one-month relaxation by the corporate watchdogs to submit their annual results. Now a fresh request has been sent to the KSE for second extension for another month.
As a consequence, the Ogra has not been able to take up for public hearing the requests by the two gas utilities to determine half-yearly revenue requirements and prescribed prices for the current year within the legal time period fixed under the Ogra law.
The Ogra law requires the regulator to hold public hearing and determine prescribed gas prices and forward its determination latest by November 20 for the first half and by May 20 for second half of the year.
The law also requires the federal government to take a decision on Ogra-determined prescribed prices within 40 days and fix consumer-end gas prices with effect January 1 and July 1 every year.
Informed source said the requests by the two utilities for increase in gas tariff and additional revenue requirement for the current year have been pending before the Ogra for quite sometime but the regulator has not taken up these for hearing.
An Ogra official said the regulator was making efforts to hold public hearing for the interim revenue requirement of the two gas companies for first half of the current year in the last week of this month and hence the legal requirement to forward its half-yearly determinations by November 20 would be missed.
These sources said the major obstacle in finalising FRR for last fiscal year (2011-12) and interim revenue requirement for half-year (2012-13) was inability of the petroleum ministry and the Ogra to agree on benchmarks for unaccounted for gas, gas thefts, losses in law and order prone areas and minimum monthly charges because of their nervousness to decide on crucial issues when the Supreme Court of Pakistan was closely monitoring gas pricing issues.
The apex court is currently seized with over Rs83 billion worth of cases relating to former Ogra Chairman Tauqir Sadiq that also involved CNG pricing and increase in UFG allowances to gas utilities.
This is despite the fact the federal cabinet has already allowed certain losses arising out of gas theft by non-consumers and non-recovery of gas bills and system losses in areas hit by adverse security situation. While allowing these losses worth Rs10 billion a year to be recovered from honest gas consumers, the cabinet had directed the petroleum ministry and the Ogra to fix a reasonable cap on such allowances.
An official said that despite circulation of minutes of the cabinet meeting, the petroleum ministry had now yet advised the regulator about the benchmarks or invited the regulator for consultation on the matter.
“The petroleum ministry and Ogra are pre-occupied with CNG pricing cases being heard by the Supreme Court and have not been able to discuss larger issues of public interest”, said a senior official at Ogra.
He said the regulator was also worried over some of the allowances regarding gas losses in security hit regions it allowed to the gas companies last year and feared that these could be opened for hearing by the apex court because these may have weak legal standing.
For example, no law could allow the cost of gas theft determined by the gas utilities to be passed on to honest consumers, even though some justification could be contested on account of security related losses.
HBL signs deal with Citibank: KARACHI, Nov 12: Citibank N.A. (Pakistan Operations) on Monday officially announced that it had entered into an agreement with Habib Bank Limited to sell its Credit Card and Consumer Lending portfolio in Pakistan.
Citi Pakistan will work with HBL to ensure a smooth handover during the transition period,” said a press release issued by the bank.
The announcement was made at a signing ceremony held in Karachi, attended by HBL and Citi Pakistan representatives.
MOHAMMED SALEEM MANSOORI