PSX opened on positive note and rose more than 190 points erasing yesterdays losses. But selling pressure forced the index to spend much of the day in negative zone. Market however recovered to close +12 points. This market closure is positive considering present scenario.
KSE100 closed flat at 44,526 +12. Almost at middle of the Day Range. Traded 107 mn shares of $33.7mn.
If events on national and international front do no take worse turn we can expect the market to perform better in coming days.
Mutual Funds have been under redemption pressure. So far YTD Mutual Funds have sold over $40mn worth of shares. Today Funds were net buyers that too had a positive effect on the market today.
'Foreigners' selling on account of ouster from MSCI EM index is over. And we dont see any major sale on that front. That too is positive. Today's +ve net buying by foreigners is on account of TRG only.
Ukraine crises, sky rocketing commodity prices, higher energy cost and political uncertainty on national level is keeping investors and market participants depressed however.
Monetary Policy meet is next Tuesday. Although Policy rate is expected to remain at current level, market rates have recently risen slightly as pressure is expected on public finances.
FATF announcement is also expected with no one expecting any change due to international politics.