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April,05(A. E Report)—— Pakistan Stock Exchange (PSX) experiences another volatile session on Wednesday, as the benchmark KSE-100 Index ended the day flat, while both the volume and value of shares traded improved from the last close.Trading began on a positive note, with the benchmark index reaching an intra-day high of 39,904.75, up by 240 points during the initial hours. Investors rejoiced after the central bank raised its policy rate by only 1%, lower than market expectation, which was anticipating a rate hike of around 1.5% to 2%.By the end of the day, the KSE-100 Index settled with an increase of 29.89 points or 0.08% to close at 39,717.15.After markets closed on Tuesday, the Monetary Policy Committee (MPC) of the State Bank of P...

April 5, 2023 at 9:06 pm | Economic Affairs

April,05(Agencies)—— Gold prices rose on Wednesday to their highest level since March 2022 after weak US economic data spurred safe-haven demand and expectations that the Federal Reserve might loosen its stance on monetary policy tightening.Spot gold was up 0.3% at $2,025.49 per ounce, as of 0716 GMT, in thin trade as China and Hong Kong markets were closed for a holiday.US gold futures firmed 0.2% to $2,042.10.The dollar index hovered near two-month lows, making bullion cheaper for buyers holding other currencies.“Gold could continue to tear to the upside,” given a slowing global economy with high inflation, said Clifford Bennett, chief economist at ACY Securities, adding that the dollar’s weakness was allowing gold to leap high...

April 5, 2023 at 9:01 pm | Economic Affairs

April,05(Agencies)—— US dollar stuck near two-month lows on Wednesday as weak economic data bolstered views that the Federal Reserve is near the end of its monetary tightening cycle.Data overnight showed US job openings dropped to their lowest level in nearly two years in February, suggesting that labour market conditions were finally easing.Job openings, a measure of labour demand, were down 632,000 to 9.9 million on the last day of February, the monthly Job Openings and Labor Turnover Survey, or JOLTS report, showed. Economists polled by Reuters had forecast 10.4 million openings.The dollar index, which measures the currency against six peers, eased to a fresh two-month low of 101.43, after dropping 0.5% overnight.The euro was up 0.1...

April 5, 2023 at 8:58 pm | Economic Affairs

April,04(Agencies)——Malaysian palm oil futures jumped on Tuesday, hitting their highest closing levels in nearly three weeks, as traders covered positions following a surge in crude prices.The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange closed 85 ringgit higher, or 2.19%, to 3,969 ringgit ($901.23) a tonne.The contract jumped 3.3% on Monday, tracking a spike in crude prices after the OPEC+ group jolted markets with plans to cut more production.“The surprising move by OPEC+ to cut production added with USDA planting intentions, which came in at the low-end saw short covering in the market,” said Paramalingam Supramaniam, director at Selangor-based brokerage Pelindung Bestari.Palm posts bi...

April 5, 2023 at 9:20 am | Economic Affairs

April,04(Agencies)—— Wall Street stocks were almost flat early Tuesday as markets shrugged off the political drama surrounding former US president Donald Trump in a holiday-shortened trading week.About 40 minutes into trading, the Dow Jones Industrial Average was down slightly at 33,594.68.The broad-based S&P 500 edged up 0.1 percent to 4,129.78, while the tech-rich Nasdaq Composite Index advanced 0.2 percent to 12,212.50.The impending arraignment of Trump in a New York courtroom later in the day has dominated headlines, as he faces charges over hush money paid to a porn star ahead of the 2016 election that brought him to power.Trump is the first sitting or former American president to be criminally indicted – a historic developm...

April 5, 2023 at 9:18 am | Economic Affairs

April,04(A. E Report)——Negative economic indicators and uncertainty over resumption of the International Monetary Fund (IMF) programme pushed the Pakistani rupee towards a new historic low against the US dollar, as the currency settled over the 287 level for the first time in the inter-bank market on Tuesday.As per the State Bank of Pakistan (SBP), the rupee closed at 287.29, a loss of Rs2.25 or 0.8%. This is the lowest level for the Pakistani rupee since it hit 285.02 against the greenback in March this year.Pressure on the rupee continued from a day prior, when it closed at 285.04 in the inter-bank market against the dollar, a decline of Rs1.25 or 0.44%.Earlier in the year, the rupee had suffered a dramatic fall when it went from 230...

April 5, 2023 at 9:18 am | Economic Affairs

April,04(A. E Report)——World Bank has sharply lowered Pakistan’s current year growth forecast, saying the country’s economic growth prospects have weakened due to tighter financial conditions and limited fiscal space.The World Bank now expects Pakistan’s economy to grow 0.4% in the current year, from its October forecast of 2% growth. The bleaker forecast assumes an agreement is reached with the International Monetary Fund for bailout funds, it said.Pakistan’s fiscal year starts from July and runs through June. Pakistan expects its economy to grow 2% in FY23, however, the country’s central bank chief said in January the growth forecast could face downward pressure.The South Asian nation has been in economic turmoil for months...

April 5, 2023 at 9:15 am | Economic Affairs

April,03(A. E Report)—— Pakistani rupee stayed under pressure against US dollar, depreciating 0.44% in the inter-bank market on Monday.According to State Bank of Pakistan (SBP), the rupee settled at 285.04, a loss of Rs1.25.During the previous week, the rupee had depreciated a marginal 0.21% to settle at 283.79 as a slightly higher level of foreign exchange reserves kept the downside pressure at bay even without a revival of the International Monetary Fund (IMF) programme.However, reserves held by the SBP remain at less than one month of import cover, underscoring the need for resumption of the programme.Experts believe the currency will likely remain under pressure, especially since a cut in oil production could boost the commodity’...

April 4, 2023 at 12:21 pm | Economic Affairs

April,03(Agencies )—— Malaysian palm oil futures finished more than 3% higher on Monday, in the market’s biggest rise in two months, as a rally in crude oil lifted prices after Saudi Arabia and other OPEC+ producers announced a surprise cut in their output target.The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange climbed 124 ringgit, or 3.3%, to 3,885 ringgit ($879.56) a tonne, peaking at 3,919 ringgit, or 4.2% higher, earlier in the session.“A buying frenzy, fuelled by crude oil, sent palm futures up,” said Sathia Varqa, co-founder of Singapore-based Palm Oil Analytics.“As fossil fuel prices rise, the demand and use of palm-biodiesel become more attractive.”Malaysia said on Sunday it...

April 4, 2023 at 12:20 pm | Economic Affairs

April,03(Agencies)—— The OPEC+ group’s surprise additional production cuts could push oil prices back towards $100 a barrel, tighten the market and encourage refiners to diversify supplies, analysts and traders said.Oil prices jumped more than $4 a barrel on Monday after the Organization of the Petroleum Exporting Countries and their allies including Russia announced further production cuts of about 1.16 million barrels per day (bpd) from May through the rest of the year.The pledges will bring the total volume of cuts by the group known as OPEC+ since November to 3.66 million bpd according to Reuters calculations, equal to 3.7% of global demand.OPEC+ had been expected to hold output steady this year, having already cut by 2 million b...

April 4, 2023 at 12:18 pm | Economic Affairs

April,03(A. E Report)—— Petroleum products’ sales clocked in at 1.11 million tons in March, registering a decline of over 39% year-on-year, mainly due to lower demand of Furnace Oil (FO) for power generation and slowdown in economic activity due to Ramadan effect, said experts.March registered lowest monthly sales number in 35 months where FO sales nosedived by 70% YoY in March 2023, amounting to 0.09 million tons, data showed.Sale of MS (petrol), fell 28% YoY, clocking in at 0.56 million tons in March. Volume of High-Speed Diesel (HSD) plunged by 43% YoY, settling at 0.40 million in March 2023.On a month-on-month basis, POL products offtake witnessed a drop of 9% during March. Volumes of MS inched up slightly by 1%, whereas HSD and ...

April 4, 2023 at 12:16 pm | Economic Affairs

April, 03(Agencies)—Most Asian currencies fell on Monday, with the South Korean won suffering the biggest drop after the Organisation of the Petroleum Exporting Countries announced a surprise cut in oil output that stoked fears about persistent inflation.The South Korean won slumped as much as 1.5%, its worst day in about a month. The currency is emerging Asia’s weakest, having lost more than 4% on a year-to-date basis.Brent oil futures rallied in early trade after OPEC+ announced late on Sunday further oil production cuts of around 1.16 million barrels per day. That overshadowed market optimism over a softer reading of core inflation from the United States on Friday.A jump in oil prices usually results in a sell-off in riskier assets ...

April 4, 2023 at 12:13 pm | Economic Affairs

April,03(EA Report)——Pak Suzuki Motor Company (PSMC) on Monday extended its shutdown of its motorcycle plant till April 15 and suspending its automobile plant operations from April 7 to April 14 due to inventory shortage as import restrictions continue to hit the auto sector.The company shared the development in a notice to the Pakistan Stock Exchange (PSX).“Due to shortage of inventory level… the management of the company has decided to extend shutdown period of its motorcycle plant till April 15, 2023,” read the notice.“The automobile plant will also observe shutdown on April 07, 2023 & April 14, 2023 due to shortage of inventory level,” it added.PMSC is the local assembler, manufacturer and marketer of Suzuki cars, pic...

April 4, 2023 at 12:11 pm | Economic Affairs

April,01(Agencies)--Prices of new homes in 100 Chinese cities rose at the fastest pace in nine months in March as government support measures helped demand pick up in large and midsize cities, a private survey showed on Saturday.New home prices rose 0.02% from the previous month after a flat reading in February, the fastest rise since June, one of the country’s largest independent real estate researchers, data from the China Index Academy says.In March, 41 cities reported increases, up from 26 in February, the survey firm said.The property sector, which accounts for a quarter of China’s economy, was badly hit last year as many developers could not finish projects, leading mortgage boycotts by some buyers. COVID-19 lockdowns and movemen...

April 1, 2023 at 4:31 pm | Economic Affairs

April 01 (E.A Report)--Pakistan's Consumer Price Index (CPI)-based inflation clocked in at 35.4% on a year-on-year basis in March 2023 as against to an increase of 31.5% of February and 12.7% in March 2022. On a month-on-month basis, it increased to 3.7%, Pakistan Bureau of Statistics (PBS) data released on Saturday shows.Data showed highest year-on-year inflation since the available data i.e. July 1965,” which takes 9MFY23 average inflation to 27.3% compared to 10.8% in 9MFY22.The transport group witnessed an increase of 55% YoY.As per PBS data, the food group, commands a significant weight of 34.58% in the inflation reading, remained the major driver behind the increase. It increased from 170.06 in March 2022 to 250.25 in March 2023, a...

April 1, 2023 at 4:29 pm | Economic Affairs

March,31(Agencies)-- Malaysian palm oil futures dropped on Friday after four days of gains as profit-booking and a stronger ringgit weighed on prices, although the benchmark contract was set for a weekly rise amid output concerns.The benchmark palm oil contract for June delivery on the Bursa Malaysia Derivatives Exchange fell 1.72% to 3,723 ringgit ($845.18) by the midday break, erasing some of the 7.67% gains over the past four days.For the week so far, the contract is up 6%, but is on track to post a monthly loss. Palm dropped on “weekend profit-taking, and external markets gradually easing, coupled with a firmer ringgit,” a Kuala Lumpur-based trader said adding, txpectations of higher exports may cushion the drop.Cargo surveyors are...

April 1, 2023 at 8:55 am | Economic Affairs