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International Karachi, Monday, January 17, 2011, Safar-ul-Muzaffar 12, Price Rs12 Pages 12

Musharraf rules out martial law in Pak

Zardari looks to lure Arab investors

See on Page 12

No need to pump more crude: Opec

See on Page 12

Tunisia plan unity govt to end violence

See on Page 12

See on Page 8 Economic Indicators Forex Reserves (8-Jan-11) Inflation CPI% (Jul 10-Dec 10) Exports (Jul 10-Dec 10) Imports (Jul 10-Dec 10) Trade Balance (Jul 10-Dec 10) Current A/C (Jul 10- Nov 10) Remittances (Jul 10 - Dec 10) Foreign Invest (Jul 10-Dec 10) Revenue (Jul 10 Dec 10) Foreign Debt (Sep 10) Domestic Debt (Nov 10) Repatriated Profit (Jul- Nov 10) LSM Growth (Nov 10)

GDP Growth FY10E Per Capita Income FY10 Population

$17.09bn 14.61% $10.98bn $19.13bn $(8.15)bn $(504)mn $5.29bn $1.05bn Rs 638bn $58.41bn Rs 5348.6bn $287.9mn -4.69% 4.10% $1,051 174.88mn

SCRA(U.S $ in million)

208.49 13.10 16.38 3057

Yearly(Jul, 2010 up to 14-Jan-2011) Monthly(Dec, 2010 up to-14-Jan-2011) Daily (14-Jan-2011) Total Portfolio Invest (7 Jan-2010)

NCCPL (U.S $ in million)

FIPI (14-Jan-2011) Local Companies (14-Jan-2011) Banks / DFI (14-Jan-2011) Mutual Funds (14-Jan-2011) NBFC (14-Jan-2011) Local Investors (14-Jan-2011) Other Organization (14-Jan-2011)

6.69 10.24 -5.45 1.48 -4.44 -7.00 -1.52

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$.Price PKR/Shares 2.60 111.20 26.00 222.40 2.00 42.77 1.70 36.35 11.69 40.00

Money Market Update T-Bills (3 Mths) T-Bills (6 Mths) T-Bills (12 Mths) Discount Rate Kibor (1 Mth) Kibor (3 Mths) Kibor (6 Mths) Kibor ( 9 Mths) Kibor (1Yr) P.I.B ( 3 Yrs) P.I.B (5 Yrs) P.I.B (10 Yrs) P.I.B (15 Yrs) P.I.B (20 Yrs) P.I.B (30 Yrs)

12-Jan-2011 12-Jan-2011 12-Jan-2011 29-Nov-2010 15-Jan-2011 15-Jan-2011 15-Jan-2011 15-Jan-2011 15-Jan-2011 15-Jan-2011 15-Jan-2011 15-Jan-2011 15-Jan-2011 15-Jan-2011 15-Jan-2011

13.37% 13.50% 13.73% 14.00% 13.31% 13.59% 13.76% 14.09% 14.20% 14.23% 14.25% 14.27% 14.60% 14.79% 14.96%

Commodities Crude Oil (brent)$/bbl 98.38 Crude Oil (WTI)$/bbl 91.54 Cotton $/lb 141.44 Gold $/ozs 1,360.50 Silver $/ozs 28.32 Malaysian Palm $ 1,205 GOLD (NCEL) PKR 38,103 KHI Cotton 40Kg PKR 10,610

Open Mkt Currency Rates Symbols

Buy (Rs)

Australian $ 84.30 Canadian $ 86.00 Danish Krone 14.10 Euro 113.30 Hong Kong $ 10.90 Japanese Yen 1.042 Saudi Riyal 22.80 Singapore $ 65.60 Swedish Korona 12.50 Swiss Franc 86.90 U.A.E Dirham 23.37 UK Pound 134.00 US $ 85.95

Sell (Rs)

85.30 87.00 14.80 115.00 11.00 1.017 23.00 65.70 12.60 87.50 23.55 136.00 86.25

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Buying TT Clean

Selling TT & OD

84.49 86.28 15.35 114.24 10.98 1.030 22.77 66.31 12.83 88.54 23.25 135.46 85.54

84.68 86.48 15.38 114.50 11.01 1.032 22.83 66.47 12.86 88.75 23.31 135.77 85.73

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KARACHI: The government has decided to impose semicurfew in selected-sensitiveareas of the city in the wake of ongoing violence spree which has claimed more than 30 lives in three days, the move planned to put an end to ongoing killing spree in the metropolis. According to private television channels, the decision was taken at a high-level meeting chaired by Chief Minister Syed Qaim Ali Shah and also attended by Federal Interior Minister Rehman Malik and heads of security agencies to review law and order situation. It was decided that the curfew would be imposed in parts of

Qamar appointed as NBPhead ISLAMABAD: The Ministry of Finance has announced the appointment of Qamar Hussain, Chief Operating Officer NBP as President, National Bank of Pakistan on acting charge basis with immediate effect through a notification issued Sunday. Qamar Hussain prior to joining NBP in 2009 had worked with American Express Bank as their Senior Director Global Credit, New York and earlier as Country Manager, Bangladesh. He had also been associated with the Chase Manhattan Bank, in Pakistan and USA. Hussain is a distinguished Banker and brings with him rich experience in various aspects of banking particularly in Corporate Finance, Credit/ Risk Management, and has excelled in strategic planning and business management. Hussain holds an MBA degree from McGill University Canada and undergone extensive training in business leadership abroad. -Agencies

TPS Bill for Pakistanis lands in Congress WASHINGTON: Temporary Protection Status (TPS) Bill for illegal Pakistani immigrants in US has been tabled in US Congress on Sunday. Al Green - the congressman of Democratic Party who hailed from Texas presented the TPS Bill in US Congress. An identical bill was also presented before US Congress in December 2010. The TPS Bill was prepared by Congresswoman Sheila Jackson Lee, Congressman Al Green along with eight other members of US Congress. The bill seeks temporary protection status for illegal Pakistani immigrants in US as according to US constitution; the illegal immigrants can be given temporary protection in US whose country is battling against the natural disaster. After the passage of the bill in US Congress, the illegal Pakistani immigrants would be able to enjoy temporary residence status in US while the bill will also benefit students and those staying in US on visit visa. -Agencies

Rangers in the violence-hit areas. Talking to newsmen at Quaid-e-Azam International Airport Karachi before his KARACHI: Four more killed departure, Malik once again on Sunday including 2 MQM claimed that a "third" power workers here in Karachi where- was behind unrest in Karachi. as some of the culprits involved KARACHI: CM Sindh Syed Qaim Ali Shah and Federal Minister for Interior Rehman Malik "A third force is involved in in killing of political workers killing incidents in Karachi trypresiding over a meeting regarding law and order situation at CM House Sindh. -Online and security men have been ing to ignite lawlessness in the captured from Garden area. Hajj Scam city." The killers are getting Violence survives in the areas line from somewhere, he said. of Ranchor Line, Nanak Wara, "Few forces are hatching conRam Swami, Shoe Market and spiracy to trigger clash between others of West Garden, sources Pakistan Peoples Party, told adding that heavy contin- Muttahida Qaumi Movement gents of police and rangers are and the Awami National Party deployed in these areas. -APP but they will not succeed," he Gulistan-e-Jauhar and Orangi said. Praising the 'performance' ISLAMABAD: FIA has Ghulam Raza Rajani The drop in asset size growth Town and a joint search opera- of Karachi police, the minister declared former federal minisof closed-end funds was due to tion be conducted by police and See # 9 Page 11 ter for Religious Affairs Hamid KARACHI: Mutual Funds conversion of JS Large Capital Reconciliation, only way forward, PM tells CM Kazmi as clear from Hajj cor- Industry Asset size has shown Fund, Pakistan Strategic ruption scandal. impressive growth of 13.29 per Allocation Fund & Pakistan According to FIA report, for- cent in 1HFY11 to move the Premier Fund into open-end mer DG Hajj Rao Shakil and overall industry to Rs224 billion funds which have added Rs3.49 middleman Ahmad Faiz did not till December 2010 as compared billion in open-end equity fund transfer any amount in the bank to Rs197.7billion in FY10 (i.e. category. account of Hamid Kazmi. The increase of Rs26.28 billion in Nevertheless the equity fund FIA declared Hamid Kazmi absolute term). category was still able to grow cleared from the Hajj corrupOut of Rs26.28 billion, 27.08 per cent in 1HFY11, LAHORE: Prime Minister the top-priority of the political tion scandal. Rs19.95 billion has been raised thanks to local bourse i.e. KSE Syed Yousuf Raza Gilani has parties, adding eradication of The 21-page investigating said that grand economic rec- terrorism, religious extremism, report of FIA stated that there by money market fund category 100-Index which rose 23.66 per onciliation is required for the resolution of energy crisis in was no evidence that Rao followed by equity funds, which cent during the reported period. The other category which has collective good of the country. the country and economic wel- Shakil and Ahmad Faiz trans- raised Rs10.64 billion in witnessed major growth was "All the political forces fare of the common man ferred any amount in Muslim 1HFY11. Open-end funds which con- Islamic Income Fund category would be taken along on eco- require unconditional support Commercial Bank and Faisal nomic issues like the Reformed from all political forces in the Bank accounts of Hamid tribute now 88 per cent of total which grew 107 per cent to mutual fund industry size stood Rs15.09 billion as compare to General Sales Tax (RGST) and country. Kazmi. others to harness economic recGilani said that through the During hearing of Hajj cor- at Rs196.6 billion till December Rs7.29 billion at the close of onciliation", he said during a repeal of the authoritarian 17th ruption scandal, Hamid Kazmi 2010 compared with Rs168.8 FY10. meeting with the Punjab Chief amendment and passage of the denied his involvement in Hajj billion in June 2010, showing an It was due to Meezan Minister Shahbaz Sharif here 18th amendment the parliament corruption scandal. increase of 17.17 per cent Sovereign Fund which reached on Sunday. has been made sovereign and According to the FIR report, MoM; while closed-end funds Rs8.39 billion, from only Both leaders discussed cur- supreme. at the moment, the probe is stood at Rs27.37 billion (-8.5pc Rs971million in FY10. rent political situation as well Chief Minister Shahbaz being conducted into present YoY). See # 1 Page 11 as matters pertaining to securi- Sharif apprised the Premier of amount in the account of NA Body goes over LPG scandal today ty and economy in the country. ongoing development projects Hamid Kazmi but there is no "Efforts for economic recon- especially in the less-privileged evidence of transferring of any ciliation are vital for creating areas of the province. money in his account from Rao political stability conducive to Shahbaz Sharif lauded the Shakil and Ahmad Faiz. sustainable economic growth", policy of the government of On the other hand, former the Prime Minister stressed. taking all political forces on federal minister Azam Swati Premier said that the resolu- board on all issues. could not produce any proofs tion of the economic as well as The Chief Minister invited against involvement of Hamid security challenges should be See # 3 Page 11 Kazmi in the Hajj corruption ISLAMABAD: After the sur- explanation regarding its formuscandal. facing of the notorious LPG la for fixing petroleum tariffs, During CY10 deposits rise by 18.5pc Swati accused of Hamid scandal, National Assembly's taxation over the actual price of Kazmi for misusing of Hajj Standing Committee on petroleum products, and seekquota, nomination of his own Petroleum has summoned its ing clarification over the reason choice people for Hajj services meeting, today, (Monday) in of increase in petroleum prodand allotting of Hajj quota to this regard. ucts, despite their global private tour operators of taking The committee, to be chaired downslide. bribery but he could not submit by Sheikh Waqas Akram, would The committee has also sumany written and concrete evi- approve actions to be taken moned details of assets of Ahmed Siddique ter of the calendar year dence to Supreme Court and against all elements responsible OGDCL and PSO, along with FIA. for allotting the LPG quota to details of qualifications and (4QCY10) the deposits surged There is possibility that the favorite political concerns. standings of members of Board KARACHI: State Bank of 8.7 per cent QoQ compared to The 11-point agenda for the of Directors of OGRA, Pakistan has released the com- the decline of 1.2 per cent in the investigation process against has also been OGDCL, PSO, SUI Northern bined balance sheet of all previous quarter (July- Hamid Kazmi would be ended meeting soon. -Agencies announced, which would also /Southern Gas and Marri Gas. scheduled banks in Pakistan as September-10). be reviewing the issue of introReasons and details of the of December 31, 2010 which In sharp contrast to the ducing a new modus operandi continuous, irritating gas was the last weekend of the deposit performance, gross for allocating future quotas. load-shedding would also be outgoing year. advances also grew but with Sources have informed Online sought from relevant ministry. According to the data, total 6.8 per cent to Rs3.49 trillion that meeting also seeks Ogra's -Online deposits in the CY10 (January on December 31, 2010 against to December), increased by Rs3.27 trillion at beginning of 18.5 per cent to Rs5.12 trillion the previous calendar year. as compared to Rs4.3 trillion at Similarly, provisioning grew TEHRAN: Iran, Opec's second the beginning of year 2010. by 27.2 per cent to Rs339 largest oil exporter, has discovSimilarly, in the fourth quarSee # 4 Page 11 ered a new onshore gas field Offshore investment rises 145.3pc WoW with reserves valued at 50 billion dollars, Oil Minister Masoud Mirkazemi said on Sunday. This has been informed by the The Khayam field east of ISLAMABAD: Prime Minister Assaluyeh on the Gulf has "260 Syed Yousuf Raza Gilani has sources that plan of gas load billion cubic metres (9.18 tril- summoned the Council of management will be refashlion cubic feet) of gas, of which Common Interests (CCI) meet- ioned in a way that may better ing on Tuesday to plan the facilitate the domestic conWoW compared with $11.90 210 (billion) can be exploited, Staff Reporter million witnessed in week which is about 24 million cubic course of action for combating sumers beside the industrial units. metres per day," the minister the gas crisis. KARACHI: The buying ended on 7th January 2011. Sources told that the agenda Sourced told Online that the On the other hand, positive told reporters. momentum of the offshore Iran has the world's second- of meeting is to overview the agenda finalised by the investors continued in the last activities continued at local circumstances that are troubleEconomic Coordination week in the local bourses as it bourses, as KSE 100-Index largest reserves of natural gas some for public while the coun- Council (ECC) will now be attracted fresh net inflow of closed up 1.2 per cent or 144.5 after Russia. Its South Pars field in the try is facing the challenge of gas tabled in CCI meeting where it $29.18 million, as per National points at 12,533.54. Weekly average volume wit- Gulf that it shares with Qatar deficiency. Meeting will be was recommended that boards Clearing Company of Pakistan nessed an increased of 19.8 per holds around 14 trillion cubic chaired by PM Gilani where should govern the affairs of Limited (NCCPL) data. Furthermore, foreign invest- cent to 186 million shares metres of gas, or eight per cent four chief ministers will also Pakistan Railways, Utility attend, sources said. See # 2 Page 11 of world reserves. -APP See # 5 Page 11 ment hiked 145.3 per cent

Violence takes 4 more lives

Dec Mutal Funds flat MoM

FIA gives Kazmi clean chit

MFs up 13pc at Rs224bn in 1H

Gilani, Shahbaz discuss gas crisis

Ogra told to tell modus operandi

Bank deposits swell to Rs5.1tn

Iran strikes $50bn gas reserves

Foreign inflows into KSE hit $29.18mn

PM chairs CCI meeting tomorrow

Boards to govern SOEs suggested


2

Monday, January 17, 2011

KU new session starts

Depts' maladministration

CCO receives 368 childrens complaints

KARACHI: The classes for the new academic session at Karachi University for the year 2011 will begin from January 17. On the opening day, orientation sessions were conducted at the teaching departments of the university. A senior University official said that the new entrants in the BS First and Third year were briefed about the semester system, mid termexaminations as well as the rules and regulations. They were also informed that as per rules 75 percent attendance were a must. Some 3,000 candidates have been given admissions in the BS First and Third Year in 58 disciplines at the University of Karachi. -APP

SSUET students win debate contest KARACHI: Students of Sir Syed University of Engineering and Technology (SSUET) bagged position in the Allama Iqbal Shield declamation contest organized by Higher Education Commission. An announcement of the institution here on Sunday said that the event was organized to raise awareness about the benefits of education. In the first spell of English competition held at Sir Syed University of Engineering and Technology, Fatima Saima Ahmed, Umar Ali and Muhammad Umar Khan secured top three positions respectively while Muhammad Umar Khan, Muhammad Athar Hassan and Aariz Mahmood clinched the first, second and third positions. Second spell of the debate was held at NED University in which teams from all over Sindh participated. Muhammad Umar Khan of Sir Syed University of Engineering and Technology won second position along with cash prize of 5000. -APP

TV PROGRAMMES

KARACHI: Ranger personnel searching car at Orangi Town where the number of targeting killing is increasing. It should be mention here that the Federal Minister for Interior Senator A Rehman Malik decided in a meeting to impose temporary curfew in the areas where target killing in increasing.-Online

PTCL internet users weary of poor service ISLAMABAD: The Internet users of Pakistan Te l e c o m m u n i c a t i o n s Company Limited (PTCL) are facing severe problems as the company has failed to provide them better connectivity service. Talking to APP they said that the company claims to be the most reliable and largest converged services carrier providing all telecommunications services from basic voice telephony to data, but the reality is vice versa. Whether it is at office in any city of Pakistan or at home of a small village, PTCL claims to be present in every corner of Pakistan to serve its customers. After launching PTCL Broadband (DSL) service, the company also launched a new 3G Wireless Broadband Internet service in Pakistan with the name EVO Wireless Broadband, which is based on world's

proven CDMA 2000 technology. It claims that now people can enjoy up to 3000 kbps high speed Internet at home, office or on the road or wherever they want. But on the contrary service users complain that Internet service provided by PTCL was very poor. Kamran Ali, who works in a private office said, "I have a connection of 1 mbps PTCL broadband but I am facing problems. My downloading speed is only 25 kb/s to 60 kb/s, that is totally unbearable." Another broadband customer said that despite its tall claims, the corporation had miserably failed to address speed and connectivity issues of Internet users. "Most of the time I remain disconnected from Internet service during the day time," he said. The PTCL EVO offers 3G Wireless broadband Internet through USB and

PCMCIA adapters directly to laptop and desktop computers, but it is stated to be not easy in use and creates many disruptions. Though PTCL says it is providing an opportunity for the people of Pakistan to experience advanced technology and became familiar with this type of service, but on the contrary people who have used these services now are diverting to some other networks. Mehak, a student of M.A said, "sometimes the main Internet server remains too busy that I get no response. Even I find it difficult to open my e-mail." Her friend Ayesha said that she was disappointed with PTCL Broadband DSL service and planning to move to some other company. When contacted the PTCL's concerned officials were not willing to give any comments about the Internet service. -APP

SUNDAY Time Programmes 8:00 Amnay Samnay (Rpt) 9:00 News 9:15 Pehla Sauda 10:00 News 10:15 Bazaar 11:00 News 11:05 Ghar Ka Kharch 12:00 News 12:15 Power Lunch 13:00 News 13:05 Agenda 360 (Sat Rpt) 14:00 News 15:02 Akhri Sauda 15:30 Munafa Khor Hoshiyar (Rpt) 16:15 Karobari Dunya 17:05 Ghar Ka Kharch (Rpt) 18:05 Chai Time 19:00 News 19:30 Mang Raha Hai Pakistan 20:00 News 20:05 Islamabad Say 21:00 Pakistan Aaj Raat 22:00 News 22:05 Doosra Pehlu 23:00 News 23:05 Agenda 360 (Sun Rpt) 0:00 News

MONDAY Time 7:00 8:00 9:05 ke Sath 11:10 12:00 13:10 14:10 15:00 16:00 17:30 18:00 18:30 19:30 20:03 21:00 22:03 23:00 23:30

Programmes News News Subah Savere Maya The Reema Show (Rpt) News Faisla Aap Ka (Rpt) Tafteesh (Rpt) News News Samaa Metro News Samaa Sports Crime Scene Newsbeat News Tonight With Jasmeen News 24

MURREE: Girls making snowman after the 2nd spell of snowfall in Murree after which large number of local and foreign tourists start visiting Murree and other northern areas of Pakistan.-Online

Rs2.75bn Zero Point Interchange hits snag ISLAMABAD: Despite claims and repeated promises to complete the Zero Point Interchange (ZPI) project by the end of this month, the pace of work and strength of the workforce speaks quite opposite. The Rs2.75 billion project was originally to be completed by September 2010 but due to some technical and financial complications, work on ZPI remained suspended for months. In the begining, the ambitious multi-billion project was initiated on

quite high pace and even double shift were started on the site but its construction could not be rounded off in stipulated time of two years. After revision in its cost from Rs. 2.34 billion to Rs. 2.75 billion with some additional work, the deadline was extended to December 31, 2010. The flyover was proposed in 1990s but work could not be started due to one or the other reason, which escalated its cost from Rs. 400 million at

that time to Rs. 2.75 billion in 2008. The slow pace of construction work at the project, which is now in its final phase, is affecting smooth flow of traffic and creating problems for commuters plying between the twin cities of Rawalpindi and Islamabad. According to a traffic count, around 150,000 vehicles cross the intersection in a single day with peak flow of 8,500 vehicles per hour. -Agencies

Book festival at Pak-China Friendship Centre from Jan 21 ISLAMABAD: The Department of Libraries, Ministry of Education has arranged a week-long book festival at Pak-China Friendship Centre from January 21. Talking to APP, Director General, Department of Libraries and National Library of Pakistan, Chaudhry Mohammad Nazir said that different departments working under the Ministry of Education would display variety of books. The book festival will offer a unique collection of books on diverse subjects and help promote book reading culture which is diminishing with the technological advancement in the country. The progress in science and technology has affected the reading habits and moral values as the younger generation is inlined toward excessive use of internet and mobiles, Nazir observed. Ch Nazir said that the department has planned to set up a public library in F10 Sector, following international standards. The land has been acquired for the library and PC-1 of the project will be completed with an amount of Rs 500 million. To equip the librarians with the latest skills and training, the first ever `Resource Centre for Librarians' will be set up with an amount of Rs 100 million. The project has been approved and the resource centre will be activated soon, Nazir said. The books and magazines of National Library will be digitized under a project for which Japan will provide the latest equipment worth Rs 39 million in the next financial year. However, the work on digital preservation of the old books is already in progress, he said. Mobile library service will also be launched soon to ensure access of the citizens living in far flung areas to the books at their doorsteps, he said. The DG said that the first ever `National Library Act' to be formulated soon would serve as impetus to promote library culture in the country, making the profession of librarians as more prestigious.-Online

ISLAMABAD: The Child Complaint Office (CCO), which was established to respond to the children's complaints against maladministration of any federal agency, has so far received 368 complaints by the children and their guardians since its inception in April 2009. Out of these complaints, 174 pertained to the provinces and were referred to the provincial ombudsman's office while 94 complaints were nonadmissible, said Ejaz Ahmed Qureshi, Head of Children Complaint Office while talking to APP here on Sunday. He said that out of 93 admissible complaints, 58 have been disposed of and the remaining 35 are under process. Ejaz Ahmed said that most of the complaints received are against provincial and federal education departments, Wapda and Nadra. He said " The Children's Complain Office, established under the Responsive, Enabling and Accountable Systems for Children's Rights (REACH) project serves as dedicated mechanism for receiving and resolving complains from and about children, against maladministration in any federal agency", said Ejaz Ahmed Qureshi, Head of Children Complaint Office (CCO). He informed that CCO will help Pakistan adhere to the fundamental rights and principles of the policy of the Constitution by implementing the United Nations Convention on the

Rights of Child (UNCRC), with specific reference to the article 12. Explaining the procedure of filing complaints at CCO, Ejaz said that children under the age of 18, or their guardians can register their complaints against any government department at phone number 0519252391-94 or at website www. mohtasib.gov.pk/cci or through email at complaints@mothasib.gov.pk, whereas they can also personally visit CCO office established federal ombudsman office from where they would get justice within three months without paying any fee or hiring a lawyer. He added that complaints can also be registered at CCO offices established at Lahore, Quetta, Karachi, Sukkur, Peshawar, Multan, Faisalabad and Dera Ismail Khan through personal visit, telephone, fax or emails. He said that the Children Complaint Office had also taken an initiative of reviewing progress of National Plan of Action (NPA) established in 2006 but not implemented yet due to the negligence of departments concerned. Ejaz said that specific goals had been distilled from the NPA but the progress reports of ministries concerned indicated that little progress had been made so far on its implementation. He said that in order to monitor the progress on the NPA and ensure

accountability of federal agencies assigned with the tasks of compliance with the United Nations Convention on Rights of Child (UNCRC), a 'Child Rights Steering Committee' (CRSC) has been established, under article 18 of the 'Establishment of the Office of Wafaqi Mohtasib (Ombudsman) Order 1983. "The CRSC included senior officials from federal agencies concerned and the heads of reputed civil society organizations. He briefed that CCO has also launched a communication campaign non child rights with a specific focus on children in rural areas. The CCO places emphasis on raising awareness among poverty ridden far flung areas by rising advertisement through radio and with NGOs working in such areas. One of the major awareness activities under the communication campaign is visiting of schools, he said adding, "aim of these visits is to disseminate information about the working of CCO ". He added that CCO also plans to enroll the students of these schools in the "Child Rights Club" where children ambassador s of CCO will be selected. "The children will be expressed to setup the Child Rights Club in their respective schools and these clubs will be comprised of a child rights panel that will advise CCO on children needs and other issues.-APP

KARACHI: Girls reading books at a stall during a Book Fair at a local college.-Online

Projects underway to overcome housing shortage ISLAMABAD: The government has initiated work on various long and short term housing projects to overcome housing shortage in the country. An official of the Ministry of Housing and Works told APP that soon after coming to power, the Pakistan Peoples Party government announced construction of one million houses to cope with the challenge. He said following a short-term strategy, the government has started

construction of houses, double to the target. Construction of houses is underway in in many sectors in Islamabad, besides Gulshan-e-Memar, Scheme 33 and Mono Got areas of Karachi, Hayatabad in Peshawar, Federal Colony in Lahore and in area along the Chamman highway in Quetta. He said that about 3000 kanals of land has been purchased in Barakahu, Fedearl Capital, where flats and plots will be built, which will be allotted to

government employees, general public and journalists. Allotment would be on no profit no loss basis. About two percent quota has been allocated for journalists and non-journalists in each of the federal schemes in the country. He said that investors were showing interest in Pakistan's housing sector. The government was committed to provide shelter to retiring employees as they had spent a major part of life by serving the country. -APP

Health care budget for prisoners up manifold in Sindh KARACHI: The health care budget of prisoners has been increased from Rs 2.5 million to Rs 27.5 million during the last two years (2009-10 & 2010-11) throughout the province. "The present Government has made serious efforts for health care of the prisoners. The budget under head medicines has been increased 11 times during two financial years," said a report of

Department of Prisons submitted to Sindh Minister for Home, Prisons and Forests, Dr. Zulfiqar Ali Mirza. "Sufficient stock of medicines has been purchased and available with Superintendent of Police throughout the province for the ailing inmates," it added. The Government has also allocated an amount of Rs 30 million for up-gradation of the prison hospital for purchasing

medical equipments i-e, X-ray, ECG, Ultra Sound machine, Dental Units, Emergency equipments, mini lab, Hospital beds and mattresses etc, under access to justice programme, which will be procured during the current financial year, for timely diagnosis of the diseases and providing immediate and better medical treatment to the ailing inmates in the prisons, the report added. Inspector General of

Prisons Sindh, Ghulam Qadir Thebo, in his report, further disclosed that previously there were no arrangements for screening of the inmates suffering from HIV/AIDS, Hepatitis A, B & C etc. The screening of the inmates suffering from said diseases is now being carried out regularly in prisons and a doctor has been nominated as a focal person for this purpose. Necessary entries regarding

nature of disease, stage of disease medical treatment provided and further treatment required etc. is also being recorded on the history ticket of the concerned patient prisoner to know about his health condition and thus there is no health problem of any kind to any inmate in the prisons, the report added. The report pointed out that Rs 15. million during the year 2009-10 were provided for

purchase of health kits (washing and cleaning articles) which contains bath soap, cloth washing soap, tooth brush, tooth powder, mustard oil etc and during the current financial year the Government allocated funds of Rs, 10 million for this purpose. Dr. Mirza directed the IG, Prisons to ensure arrangements to isolate patients of HIV/AIDS and hepatitis after proper screening. -APP


3 Monday, January 17, 2011

US dollar weekly outlook

Euro has best week since March 2009; gains ahead Technical factors positive for support and advance NEW YORK: The euro headed for its best week in more than 11/2 years on Friday and could extend gains this week after successful securities auctions by indebted euro-zone members calmed fears of a credit crisis in the region. The euro was last at $1.3374, up 3.8 per cent last week and edging closer to key resistance at $1.35. Analysts said the recovery could continue in the near term, though gains above $1.35 may be difficult given nervousness over large debt supply from weaker euro-zone economies in 2011. For now, demand for Portuguese and Spanish debt and expectations for higher euro-zone interest rates have eradicated most concerns of fiscal woes on the euro-zone periphery. Add in bullish technical factors and few see the euro ending the recent rally. "We're at a bit of a pivot point but the same momentum continues," said Fabian Eliasson, vice president of currency sales at Mizuho Corporate Bank in New York. "There is positive momentum from several countries' strong bond auctions. We'd need to see something new come out" to change direction. Adding support is the $199 billion jump in China's foreign exchange reserves in the final three months last year, the most ever for a quarter. That means China needs to put upwards of $15 billion a month into European

assets just to maintain its current portfolio allocation. China has been working for years to diversify its official currency reserves, which now sit at a record $2.85 trillion, and the euro has been the primary alternative to the dollar, taking an estimated 25 per cent, or about $710 billion. "The floor is in for the euro," said Douglas Borthwick, a managing director for trading at Faros Trading LLC, a forex execution firm in Stamford, Connecticut, who sees the euro between $1.33 and $1.35 in the week ahead and a rally to $1.50 by year end. That is in sharp contrast to his view for the US dollar, which is again mired by talk of the United States losing its triple-A credit rating because of rising national debt. "The dollar is on a continued weakening bias, correcting from an overbought top," said Borthwick. Technical factors will begin flashing green for the euro rally if the euro/dollar can manage a close above the 50-day simple moving average, Borthwick said. That level is currently $1.3310, according to Reuters data, Jan. 10 saw the 50-day simple moving average move below the 100-day simple moving average, which would argue for the euro going lower, said Borthwick. Indeed model accounts, those that use trading formulas for buy and sell signals, are shorting the euro based on that signal, but a rise

Speculators cut USD shorts in latest week NEW YORK: Currency speculators slashed bets against the US dollar by nearly half in the latest week, data from the Commodity Futures Trading Commission showed on Friday. The value of the dollar's net short position fell to $7.38 billion in the week ended Jan. 11 from $12.4 billion the previous week, according to Reuters and CFTC calculations. Speculators also raised bets against the euro in the latest week to 45,182 contracts in the wake of persistent stress in the euro-zone sovereign debt sector. Speculators also reduced their shorts on sterling to 5,090 contracts. Sterling has also rebounded this week, rising nearly 2 per cent, its best weekly gain since late October 2010. -Reuters

in the 50-day again above the 100day would push model accounts to go long the euro, prompting more buying, he said. The euro's gains against the dollar last week pushed it back above the 200-day simple moving average, the third test of that support since Nov. 29, using EBS data. To technical analysts, the $1.3071 level is becoming major support. The euro received another buy signal on Thursday when the 12day and 26-day moving average convergence/divergence line crossed above the nine-day signal line. The MACD is used in technical analysis as an indicator of short-term momentum by focusing on exponential moving averages and closing prices. Any short covering, when investors buy the euro to cover bets against it if it rises, is likely to further boost the euro. Non-commercial speculators were net short the euro to a total of 45,182 contracts in the week ended Jan. 11, an increase from the 24,201 contracts the prior week, according to data from the US Commodity Futures Trading Commission commitments of traders report released on Jan. 14. To be sure, some investors are more cautious about the euro's prospects after the currency's rapid rise last week. Alan Wilde, head of fixed-income and currency at Baring Asset Management in London, said earlier last week that short-term there was scope to rally back to the $1.33$1.34 levels from where the euro broke down in December. Baring Asset Management oversees $50 billion in assets. "But the prevailing sentiment is that we test $1.20 and maybe lower over the next few months," said Wilde. "This assumes that the (European) issues do not go away and that countries like Portugal cannot fund indefinitely at 7 per cent." "A failed auction, civil disobedience in defiance of austerity measures or widening spreads in Spain and Italy, say, could easily be the tipping point," Wilde said. -Reuters

Canadian dollar dips after China tightening TORONTO: Canada's dollar nudged lower against the greenback on Friday, pressured by bank tightening in China, but easing concerns about the eurozone debt crisis helped the commodity-linked currency recoup early losses. The euro was set for its best week in over a 1-1/2 years following successful securities auctions by indebted euro-zone members, calming fears of a credit crisis in the region. "We've seen a bit of a revival in the euro," said Craig Wright, chief economist at Royal Bank of Canada. "When people get a little more comfortable with risk, they tend to sell the US dollar and buy others, including Canada." Strength in North American equity markets and oil prices also helped provide support. Earlier in the session, the Canadian dollar fell nearly a penny, moving closer to US dollar parity, after China's central bank raised the reserve requirement ratio for its biggest banks. Beijing's move fanned expectations that China's appetite for commodities could wane, which hit resources prices as well as currencies of commodityexporting countries like Canada. The currency finished at C$0.9894 to the US dollar, or $1.0107, down from Thursday's North American finish of C$0.9892 to the US dollar, or $1.0109. "It's not a huge move, relative to recent history. So a little bit of stability's probably not a bad thing," said Wright, adding that in the near term, he expected the currency to continue to trade stronger than the US dollar. The currency moved in a tight range on Friday, hitting a high of C$0.9885 and low of C$0.9978, with a slew of US data having limited impact. "It was a heavy data day, but not a heavy data-surprise day," said Wright.-Reuters

Copper up on Corn at 2-1/2 Sugar plunges; tight year high, supplies underpin arabica US economic outlook NEW YORK/LONDON: Sugar ing coverage three months out. soy rises And then there is the whole futures plunged on Friday in

CHICAGO: US corn futures climbed 1 per cent to a fresh 21/2 year high on Friday and soybeans rose 0.5 per cent as worries about tight supplies more than offset concern about Chinese demand and improved rainfall forecast for Argentina. Wheat closed above session lows but ended the day down 1.2 per cent, its steepest slide in a week. Chicago Board of Trade March corn rose 1 per cent to $6.48-3/4 per bushel, the highest since July 17, 2008. March soybeans rose 0.5 per cent to $14.22-1/2 per bushel, the highest settlement price for a second-month contract since July 18, 2008. March wheat fell 1.3 per cent to $7.73-1/4 a bushel, down just 3/4 cent in the week. Corn futures were up 9 per cent from a week ago, the strongest weekly gain in 14 weeks, while soybeans rose 4.2 per cent, the most in six weeks. Wheat was down 3/4 cent in the week, or 0.09 per cent, after falling more than 2.5 per cent the prior week.-Reuters

renewed volatile trade due to investor liquidation and possibly weaker cash business in front of a market holiday in the United States, analysts said. Cocoa futures were firmer while arabica coffee suffered a mild setback after climbing to the highest levels in more than 13 years earlier in the week. The March raw sugar contract fell 1.17 cents, or 3.65 per cent, to close at 30.89 cents per lb. London's March white sugar futures dove $14.40 to end at $773 per tonne. Nick Gentile, vice-president and head of trading in commodities fund Atlantic Capital Advisors, said sugar ran into pressure from chart-based investor sales and a weakening in cash activity. He said differentials for prompt sugar were being quoted around 70 points over New York spot raw sugar futures, versus 120-130 points over late last week to early this week. "That is why sugar saw pressure," Gentile said, adding many end-users in sugar are buying the sweetener on a hand-to-mouth basis at this time instead of book-

question whether India will go ahead with its plan to export 500,000 tonnes of sugar or inflation fears will severely curb the final amount going out. Cocoa futures were higher with the market beginning to regain upward momentum after industry buying earlier in the week helped to halt the recent downward trend in prices. New York's March cocoa contract gained $67 to close at $3,019 per tonne. The market was up nearly 6 per cent on the week, its best weekly percentage gain for the spot contract in six months. London's May cocoa contract rose 40 pounds to end at 2,007 pounds per tonne. Coffee futures were lower with arabicas down from a recent 131/2 year peak although the market remained underpinned by tight global supplies of high-quality Colombian arabicas. The March arabica coffee contract on ICE Futures US dropped 2.90 cents to close at $2.346 per lb. London's March robusta coffee contract fell $13 to end at $2,124 per tonne. -Reuters

US cotton ends lower on profit-taking, China NEW YORK: US cotton futures settled lower Friday on follow-through investor profittaking and after No. 1 consumer China raised banks' reserve requirements which could cool growth and hit cotton demand, analysts said. The cotton market will be shut Monday to honor US civil rights leader Martin Luther King Jr. Trading reopens on Tuesday. The key March cotton contract on ICE Futures US dropped 2.62 cents to settle at $1.4144 per lb, dealing from $1.4119 to $1.4595. on the week, the market gained 0.5 per cent however. Volume amounted to 20,700 lots, about 12 per cent above the 30-day norm, Thomson Reuters

preliminary data showed. "You've just got profit-taking," said Sharon Johnson, senior cotton analyst for commodities brokerage Penson Futures in Atlanta. She said the Chinese decision likely contributed to the weak tone of the market, especially since it may lead to lower demand for cotton in the Asian powerhouse which serves as an engine for the global economy. This was underscored by lower Chinese cotton prices, with the May cotton futures on the Zhengzhou Commodity Exchange last done at 28,670 yuan per tonne, down 225 yuan on the day. Johnson said cotton futures will remain vulnerable from

macroeconomic factors which may affect the ability of world economies to consume cotton. Analysts said that anticipated small increases in the level of cotton exports by India, which is allowing 5.5 million bales of cotton for export, could easily be offset by losses in Australia, where devastating floods have hit the country. In three weeks, the closely watched plantings survey by US industry group National Cotton Council will be released. A Reuters survey had pegged US 2011 cotton plantings around 12.4 million to 12.5 million acres, a 5-year high and up from last year's sowings of 11.04 million acres. -Reuters

NEW YORK/LONDON: Copper made modest gains in London on Friday, but US copper surged to near record levels as an improved US economic outlook. While an improved US outlook pushed copper up, concerns about Chinese demand kept sentiment in check. Three-month copper on the London Metal Exchange closed at $9,650 a tonne from $9,620 at Thursday's close. The metal used in power and construction hit a record high of $9,754 a tonne on Jan. 4. In New York, the benchmark March futures contract rose 0.8 per cent, or 3.50 cents, to settle at $4.4120 per lb on the COMEX division of the NYMEX exchange. The session top at $4.4395 per lb was the contract's highest since Jan. 4, and approaching the record peak at $4.4980 per lb set on Jan. 3. Copper was dented earlier by monetary tightening measures from China, but turned slightly positive as the euro headed for its best week in more than 1-1/2 years, making metals cheaper for non-US investors. But, definitive gains came from a jump in US equity indexes, an increase in US industrial production, and Federal Reserve officials' statements suggesting economic growth and therefore demand for copper will go up in 2011. An improved view of US economic growth also lifted copper. Federal Reserve Chairman Ben Bernanke said on Thursday the economy was "moving in the right direction" with the risk of troubling deflation falling. Stocks of copper in London Metal Exchange fell 1,125 tonnes to 376,225 tonnes. Aluminium stocks rose to 4,435,000 tonnes. Aluminium closed at $2,472 from $2,482 a tonne. Zinc closed at $2,457 from $2,462 a tonne while battery material lead was at $2,678 from $2,635 a tonne. Tin was unchanged at $26,850 a tonne. Nickel closed at $25,875 from $25,550 a tonne, holding near its highest since May 2010. -Reuters

TOKYO: A Samurai shaped miniature kite decorates a monitor showing the current exchange rate. -Reuters

Asian currencies

Mostly gain for wk on EU woes, rates outlook SINGAPORE: Asian currencies gained last week as easing concern about Europe's debt crisis and the prospect of more interestrate increases boosted investor appetite for emerging-market assets. South Korea's won had its fourth weekly advance and China's yuan appreciated ahead of President Hu Jintao's visit to Washington. German Finance Minister Wolfgang Schaeuble said Jan. 13 that European Union member states will assemble a "comprehensive package" by March to tackle the sovereign debt crisis. The statement came a day after Chancellor Angela Merkel said Germany will stand by the euro. Korea and Thailand raised their benchmark interest rates last week. "We have seen interest-rate hikes by Korea and Thailand and we may see rate moves by most Asian countries," said Thio Chin Loo, a senior currency analyst at BNP Paribas SA in Singapore.

"The key driver for the Asian currencies has also been the dollar's volatility against the major currencies in view of what's happening in Europe." The won rose 0.7 per cent for the week to 1,114.30 per dollar. The yuan strengthened 0.53 per cent to 6.5931 and Malaysia's ringgit gained 0.4 per cent to 3.0573, touching a 13-year high of 3.0475. India's rupee was little changed last week at 45.36 and fell 0.3 per cent after China told banks to set aside more deposits as reserves for the fourth time in two months. Reserve ratios will increase 50 basis points starting Jan. 20, the People's Bank of China said on its website late in the afternoon. Thailand increased the one-day bond repurchase rate by a quarter of a percentage point to 2.25 per cent on Jan. 12. Bank of Thailand Assistant Governor Paiboon Kittisrikangwan said that day the bank will continue boosting its rate as inflation may accelerate. The

baht fell 0.2 per cent for the week. The Bank of Korea increased its benchmark interest rate by 25 basis points to 2.75 per cent on Jan. 13. Malaysia's central bank meets to set its policy rate on Jan. 27 after lifting borrowing costs three times last year to 2.75 per cent. Consumer prices rose 2.3 per cent from a year earlier last month, the fastest pace since May 2009, according to the median estimate of economists in a survey ahead of the data to be released Jan. 19. The yuan traded near a 17-year high after the US made renewed calls for China to let its currency rise, ahead of Hu's meeting with President Barack Obama on Jan. 19. Elsewhere, Singapore's dollar rose 0.7 per cent to S$1.2894 for the week and Taiwan's dollar climbed 0.7 per cent to NT$29.60 against its US counterpart. Indonesia's rupiah fell 0.4 per cent to 9,068 and the Philippine peso declined 0.1 per cent to 44.21. Agencies

Brent scales $99 before expiry, US oil rises China's hikes lender reserve rates requirement NEW YORK: Brent crude rose above $99 a barrel on Friday, failing to reach $100 before the frontmonth contract expired, but helping lift US oil prices despite China's latest move to tighten credit. The strength of US equities and Brent helped US crude end higher after seesawing and being pressured early by China's move to lift lenders' reserve rate requirements by 50 basis points in its ongoing effort to tame inflation. ICE Brent futures have traded above US crude since August last year, supported by a combination of dwindling North Sea crude supplies and disruption of oil grades priced off it, traders said. In London, expiring ICE Brent crude for February settled at $98.68, up 62 cents, the highest close since the Sept. 26, 2008, close at $103.54, and reaching

$99.20 intraday, the highest frontmonth price since Brent hit $100.31 intraday on Oct. 1, 2008. The week's 5.73 per cent rise was best weekly percentage rise for Brent since the week to Dec. 3, 2010. New front-month March Brent settled at $98.38, up $1.09, trading as high as $98.75. US crude oil for February delivery rose 14 cents, or 0.05 per cent, to settle at $91.54 a barrel, in choppy trading having bounced off a $90.10 low. The expiration of February crude options on Friday added to the price volatility. The US February contract expires next Thursday. US heating oil futures ended at a 27-month peak on cold weather and expectations for improving diesel demand in an improving economy.

US gasoline futures posted a nearly 2 per cent gain despite rising consumer worry about high pump prices. Rising gasoline prices pushed down US consumer sentiment in early January, overshadowing an improved job outlook and passage of temporary federal tax breaks, a Thomson Reuters and the University of Michigan survey released on Friday showed. Stronger-than-expected earnings from JPMorgan Chase & Co lifted the stock market, offsetting lukewarm economic data and helping S&P 500 to its seventh straight week of gains. The discount for US crude futures' benchmark West Texas Intermediate (WTI) against Brent reached fresh 23-month highs over $8 a barrel, the widest discount since February 2009.Reuters

Gold falls 1pc after China’s toughens policy NEW YORK: Gold dropped 1 per cent on Friday to notch its biggest two-week loss in nearly a year, after China tightened bank reserves to rein in inflation and as safehaven demand faded on a better economic outlook. Gold fell to a one-week low and hovered above its lowest in two months after China's central bank raised lenders' required reserves for the fourth time in just over two months, vowing the fight against inflation would be a top priority. "China's move is perceived (to show) that the country is capable of slowing down the level of inflation, and that takes some of the run of gold and industrial metals such as silver, platinum and palladium," said Frank McGhee, head precious metals trader at Integrated Brokerage Services. Spot gold fell 1 per cent to $1,359.50 an ounce by 2022 GMT, having hit a one-week low of $1,354.99. US gold futures for

February delivery settled down $26.50 an ounce at $1,360.50. In the first two weeks of this year, gold notched a decline of 4.3 per cent, the largest consecutive two-week loss since late January, 2010. Earlier this week, Federal Reserve Chairman Ben Bernanke said the US economy should grow around 3 to 4 per cent this year, a healthier clip than in 2010, but Fed officials said the economy still needs support from the US central bank even if growth prospects appear firmer. US data on Friday showed that underlying inflation remained tame, suggesting the recovery was strengthening modestly with little price pressure building, while sales at US retailers rose slightly less than expected in December. Spot silver fell 1 per cent to $28.39 an ounce. US futures turnover remained stronger than usual, as COMEX

gold futures volume totaled onethird above its 30-day average and silver was nearly 30 per cent higher, preliminary Reuters data showed. The gold-to-silver ratio -the number of ounces of silver needed to buy an ounce of gold -rose to a one-month high on Friday at just below 48, showing that silver is underperforming gold in a falling market. On charts, gold prices continued to face headwinds as selling pressure seemed to be reasserting itself after bullion broke below its 50day moving average this week, said Rick Bensignor, chief market strategist at Dahlman Rose. Holdings of the world's largest gold ETF, New York's SPDR Gold Trust, fell by more than 6 tonnes on Thursday and are down more than 15 tonnes so far this year. Platinum inched up 0.5 per cent at $1,809.49 an ounce, while palladium slipped 1.4 per cent to $792.22 an ounce. -Reuters


4 Monday, January 17, 2011

The Financial Daily International Vol 4, Issue 155

Publisher & Editor-in-Chief: Amir A. Ashary Editor: Shakil H. Jafri Executive Editor: Manzar Naqvi Honorary Advisory Board S. Muneer Hussain Rizvi

Haseeb Khan, FCA Asim Abbas Ashary, CPA

Khurram Shehzad, CFA

Akhtar M. Zaidi, FCA

Prof. Zakaria Sajid (KU)

Dr. A. Hadi Shahid, FCA

Zahid Bukhari SVP HBL (retd)

Muhammad Arif

Ismat Sabir Head office

111-C, Jami Commercial Street 11, Phase VII, DHA Karachi Telephone: 92-21-35311893-6 Fax: 92-21-35388428 URL: www.thefinancialdaily.com Email Address: editor@thefinancialdaily.com

Lahore office 24- Peshawar Block, Fortress Stadium, Lahore Telephone: 92-42-6675595 Fax: 92-42-6664349 Email Address: editor@thefinancialdaily.com

The art of economic management At times the experts, economic managers, politicians, those responsible for writing speeches for the VVIPs, and those responsible in the press information departments pass on information to media which only highlights the ignorance of those at the helm of affairs. Though, issuing the notifications and retrieving has become almost a routine, the statement that finding solutions through collective wisdom highlights the complete absence of wisdom. This time it was Prime Minister Syed Yousuf Raza Gilani who said that the economic challenges of Pakistan would be shared with the political leadership in Parliament to seek proposals for resolving the same. The objective behind the reconciliatory process and consultation with political leadership is to develop consensus and take decisions in the larger national interest. The financial challenges of the country also need to be shared in order to find solutions through collective wisdom. Elected representatives sitting on treasury as well as opposition benches appear on almost all the television channels and discuss the issues plaguing the economy, from corruption to blatant assassination of good governance and from electricity and gas load shedding to discontinuation of train services. Do they still need to prepare a list of problems ailing the economy? There is a growing consensus among the masses that most of the talk shows are not more than 'nura kushtis' or fixed matches and some of the anchors themselves become a party at times. It used to be duty of ministry of information and press information department to prepare a summary from clippings of the news published in print media and highlights of the discussions on television channels. However, it seems that with the proliferation of print and electronic media neither the ministry of information nor the press information has the resources or the competent persons to prepare such summaries. It may or may not be true but insiders say that the ministers and secretaries of the departments prefer to issue press releases and also prepare clippings of those but never put those items on record which contain criticism. Since prime minister wishes to know the major problems and also wants to resolve them using the collective wisdom, some of the most pressing issues are load shedding of electricity and gas, very high inflation rate, more and more people being pushed below the poverty line, blatant violation of good governance and lust of the elected representatives to make as much money as possible in the shortest possible time. Though, many of the experts talk about inadequate revenue collection, in all honesty if the elected representatives and bureaucrats follow austerity there may not be any need to impose more taxes to bridge the budget deficit.

Disclaimer:

All reports and recommendations have been prepared for your information only. Summary and Analysis are not recommendation to buy or sell. This information should only be used by investors who are aware of the risk inherent in securities trading. The facts, information, data, indicators and charts presented have been obtained from sources believed to be reliable, but their accuracy and completeness cannot be guaranteed. The Financial Daily International and its employees are not responsible for any loss arising from use of these reports and recommendations.

In US, it’s Going Great Guns O

n the Monday after the latest of the bloody rampages that are part of American life, gun sales in Arizona shot up by more than 60 percent and rose by an average of five percent across the entire country. The figures come from the FBI and speak volumes about a gun culture that has long baffled much of the world. The Federal Bureau of Investigation compared January 10, 2011, with the corresponding Monday a year ago. So what would prompt Americans to stock up their arsenals in the wake of the shooting in Tucson that killed six people and wounded 14, including Gabrielle Giffords, the congresswoman who was the target of an unhinged 22year-old who has since been charged with attempted assassination? To hear gun dealers tell it, demand went up because of fears that the Tucson shooting might lead to tighter gun laws. There was a similar spike in sales after the 2007 mass shooting at Virginia Tech, where a deranged student killed 32 people and himself in the worst such massacre in American history. Fear of regulation also drove up gun sales after President Barack Obama won the presidency in November 2008. In the first two months of 2009, about 2.5 million Americans bought guns, a 26 percent increase over the same period in 2008. According to a CBS poll taken two days after Jared Loughner shot congresswoman Giffords in the head, Americans are almost evenly divided on the issue of gun control - 48 percent said gun laws should remain as

they are or be made less strict, 47 in favor of more regulation. That is down from 56 percent in 2002 and confirms a Gallup analysis this week that found public support for stricter gun laws has declined over the past two decades. That prompts one to wonder how many Americans see gun violence as the inevitable by-product of a free society - and whether the gun lobby

United States the number one position on the list of gun-owning nations. There are more guns in private hands than anywhere else on earth. On a guns-per-capita basis (90 guns per 100 residents) it is comfortably ahead of second-ranked Yemen (61 per 100), according to the authoritative Small Arms Survey issued by the Graduate Institute of International Studies in Geneva.

So what would prompt Americans to stock up their arsenals in the wake of the shooting in Tucson that killed six people and wounded 14, including Gabrielle Giffords, the congresswoman who was the target of an unhinged 22-year-old who has since been charged with attempted assassination? has been right all along in saying that gun control advocates are out of touch with much of the country. As one of the staunchest opponents of more gun regulation, John Lott, puts it in a book entitled More Guns, Less Crime: "American culture is a gun culture - not merely in the sense that in 2009 about 124 million people lived in households that owned a total of about 270 million guns but in a broader sense that guns pervade our debates on crime and are constantly present in movies and the news. So, we are obsessed with guns…" WORLD LEADER IN PRIVATE GUNS That obsession has long secured the

That obsession, in the eyes of gun control advocates, borders on insanity and some of the wrinkles of America's permissive gun laws are so bizarre they beggar belief. To wit: "Membership in a terrorist organization does not prohibit a person from possessing firearms or explosives under current federal law." Neither does inclusion on the government's ever-growing terrorist watch list. So found the Government Accountability Office (GAO), the research arm of Congress, after looking into the background checks of prospective buyers gun dealers are required to file to the FBI. According to a GAO report read at a congression-

al hearing last May, sales of guns and explosives to people on terrorist watch lists totaled 1,119 in a period of six years. The National Rifle Association (NRA), one of the most powerful lobbies in Washington, came out in opposition to proposed legislation that would have barred people on the list from buying guns. Why? They are placed there on "reasonable suspicion" of terrorist links and the NRA argues that suspicion is not enough for Congress to take away the constitutional right, enshrined in the second amendment to the U.S. constitution, to own and bear arms. After the Tucson attack hurt one of their own, members of Congress are worried about their safety but whether that will translate into greater willingness to tighten gun regulations remains to be seen. The test will come when a New York Democrat, Carolyn McCarthy, introduces a bill to ban extended magazines, such as the 33round clip used by Loughner. Such magazines were illegal from 1994 to 2004 as part of a ban on assault weapons the Bush administration let lapse, a move that prompted gun control advocates to predict a sharp increase in the number of gun deaths. That did not happen. The rate of gun deaths - by murder, suicide or accidents - has held steady at around 31,000 a year and the murder rate has actually dropped. Which is an argument gun enthusiasts and their lobby are certain to field when McCarthy's bill is debated. After that, the topic will fade - until the next mass shooting.-Reuters

Street Prayers & French Far Right A

call to prayer goes up from a loudspeaker perched on the hood of a car, and all at once hundreds of Muslim worshippers touch their foreheads to the ground, forming a sea of backs down the road. The scene is taking place not in downtown Cairo, but on a busy market street in northern Paris, a short walk from the Sacre Coeur basilica. To locals, it's old news: some have been praying on the street, rain or shine, for decades. But for Marine Le Pen -tipped to take over from her father this weekend as leader of the far-right National Front party -- it is proof that Muslims are taking over France and becoming an occupying force, according to remarks she made last month. Her comments caused a furore as she seized on the street prayers to drive home the idea that Islam is threatening the values of a secular country where anxiety over the role of Muslims in society has deepened in the past few years. More than two thirds of French and German people now consider the integration of Muslims into their societies a failure, pollster IFOP said in a survey published on Jan. 5. In France, where Islam is the second-largest religion after Catholicism, 42 per cent saw it as a threat to national identity. "This has become a key

political issue," said Frederic Dabi, IFOP's head of research. "Street prayers and the perceived growing influence of Islam are seen as impinging on French values of secularism, communal living." Controversy over the street prayers has translated into growing confidence within the

which recently opened a range of halal-only restaurants in France and Belgium. "The far right is playing on these fears." Le Pen's comments seem to be taking hold. A poll published by TNS Sofres this week, showed that support for National Front ideas has

The whole neighbourhood comes and prays in the street because there is not enough room inside, that's all," said Mohammed Delmi, 62. Such scenes are replicated at a dozen sites across France where worshippers kneel outside because prayer rooms are too full, according to a report by the centreleft daily Liberation. "There are simply not enough of them," said Hakim El Karoui, head of the Islamic C u l t u r e Institute, which advises the City of Paris on faith issues. "It's no wonder there is an overflow." The problem has grown along with the country's Muslim population, which the French Council of Islamic Faith estimates at between 5-7 million, or 8 per cent of the population -- a larger community than in any other European nation. Campaigners in favour of building new mosques said they faced two major difficulties, starting with financing: mosques in France must be funded privately due to restrictions against using public money for religious purposes. The second, pricklier issue is the public, which has grown

More than two thirds of French and German people now consider the integration of Muslims into their societies a failure, pollster IFOP said in a survey published on Jan. 5. In France, where Islam is the second-largest religion after Catholicism, 42 per cent saw it as a threat to national identity

National Front, some 15 months before a presidential election likely to see a battle for votes between the far right and Sarkozy's centre-right UMP party. National Front founder JeanMarie Le Pen has said he expects the party to outdo its electoral performance in 2002, when it knocked out the mainstream Socialist candidate in the first round of voting, but then lost to Jacques Chirac. "These fears hang mostly on symbols: minarets in Switzerland, the niqab (fullface veil) in France, even the halal Quick menu," Dabi said, referring to a fast-food chain

grown by 12 per centage points over the past year. MOSQUE-O-PHOBIA Back on the market road, Friday prayers come to an end as quickly as they begin, with hundreds of worshippers packing up their mats and heading back to work. Many told Reuters that given the choice, they would avoid the cold and rain and pray indoors. The problem is that their warehouse-turned-prayer site, an unofficial mosque called al Fath, is too small to accommodate them all. "It's cold and filthy. Do you think we would be out here praying if we had the choice?

increasingly intolerant of Islamic symbols. Research by pollster IFOP shows that support for building mosques fell to 20 per cent in 2009 from 31 per cent in 2000. "We are walking on egg shells here," said Moussa Niambele, head of a group seeking new prayer space near the al Fath mosque. "There is the minaret issue in Switzerland and they do not want to import such problems to France." In Paris, where the Muslim population is denser than elsewhere in France, there is only one official mosque, La Grande Mosquee de Paris, located by a park on the posh Left Bank, far away from immigrant-heavy neighbourhoods. El Karoui said the problem had grown more acute since the closure of a large mosque in northern Paris two years ago forced more Muslims to pray in converted garages or vacant lots. A project to build two new prayer spaces which would be called "cultural" and "faith" centres lacks 5.9 million euros of private funding and building would not start before 2012. Worshippers were sceptical about the timetable. "You know, we have been praying on this street for years, long before Marine Le Pen made her remarks," said one man. "I am not going to throw away my raincoat quite yet.Reuters

From Oil Spill to Arctic Drill R

ussia's move to open up its prized Arctic reserves to oil major BP is driven by the Kremlin's desire to avoid a fall in production and remain the world's leading oil nation. Analysts and bankers told Reuters that the deal, in which BP agreed to a multi-billion-dollar share swap with state major Rosneft, is a boost to Russia's investment climate, though any stocks rally would be capped by political and oil tax regimes uncertainties. The deal gives BP a direct line to powerful Prime Minister Vladimir Putin and access to new reserves as it emerges from its Gulf of Mexico spill disaster. But it also locks BP into a partnership with any Kremlin regime for the decades to come. "For Russia to maintain production at or above 10 million barrels per day, the investments required are huge. Decline rates in West Siberia are very steep and projects in East Siberia are fairly limited," said Amrita Sen, a commodity analyst at Barclays. The deal, under which BP and Rosneft will explore for offshore oil in the Kara Sea, is a departure from Kremlin policies which had made offshore fields unavailable for foreigners.

"The lessons on how to prevent an environmental catastrophe similar to the tragic Macondo spill are as important for the Russians as BP's offshore drilling technology," said Kirill Pyshkin, who manages over 1.1 billion euros in the Aviva Investors Global Equity Income and Global High Yield Equity funds, including BP shares. "As for BP, this opportunity to explore the Russian Arctic previously off limits to foreign firms is a clear win," added Pyshkin. Ecologists say an Arctic spill would be far harder to clean up than the Gulf of Mexico spill. Both Pyshkin and Andrew Moorfield, head of the oil and gas division at banking group Lloyds, agree expertise in offshore deepwater drilling is important for Russia, the world's top oil producer ahead of Saudi Arabia, as new discoveries of large, conventional and easy oil are rare. "The challenge for BP is to transform this well manufactured opportunity into future reserves growth and cash flow, whilst managing any political and environmental tension and technical risks," said Moorfield. The challenges and risks are huge. In 2008, BP chief Bob Dudley saw

risks soaring himself when he had to flee Russia amid a row with the billionaire partners in BP's TNK-BP venture, where he was the CEO at the time. On Friday, Dudley got a blessing for the Rosneft deal from Putin and his deputy and Russian oil tsar, Igor Sechin. But in 2003, when BP and TNK formed the venture, Putin also gave it his personal blessing, which didn't help Dudley in 2008.-Reuters Russia's image abroad is at its low after the latest sentencing of Mikhail Khodorkovsky, owner of YUKOS, whose assets make up the bulk of today's Rosneft. Some US politician have already branded BP "Bolshoi Petroleum" and a US congressman has called for greater scrutiny of the deal, citing security concerns as BP is one of the key suppliers of the US military. Shareholders of defunct YUKOS are seeking $98 billion from Russia in a European Court of Human Rights suit. "BP shareholders should be concerned that once again the company has invested in a deal with Rosneft in assets over which there is a significant question as to security of Rosneft's ownership," said YUKOS spokeswoman Claire Davidson.

About a quarter of BP's reserves and output come from TNK-BP and it is unclear how it can co-exist with the Rosneft venture. With oil prices near $100 a barrel, Russian resource nationalism could be on the rise after a few quiet years. "Not many majors in the world would allow a Russian state proxy to hold a big stake in it like BP did. For the Kremlin it is a very important symbolic move," said an investment banker who asked not to be named. He said TNK and Rosneft could peacefully co-exist. But speculation about a buyout of billionaires from TNK-BP by BP or Rosneft to form a true oil titan would inevitably increase, as was the case when gas group Gazprom studied the idea in 2008. The banker also said oil tax uncertainty would continue to deter some major investors from Russian oil stocks, a view not shared by all observers. "When BP made their 2003 investment it helped kick off a rally, as people realised Russia was undervalued. So this is a very big event for Russia," an equity sales trader at a Western investment bank in Moscow said on condition of anonymity.Reuters


5

Monday, January 17, 2011

European stocks gains for 2nd week; banks, Danisco gain

Sensex sheds 10pc from peak as inflation may prompt higher rates

Weekly Review

KSE comes to acmes last wk

KSE-100 Index Opening Closing Change % Change Turnover (mn)

12,389.04 12,533.54 144.50 1.17 928.52

LSE-25 Index Opening Closing Change % Change Turnover (mn)

3,783.95 3,942.42 158.47 4.19 42.53

ISE-10 Index Opening Closing Change % Change Turnover (mn)

3,155.91 3,099.54 56.37 1.79 1.47

Nawaz Ali

Major Gainers

Symbol

Close

Change

NESTLE 2,599.32 ULEVER 4,400.22 APL 385.53 RMPL 2,128.29 INDU 294.99

127.66 46.42 41.93 37.99 35.69

Major Losers

Symbol IDYM PECO DREL SIEM ILTM

Close

Change

207.45 172.22 575.00 1,210.00 157.70

-46.61 -44.38 -34.99 -24.90 -22.30

Top 5 Volume Leaders

Symbol

Close Vol (mn)

LOTPTA FFBL DGKC ANL NBP

15.56 41.03 31.27 10.66 78.15

128.36 82.45 67.79 35.91 30.83

Active Issues Plus Minus Unchanged

245 176 21

Sector Updates FERTILISER 000 tonnes

Urea Offtake (Jan to Nov 10) 5,463 Urea Offtake (Nov 10) 845 Urea Price (Rs/50 kg) 870 DAP Offtake (Jan to Nov 09) 121 DAP Offtake (Nov 10) 152 DAP Price (Rs/50 kg) 3,137

AUTOMOBILE ASSEMBLER PAK SUZUKI MOTOR Units Production (July 10 to Nov 10) Sales (July 10 to Nov 10) Production (Nov 10) Sales (Nov 10)

33,929 32,092 7,087 6,813

INDUS MOTOR CO Production (July 10 to Nov 10) 20,987 Sales (July 10 to Nov 10) 20,375 Production (Nov 10) 3,974 Sales (Nov 10) 3,753

HONDA ATLAS CAR Production (July 10 to Nov 10)6,626 Sales (July 10 to Nov 10) 6,247 Production (Nov 10) 1,145 Sales (Nov 10) 1,075

DEWAN FAROOQ MOTORS Production (July 10 to Nov 10) 186 Sales (July 10 to Nov 10) 70 Production (Nov 10) 0 Sales (Nov 10) 0

BANKING SECTOR Scheduled bank (Rs in mn) Deposit (December 3,10) 4,824,464 Advances (December 3,10) 3,050,639 Investments (December 3,10) 1,916,917 Spread (October 10) 7.49%

OIL MARKETING CO (000 tons) MS (Jul 10 to Nov 10) MS (Nov 10) Kerosene (Jul 10 to Nov 10) Kerosene (Nov 10) JP (Jul 10 to Nov 10) JP (Nov 10) HSD (Jul 10 to Nov 10) HSD (Nov 10) LDO (Jul 10 to Nov 10)) LDO (Nov 10) Fuel Oil (Jul 10 to Nov 10) Fuel Oil (Nov 10) Others (Jul 10 to Nov 10) Others (Nov 10)

PRICES (Ex-Refinery) MS (1 Dec 10) MS (1 Nov 10) MS % Chg Kerosene (1 Dec 10) Kerosene (1 Nov 10) Kerosene % Chg JP-1 (1 Dec 10) JP-1 (1 Nov 10) JP-1 % Chg HSD (1 Dec 10) HSD (1 Nov 10) HSD % Chg LDO (1 Dec 10) LDO (1 Nov 10) LDO % Chg Fuel Oil (1 Dec 10) Fuel Oil (1 Nov 10)

932 186 66 12 589 124 2,792 612 26 4 3,641 572 3 1

Rs 45.15 44.53 1.39% 52.04 51.25 1.54% 52.27 51.48 1.53% 55.20 54.24 1.77% 50.52 49.51 2.04% 43,019 42,046

NEW YORK: National Chairman of the Congress of Racial Equality Roy Innis (2nd from L) and Hudson Institute President, Dr. Herb London ring the opening bell.-Reuters

Wall Street weekly outlook

Investors crave more strong bank results NEW YORK: US bank stocks are flying high, and this week's earnings could give investors more reason to be optimistic about the sector. Strong results from JPMorgan Chase & Co on Friday bolstered expectations for top US banks, many of which are due to report this week, including Citigroup and Goldman Sachs. Financials have been among market leaders in the recent rally, with the Standard & Poor's 500 posting its seventh straight week of gains on Friday. While the earnings outlook is keeping alive hopes that stocks have more room to run higher, the rise in bank shares has pushed sector indexes to near resistance levels, which could signal a rest stop for the shares in the holiday-shortened week. The market will be closed Monday in observance of Martin Luther King Jr Day. JPMorgan Chase on Friday reported profit and revenue that were stronger than analysts had expected, and the CEO said the bank could start to increase its dividend once regulators give the go-ahead, likely at the end of March. Analysts said the news bodes well for other financials, most of which are due to report results this week. "Financials could very easily be one of the real darlings of this particular earnings cycle," said Burt White, managing director and chief investment officer of LPL Financial in Boston. Financials are projected to have by far the highest growth rate in earnings for the fourth quarter, largely because of easy

year-ago comparisons, according to Thomson Reuters data. Overall, S&P 500 earnings are expected to have increased by 32 per cent from a year ago, the data showed. Besides the banks, economic bellwether General Electric as well as marquee tech names Apple, Google and eBay are due to report. Investors have been keen for news on when bank dividends will be reinstated, and when it happens, it's going to mean more investment in financials, White said. "Once they start (paying dividends) ... you're going to see an enormous amount of buying from yield-starved investors, as well as funds and ETFs (exchange-traded funds) that really are going to have to relook at the landscape and put financials back in there," he said. Among other top banks reporting this week are Morgan Stanley, Bank of America and Wells Fargo & Co. The sector is benefitting from a steepening bond yield curve, which lets banks make more money on loans; a pickup in merger and acquisition activity, and a decline in loan losses, analysts said. To be sure, though, the recent sharp rise in the sector could make it tougher for those shares to keep rallying. The KBW Bank index, trading at about 54, is up 18 per cent since the end of September. It's approaching a strong resistance area between 57 and 59. Worth noting: The KBW Bank index, the S&P financial sector and the Select Sector SPDR financial ETF all are

near multi-month highs from last April. The S&P 500's 7-week run of gains also serves as a sign that a pullback could be in store for stocks, analysts said. The last time the benchmark rose eight or more weeks in a row was a nine-week run between November 2003 and January 2004, according to Reuters data. The S&P 500 is up 13.3 per cent since the end of September. Data from Thomson Reuters StarMine also suggests most banks could likely miss earnings expectations, based on the most recent and most accurate estimates. Its estimate for Goldman Sachs is 0.2 per cent below the consensus estimate, as calculated by Thomson Reuters. Similarly, StarMine's estimate for Bank of America is 0.4 per cent below consensus, while Citigroup's is in line with consensus. StarMine's estimate for Wells Fargo, meanwhile, is 0.2 per cent above the consensus. Reuters Quantitative Analyst Mike Tarsala said weak trading revenues could be among factors hampering banks' fourthquarter results. But the bias for now seems to be to the upside for banks, other analysts said. Besides the benefit of the steeper yield curve, "there's an expectation of better economic activity showing up in the GDP data, which will then speak to the fact that perhaps the banks' lending profile" is improving, said Joseph Battipaglia, market strategist at Stifel Nicolaus, in Yardley, Pennsylvania. -Reuters

KARACHI: Bullish activities, last week, hurled Karachi Stock Exchange (KSE) above 12,500 levels after 31 months. This rally was spurred by heavy foreign interest, news regarding approval of leverage product concept paper, and buying in anticipation of strong corporate results. The benchmark KSE 100Index increased by 144 points -1.17 per cent-- to close at 12,533 points- its highest closing since June, 2008. KSE 30-Index gained 368 points -3.08 per cent-- to close at 12,329 points and KSE All Share Index rose by 102 points -1.19 per cent-- to close at 8,694 points. Rabia Tariq, analyst at JS Global Capital said that the local bourse continued its ascent with strong volumes. Interestingly, the rally has been broad-based, spanning from fertiliser to banks and oil scrips. Furthermore, aggressive foreign participation was observed as well, she said. According to NCCPL data, the offshore investors did a net-buying of 29.3 million during the week. Rabia said that with the result season around the corner, the market gained momentum in anticipation of good corporate results and attractive payouts. Furthermore, high oil prices kept investor interest intact in oil and gas exploration companies such as POL. Moreover, approval of the MTS draft by the law ministry further boosted the sentiment of the investors, who now believe that the launch of the product may be imminent, she added. Market started the week with some mixed activities during the first two days ending in the negative zone as investors booked profits due to the fact that market has been witness-

ing a continuous rise since last few days. Therefore index during intraday trading touched its lowest level of the week at 12,245 points. Thereafter market was mainly in the grip of bulls during the last three days due to buying in oil, banking and fertiliser sectors in anticipation of strong December ending corporate earnings where major companies are due to announce their results in the coming days. Secondly, the news regarding approval of much awaited leverage product concept paper by the law ministry and continued interest of foreign investors kept bulls in the driving seat. Therefore index crossed 12,500 level and at a moment during intraday trade on Friday touched its highest level of the week at 12,550 points. The approval of the draft of Margin Trading System (MTS) from the law ministry has increased hopes among the investors for an early launch of the much awaited leverage product. It should be noted that the stock markets are functioning without any leverage products for a long time therefore experts think that launch of such a product would definitely be a sentiment booster. Investor participation remained impressive throughout the week as more than 928 million shares traded in the overall market which is 153 million shares more as compared to a turnover of 775 million shares a week earlier. Average daily turnover stood at 185.7 million shares increasing by 30.7 million shares from an average volume of 155 million shares during the previous week. Out of total 442 active issues 245 advanced and 176 declined while 21 issues remained unchanged.

Gulf stocks mkt

SArabian SAIB up as profit rise; market dips DUBAI: Saudi Investment Bank (SAIB) rose after the lender swung into profit in the fourthquarter, the latest Saudi lender to post improved earnings. SAIB climbed 2.4 per cent. It made a net profit of SR238m ($63.5m) in the fourth quarter, after a net loss of SR109m a year earlier. Rival bank SABB fell 2 per cent despite reporting surging quarterly profit. Three lenders - Banque Saudi Fransi, Riyad Bank and Bank Saudi Hollandi - reported above forecast fourth-quarter profits on Wednesday. They made no reference to provisions but analysts said they had put aside enough in previous quarters. "The provision story is looking a lot better and people are getting into the names that haven't yet reported," says Matthew Wakeman, EFG-Hermes managing director for cash and equitylinked trading. Saudi Fransi dropped 2.6 per cent as investors booked profits from Saturday's three-month high, while Riyad Bank and Saudi Hollandi also edged lower following post-results rallies. Zain Saudi Arabia fell 1.8 per cent after the telecoms operator reported a larger quarterly loss than forecast. Yamama Cement climbed 1.4 per cent after saying it planned to pay 2 riyals per share in dividends. Saudi Arabia's index slipped 0.1 per cent to 6,772 points, easing from Saturday's 36-week high. Abu Dhabi's Aldar Properties plunged to a five-month low after the indebted developer said it will take $2.9bn of impairments, spurring selling across markets in the United Arab Emirates. Aldar dropped 8.8 per cent, slumping to its lowest level since August 15. As well as selling $4.5bn of assets to the government, stateowned investment vehicle Mubadala will buy a $760m convertible bond, pending Aldar shareholder approval, and the property firm will take an impairment charge of $2.86bn to reflect a sharp drop in asset values. The bond will likely be dilutive to minority shareholders. Rival developer Sorouh Real Estate fell 7.4 per cent and Abu Dhabi Commercial Bank dropped 3.4 per cent.-Reuters

Dhiyan

EXPECT THE UNEXPECTED Tariq Hussain Khan, Head of Portfolio Management United Capital Market is expected to continue bullish trend till index reaches 12,750 level and if it manages to sustain there then we can see it touching 13,000 points. Continued influx of foreign investment and successful meeting between US president Obama and President Zardari will help the index climb up. Further, the upcoming results of E&P, banking, textile, OMC and fertiliser sectors might give some surprises supporting the market. Investment in abovementioned sectors is advisable while day traders should keep away from the market due to high volatility. The law and order situation in the city can also do some damage. Market would be positive today, however, we might see some correction towards the end of the day.

Syed Faizan Haider Rizvi, Analyst SMH Financial Solution Turnover spikes in highly overbought region show that market would take a correction from this level. Index will have a major support at the level of 12,458 points. Therefore we recommend traders to always place stop loss while trading in the market. Banking and fertiliser sectors look attractive for buying. We also recommend selling if market trades below the support level. Launching of Margin Trading System (MTS) and foreign interest would trigger the market. Activities are likely to be mixed today.


6

Monday, January 17, 2011

Market

KSE 100 Index

Symbols

Volume

928,522,757

Value

49,903,739,838

Trades

461,561

Advanced Declined Unchanged Total

245 176 21 442

Current High Low Change

All Share Index

12,533.54 12,550.27 12,229.73 h144.50

Current High Low Change

OIL AND GAS

Paid up Cap(mn)

Company

PE

Open

High

High Low 1,659.17 1,580.70 Total cos Defaulter cos P/BV (x) ROE (%) 3.80 32.54 Low

Close Chg

Last 60 days High Low

Volume

2010 Div BR (%) (%)

2011 Div BR (%) (%)

Attock Petroleum

691

6.68 343.60

398.89 339.00 385.53 41.93

3341099 398.89

287.99

300

20B

-

-

853 7.98 130.63 735 18.29 134.13

143.90 129.85 142.41 11.78 136.48 128.51 134.99 0.86

23474867 143.90 1393706 136.48

89.50 111.50

31

-

-

-

National Refinery

800

4.79 290.92

324.40 292.55 323.14 32.22

1805568 324.40

203.00

200

-

-

-

Oil & Gas Development 43009 11.72 180.66

185.00 170.00 173.29 -7.37

8090671 185.00

149.50

55

- 15.00

-

Pak Petroleum Pak Oilfields

Shell Gas LPG Shell Pakistan

11950 2365

9.10 225.73 7.87 321.71

228.00 220.60 223.70 -2.03 335.60 320.50 333.34 11.63

7393720 228.88 14503622 335.60

184.00 231.01

90 255

20B -

-

-

350 1715

- 106.31 5.18 296.56

111.00 104.10 107.07 309.39 292.40 306.18

493940 114.50 10520991 309.39

74.00 262.00

80

-

-

-

37385 577211

31.05 182.05

40

-

-

-

226 - 33.29 685 10.85 206.90

0.76 9.62

33.90 32.00 32.42 -0.87 215.00 204.50 211.54 4.64

12,329.65 12,363.07 11,889.02 h368.27

40.28 215.00

CHEMICALS

Open 719.22 Turnover 155,637 P/E (x) 5.66 Company

Paid up Cap(mn)

Pak Int Cont. Terminal PNSC

1092 1321

PE 7.05 40.49

Open 69.02 37.15

High 71.10 38.90

High Low 743.17 710.26 Total cos Defaulter cos P/BV (x) ROE (%) 1.45 25.53 Low 68.50 35.30

Close Chg 70.49 37.25

1.47 0.10

Close 731.39 Listed cap 3,242.17 mn Payout (%) 11.08

Volume 73711 81926

Change % Change 12.17 1.69 Market cap 200-Day High 12,915.83 mn Div Yield (%) 200-Day Low 1.96 -

Last 60 days High Low 77.77 40.42

60.05 32.36

Paid up Cap(mn)

Agritech Limited

PE

Open

8.14

23.20

68 66.83

3924

High

Paid up Cap(mn)

High Low 1,334.48 1,218.30 Total cos Defaulter cos P/BV (x) ROE (%) 1.17 25.35

PE

Open

High

Low

Agriautos Ind 144 5.96 Atlas Battery 101 6.03 Atlas Engineering Ltd 247 20.85 Atlas Honda 626 9.67 Baluchistan Wheels Ltd. 133 6.20 Dewan Motors 890 Exide (PAK) 56 4.84 General Tyre 598 22.37 Ghandhara Nissan 450 3.56 Ghani Automobile Ind 200 6.78 Honda Atlas Cars 1428 Indus Motors 786 6.73 Pak Suzuki 823 11.46 Sazgar Engineering 150 4.14

76.50 195.42 18.19 133.73 33.82 2.32 209.00 24.69 4.90 4.20 11.39 259.30 72.00 20.50

80.00 204.40 23.35 136.95 33.00 2.40 217.44 26.74 5.36 4.45 12.70 296.84 73.00 22.41

75.00 192.00 19.19 125.51 31.50 2.17 200.01 24.50 4.75 4.07 11.30 260.00 69.05 20.13

Close Chg

Close 1,319.95 Listed cap 6,768.53 mn Payout (%) 20.42

Volume

Last 60 days High Low

-

-

9.00

7.40

8.02 -0.32

7.16

5

10R

99.00

99.26 -1.90

54414

103.94

74.00

15

-

-

-

209.98 187.00 191.17 4.10

578218

209.98

149.72

-

-

-

-

FOOD PRODUCERS

1203

8.80 199.25

212.74 198.00 212.14 12.89

864594

212.74

165.73

40

-

-

-

Performance of SR Food Producers Index

3663

Fatima Fertilizer

22000

-

3.28 11.21

Fauji Fertilizer

6785 10.47 132.10

Fauji Fert.Bin Qasim

9341

Gatron Ind

384

ICI Pakistan

1388

Lotte Pakistan Mandviwala Nimir Ind Chemical Shaffi Chemical

7.74

38.44

2.58

43.69

8.73 150.38

3.02

3.11 -0.17

12.00

11.10

7405568

-

4.24

1.40

-

-

-

-

30448610 219.77

174.65

40

-

-

-

11.97 0.76

23097747 12.00

9.16

-

-

-

-

144.53 132.70 144.53 12.43

15230222 144.53

106.01

95

-

-

-

82450062 41.07

29.03

17.5

-

-

-

41.07

38.11

41.03 2.59

50.40

44.01

48.00 4.31

7190

156.89 146.90 154.87 4.49

50.40

39.00

20

-

-

-

2707763 156.89

121.00

55

-

-

-

15142

5.56

14.73

15.77

14.36

15.56 0.83

128360108 15.77

9.35

-

-

-

-

74

-

1.77

2.45

1.30

1.33 -0.44

314892

2.50

0.80

-

-

-

-

1106

-

2.03

2.13

1.88

1.99 -0.04

2419212

2.74

1.35

-

-

-

-

120

-

2.40

2.50

2.10

2.44 0.04

12655

3.40

1.80

-

-

-

-

14659

139.40

101.00

25

5B

Sitara Chem Ind

214 10.01 124.47

Sitara Peroxide

551 15.18

Wah-Noble

3.38

219.77 203.00 219.68 18.13

-

-

65.75 145.00 15.00 96.00 29.40 1.20 142.90 21.00 4.12 4.00 10.60 227.00 66.75 17.92

103.80

11.50

-

80.00 204.40 23.35 143.80 36.72 2.89 217.44 26.74 5.67 5.75 13.40 296.84 77.90 22.41

8.34

10535

20.26

216478 69433 1000764 11220 200502 650985 137231 168208 166212 10610 413841 194183 547688 49983

7.31 187.07

3277 12.07 201.55

24.85

2011 Div BR (%) (%)

2.20 6.48 5.16 -0.23 -0.82 -0.02 -4.01 1.26 0.23 0.14 1.00 35.69 -0.01 1.70

273

Dewan Salman

119775

2010 Div BR (%) (%)

78.70 201.90 23.35 133.50 33.00 2.30 204.99 25.95 5.13 4.34 12.39 294.99 71.99 22.20

250 13.63 101.16

Engro Corporation Ltd

22.46 -0.74

Last 60 days High Low

Volume

90

7.64

125.88 121.25 122.10 -2.37

-

-

13.15

14.25

13.20

13.97 0.82

1192696

14.69

8.85

-

-

-

-

36.48

41.99

36.00

39.72 3.24

69643

43.75

32.00

50

-

-

-

FORESTRY AND PAPER Performance of SR Forestry & Paper Index Open 1,226.02 Turnover 844,888 P/E (x) 6.30 Company

High Low 1,267.35 1,209.99 Total cos Defaulter cos P/BV (x) ROE (%) 0.47 7.47

Close 1,227.62 Listed cap 1,186.83 mn Payout (%) 25.28

Paid up Cap(mn)

PE

Open

High

Low

Close Chg

Volume

707 411

6.90

18.69 44.80

19.69 46.79

18.10 44.30

18.79 0.10 44.72 -0.08

810405 31513

Century Paper Security Paper

Change % Change 1.61 0.13 Market cap 200-Day High 3,419.18 mn Div Yield (%) 200-Day Low 4.01 -

Last 60 days High Low 19.69 47.70

15.28 38.00

2010 Div BR (%) (%) 50

-

2011 Div BR (%) (%) -

-

INDUSTRIAL METALS AND MINING Performance of SR Industrial Metals and Mining Index Open 1,085.38 Turnover 1,930,058 P/E (x) 3.51 Company

High Low 1,142.20 1,052.69 Total cos Defaulter cos P/BV (x) ROE (%) 1.16 33.10

Close 1,118.41 Listed cap 3,596.11 mn Payout (%) 30.91

Paid up Cap(mn)

PE

Open

High

Low

Close Chg

Volume

565

4.56

27.20

29.20

26.63

29.20 2.00

853770

Crescent Steel

29.20

24.00

2010 Div BR (%) (%)

Company

Paid up Cap(mn)

Adam Sugar AL-Abbas Sugar AL-Noor Sugar Bawany Sugar Chashma SugarSPOT Clover Pakistan Crescent Sugar Dewan Sugar Faran Sugar Habib SugarXDXB Habib-ADM Ltd J D WSugar Mehran SugarXDXB Mirpurkhas Sugar Mirza Sugar National Foods Noon Sugar Pangrio Sugar Quice Food S S Oil Sakrand Sugar Sanghar SugarSPOT Shahmurad Sugar Shahtaj Sugar Shakarganj Mills Tandlianwala Thal Industries

58 174 186 87 287 94 214 365 217 750 200 490 157 84 141 414 165 109 107 57 223 119 211 120 695 1177 150

30

-

-

675

-

2.64

2.72

2.50

2.53 -0.11

242514

3.39

2.14

-

-

-

-

555

9.90

15.60

16.51

15.40

15.84 0.24

149785

16.51

12.50

-

-

-

-

1199 12.30

58.39

60.93

56.00

59.02 0.63

671175

62.20

44.00

40

20B

-

-

CONSTRUCTION AND MATERIALS

1.20 8.28 3.47 1.06 11.12 4.16 5.09 11.46 3.24 3.25 4.34 0.62 22.50 0.88 6.77 0.27 1.44 1.25 7.52 367.00 6.73

PE

Open

High

Low

Close Chg

Volume

-

3.37

3.70

3.00

3.16 -0.21

111694

3.98

2.80

Attock Cement

866

6.55

62.81

63.35

62.00

62.23 -0.58

330906

65.99

57.60

50

-

-

-

Balochistan Glass Ltd

858

-

2.80

2.99

2.26

2.79 -0.01

24546

4.24

1.10

-

-

-

-

182

Berger Paints

2010 Div BR (%) (%) - 100R

-

-

22.40

23.25

21.10

21.51 -0.89

136019

24.16

14.53

956 24.55

10.85

11.50

10.40

10.80 -0.05

82334

12.75

10.00

-

-

-

-

982 14.00

1.87

1.90

1.64

1.82 -0.05

55224

2.49

1.31

-

-

-

-

10115

3.49

563502

3.10

1.40

-

-

-

-

67790218 32.10

25.27

-

20R

-

-

4.72

-

-

-

-

948

-

Dewan Cement

3891

-

2.21

2.34

2.05

2.10 -0.11

3651 130.29

30.48

32.10

29.65

31.27 0.79

Fauji Cement

6933 15.33

5.01

5.11

4.90

5.06 0.05

Fecto Cement Flying Cement Ltd Frontier Ceramics Gharibwal Cement

502 1760

3.75 -

3.39

7.10 1.75

3.00

7.35 1.86

2.25

7.00 1.70

2.49 -0.90

7.20 0.10 1.81 0.06

2623493

1.11

5.55

40331

8.20

350879

5.05

2.25

1.60

-

-

-

-

-

-

Cherat Cement Dandot Cement

- 122R

2011 Div BR (%) (%)

Dadabhoy Cement

DG Khan Cement Ltd

-

-

-

-

-

77

-

1.90

2.50

1.51

1.70 -0.20

136511

5.00

1.18

-

-

-

-

2319

-

7.70

8.08

6.55

7.40 -0.30

12769

9.19

2.70

-

-

-

-

Haydery Const

32

-

0.70

0.96

0.55

0.63 -0.07

44148

1.08

0.42

-

-

-

-

Javedan Cement

581

-

59.12

60.99

56.17

59.00 -0.12

13697

63.05

56.05

-

-

-

-

1288

-

6.60

6.79

6.36

6.64 0.04

60165

8.70

5.80

-

-

-

-

15337693 79.98

69.20

40

-

-

-

2.66

-

-

-

-

Kohat Cement Lucky Cement

3234

6.92

75.13

77.45

73.60

77.07 1.94

Maple Leaf Cement

5261

1.29

2.84

2.95

2.73

2.77 -0.07

Pioneer Cement

7.01

7.21

6.86

7.18 0.17

1603990

3.30

493690

8.58

6.52

2228

-

Safe Mix Concrete

200

-

7.00

7.94

6.50

7.06 0.06

21093

7.94

5.25

-

-

-

-

Thatta Cement

798 443.75

18.00

18.00

17.02

17.75 -0.25

916500

22.24

17.02

-

50R

-

-

-

-

-

-

GENERAL INDUSTRIALS Performance of SR General Industrials Index Open 1,048.29 Turnover 2,758,645 P/E (x) 2.91 Company Cherat Papersack ECOPACK Ltd Ghani Glass MACPAC Films Merit Pack Packages Ltd

Paid up Cap(mn)

PE

Open

115 2.79 76.35 230 2.70 1067 5.09 49.46 389 3.42 47 61.55 23.00 844 68.03 132.55

High

High Low 1,072.88 1,036.07 Total cos Defaulter cos P/BV (x) ROE (%) 1.28 43.91 Low

Close Chg

80.90 77.90 78.38 2.89 2.30 2.84 56.45 49.98 55.35 3.73 2.81 3.36 24.62 22.00 24.62 133.49 125.10 132.66

2.03 0.14 5.89 -0.06 1.62 0.11

Close 1,066.28 Listed cap 3,043.31 mn Payout (%) 15.55

Volume

Change % Change 17.99 1.72 Market cap 200-Day High 39,591.10 mn Div Yield (%) 200-Day Low 5.34 -

Last 60 days High Low

528015 83.23 282157 3.30 82093 56.45 37613 4.05 16340 25.90 1576163 136.74

34.00 1.82 45.30 1.60 15.10 101.00

Company

Paid up Cap(mn)

Pak Elektron Tariq Glass Ind

1174 231

PE 3.83 2.56

2010 Div BR (%) (%) 20 25 -

25B 10B -

2011 Div BR (%) (%) -

-

INDUSTRIAL ENGINEERING High Low 1,635.26 1,541.86 Total cos Defaulter cos P/BV (x) ROE (%) 3.29 38.02

Close 1,624.71 Listed cap 1,336.62 mn Payout (%) 131.49

Company

Paid up Cap(mn)

(Colony) Thal AL-Qadir Textile Amtex Limited Artistic Denim Aruj Garments Azam Textile Azgard Nine Babri Cotton Bannu Woolen Blessed Tex Mills Chenab Limited Colony Mills Ltd Crescent Jute D M Textile D S Ind Ltd Dawood Lawrencepur Dewan Mushtaq Textile Ellcot Spinning Gadoon Textile H M Ismail Hira Textile Mills Ltd. Ibrahim Fibres ICC Textile Ideal Spinning Idrees Textile J K Spinning Janana D Mal Kohat Textile Kohinoor Ind Kohinoor Mills Kohinoor Textile Masood Textile Mohd Farooq Moonlite (PAK) Mukhtar Textile Nishat (Chunian) Nishat Mills Pak Synthetic Paramount Spinning Premium Textile Ravi Textile Redco Textile Reliance Weaving Saif Textile Sally Textile Salman Noman Sapphire Textile Saritow Spinning Service Ind Shahtaj Textile Suraj Cotton Thal Limited Treet Corp Tri-Star Poly Yousuf Weaving ZahidJee Textile Zephyr Textile Ltd

56 76 2594 840 62 133 4493 33 76 64 1150 2442 238 31 600 514 34 110 234 120 716 3105 100 99 180 184 43 208 303 509 1455 600 189 22 145 1596 3516 560 174 62 250 213 308 264 88 42 201 133 120 97 180 307 418 215 400 341 594

Paid up Cap(mn)

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

66

1.05

16.37

17.37

16.00

16.25 -0.12

20760

18.20

14.12

-

-

-

-

5.14

42367

244.95

200.00

150

-

-

-

1.31 -0.24

60627

2.40

0.21

-

-

-

-

215

5.78 236.22

244.95 234.00 241.36

2010 Div BR (%) (%)

Open 15.29 20.35

High 15.74 22.50

PE

Open

1.27 7.50 9.80 4.19 6.50 22.90 3.04 4.55 0.36 2.81 9.60 0.46 10.38 0.51 13.50 0.82 48.00 3.08 4.03 2.46 1.00 2.71 1.75 51.69 43.25 0.19 5.00 0.65 20.50 0.76 68.20 1.10 0.75 4.00 3.78 45.96 1.59 0.65 7.74 3.91 3.65 0.93 6.02 0.26 14.00 0.53 1.00 1.67 2.64 3.71 5.75 2.01 19.54 1.25 - 10.16 0.82 2.03 23.65 6.08 68.14 3.25 10.26 0.73 10.00 0.46 28.21 1.53 0.99 0.64 9.01 0.39 4.50 0.21 4.02 2.22 6.00 0.85 109.00 0.39 2.00 8.30 233.54 - 19.25 0.90 38.09 5.43 127.76 9.57 60.63 0.71 0.56 1.73 0.51 3.80 5.33 3.85

High

19.26 97.75 47.60 5.69 10.50 68.07 5.51 3.70 20.70 22.63 12.38 91.23 55.00 52.05 6.13 60.31 10.25 6.01 2.98 3.15 2.99 14.01 11.50 65.50 5.15 40.37 53.39

-0.18 3.25 -2.86 0.69 -0.58 -5.93 0.01 -0.32 0.46 -10.58 0.28 3.23 -3.73 1.54 0.13 -0.05 1.05 -0.15 0.45 -0.06 -0.10 -0.43 1.40 3.45 -0.78 4.87 -9.50

Volume

2011 Div BR (%) (%) -

-

Change % Change 19.84 1.18 Market cap 200-Day High 230,933.35 mn Div Yield (%) 200-Day Low 0.80 -

Last 60 days High Low

22117 20.50 7520 98.50 46871 53.02 33389 6.73 46849 15.47 5548 78.40 30626 7.00 103228 5.59 23838 21.73 1033431 36.50 20639 13.00 69176 92.50 50303 68.49 13650 68.22 27893 7.18 5661 75.50 19354 14.84 16157 6.99 282500 3.20 23000 3.89 23000 3.90 87638 15.00 39550 13.50 19249 100.26 41837 7.88 11871 40.61 6281 98.70

High Low 1,187.45 1,110.25 Total cos Defaulter cos P/BV (x) ROE (%) 0.33 10.64 Low 14.42 20.50

Close Chg 15.22 -0.07 21.38 1.03

12.46 89.78 41.00 1.21 8.50 46.15 5.00 1.42 19.00 22.60 11.69 70.00 52.60 48.11 4.20 39.01 9.00 4.25 2.02 3.00 2.11 13.00 9.85 56.01 4.06 28.88 53.39

Close 1,148.83 Listed cap 3,763.71 mn Payout (%) 6.27

Volume

2010 Div BR (%) (%) 25 50 50 10 15 25 25 25B 40 7010B 12.5R 35 20B 15 20B 10 12 10 15 10 15 -

2011 Div BR (%) (%) -

-

Change % Change -11.79 -1.02 Market cap 200-Day High 5,308.80 mn Div Yield (%) 200-Day Low 2.03 -

Last 60 days High Low

1743048 15.74 341838 22.50

High Low 1,025.44 1,001.01 Total cos Defaulter cos P/BV (x) ROE (%) 0.59 8.64 Low

Close Chg

1.35 0.85 1.35 0.08 8.01 5.61 5.61 -1.89 4.49 4.05 4.31 0.12 24.50 22.50 23.41 0.51 4.65 4.25 4.50 -0.05 2.90 1.86 2.58 -0.23 10.66 9.35 10.66 1.06 14.00 10.25 11.35 0.97 14.84 13.25 14.50 1.00 54.69 47.25 54.69 6.69 3.35 2.94 3.13 0.05 2.69 2.16 2.58 0.12 1.38 0.91 1.00 0.00 3.00 1.99 2.35 -0.36 1.86 1.64 1.75 0.00 44.99 42.50 43.94 0.69 6.09 4.02 6.09 1.09 21.78 20.25 21.30 0.80 70.75 66.15 69.58 1.38 1.10 0.52 1.04 -0.06 4.14 3.31 4.01 0.01 48.40 45.00 48.07 2.11 1.60 0.32 0.83 -0.76 8.74 6.10 7.70 -0.04 3.89 3.50 3.60 -0.05 6.20 6.00 6.10 0.08 18.00 14.60 16.00 2.00 1.00 0.85 1.00 0.00 1.90 1.43 1.65 -0.02 3.10 2.05 2.64 0.00 5.89 4.90 5.20 -0.55 20.74 19.06 19.06 -0.48 1.75 1.08 1.11 -0.14 13.01 9.20 11.05 0.89 0.83 0.35 0.49 -0.33 24.74 23.15 24.47 0.82 71.66 67.25 70.82 2.68 10.50 9.60 9.61 -0.65 10.25 10.00 10.00 0.00 30.20 28.03 29.20 0.99 1.60 1.35 1.53 0.00 0.99 0.60 0.99 0.00 9.95 8.60 9.20 0.19 4.94 4.10 4.90 0.40 4.50 3.90 4.23 0.21 6.35 4.50 5.25 -0.75 109.00 100.00 100.00 -9.00 2.50 1.00 2.40 0.40 242.55 228.75 242.55 9.01 20.00 19.00 19.59 0.34 41.00 38.10 39.99 1.90 129.95 125.95 127.11 -0.65 62.40 59.35 60.08 -0.55 0.71 0.52 0.69 -0.02 1.70 1.35 1.60 -0.13 3.80 3.80 3.80 0.00 4.50 3.80 4.05 0.20

Open 989.01 Turnover 487,606 P/E (x) 7.28

2011 Div BR (%) (%)

-

1.55

1.70

1.17

Ghandhara Ind

213 12.04

12.35

13.50

12.12

13.00

0.65

360927

14.80

10.55

-

-

-

-

KSB Pumps

132

7.21

60.07

61.79

58.55

60.23

0.16

27900

78.90

58.55

-

-

-

-

Millat Tractors XB

366

7.29 522.88

522189

560.00

443.00

650

25B

-

-

560.00 521.31 557.08 34.20

19.13 89.78 47.08 4.07 10.50 68.02 5.25 3.52 19.55 22.60 12.20 87.00 52.60 50.00 6.00 59.00 9.00 5.80 2.50 3.15 2.70 13.95 10.02 56.01 4.53 34.30 53.39

Close Chg

20B 20B

12.90 15.90

2010 Div BR (%) (%) 17.5

10B -

2011 Div BR (%) (%) -

-

Close 1,017.38 Listed cap 47,070.70 mn Payout (%) 16.68

Volume

Change % Change 4.29 0.42 Market cap 200-Day High 138,372.44 mn Div Yield (%) 200-Day Low 2.44 -

Last 60 days High Low

10065 1.99 7604 8.50 2448488 11.84 25583 24.59 7001 5.50 16538 3.45 35905821 12.32 157457 17.85 78230 14.84 11039 54.69 146937 3.90 82710 3.33 319097 1.38 5200 3.00 241869 2.37 29398 47.00 5451 7.44 8222 22.20 29149 71.40 10147 1.39 83002 4.88 914473 48.40 10519 2.70 46897 8.74 42628 4.45 35461 9.50 24543 19.40 78697 1.50 40028 2.00 5579 3.72 332859 5.97 12292 21.40 25625 2.08 8544 13.01 11417 0.95 10907171 25.14 22139910 71.66 91370 10.50 20038 11.25 7508 31.03 488736 1.98 8000 1.45 17361 11.50 17642 6.85 25311 5.75 32376 6.35 15655 109.00 187701 2.89 59706 276.50 12861 21.90 172829 41.00 264631 132.00 771789 63.30 5639 1.50 40941 2.00 10000 4.87 6004 4.90

2010 Div BR (%) (%)

0.52 3.00 10 4.00 30 19.10 20 4.10 1.32 7.5 9.20 8.10 - 15B 10.82 20 45.25 50 2.94 2.16 0.16 1.45 1.52 36.10 5 1.80 17.21 35 38.30 70 0.39 3.31 10 34.98 20 0.30 2.85 2.60 10 4.05 20 5B 13.25 0.51 1.10 1.52 4.82 18.01 15 100R 0.50 4.50 0.14 18.30 15 50.00 25 45R 5.25 8.00 10 10B 25.00 50 1.26 0.55 8.01 25SD 3.10 3.57 10 2.01 5B 89.80 50 1.00 169.00 15.61 45 29.00 50 86.50 80 20B 37.90 0.42 0.86 2.00 2.35 -

2011 Div BR (%) (%) -

-

PHARMA AND BIO TECH

Company

AL-Ghazi Tractor

Low

Close 1,708.23 Listed cap 11,335.33 mn Payout (%) 30.57

90 100 25 60 20 150 10

Performance of SR Pharma and Bio Tech Index

Change % Change 67.78 4.35 Market cap 200-Day High 34,312.48 mn Div Yield (%) 200-Day Low 15.20 -

Ados Pak

Dewan Auto Engineering 214

20.50 98.50 52.44 6.43 11.45 78.40 7.00 4.10 21.50 33.50 12.45 91.95 59.90 55.00 6.40 62.00 10.65 6.30 3.00 3.50 3.00 15.00 11.69 65.50 6.69 40.61 66.03

Open 1,013.09 Turnover 76,618,030 P/E (x) 6.84

Performance of SR Industrial Engineering Index Open 1,556.93 Turnover 1,042,378 P/E (x) 8.65

19.44 94.50 50.46 5.00 11.08 74.00 5.50 4.02 20.24 33.21 12.10 88.00 58.73 50.51 6.00 60.36 9.20 6.16 2.53 3.21 3.09 14.44 10.10 62.05 5.93 35.50 62.89

High

Open 1,160.62 Turnover 2,100,369 P/E (x) 3.09

Change % Change 15.63 1.56 Market cap 200-Day High 71,748.31 mn Div Yield (%) 200-Day Low 2.52 -

Last 60 days High Low

Open

High Low 1,751.57 1,651.32 Total cos Defaulter cos P/BV (x) ROE (%) 11.53 30.30

2010 Div BR (%) (%)

PERSONAL GOODS

1828

38,525.22

MA (10-day)

9.59

Total Equity (Rs in mn)

18,469.71

MA (100-day)

10.33

Revenue (Rs in mn)

11,737.86

MA (200-day)

11.60

Interest Expense

1st Support

Performance of SR Personal Goods Index

Paid up Cap(mn)

Company Al-Abbas Cement

Total Assets (Rs in mn)

2,424.42

9.94

Profit after Taxation

60.53

9.26

EPS 09 (Rs)

0.003

1st Resistance

10.98

Book value / share (Rs)

37.85

2nd Resistance

11.34

PE 10 E (x)

Pivot

10.30

PBV (x)

0.28

ANL closed up 1.06 at 10.66. Volume was 754 per cent above average (trending) and Bollinger Bands were 21 per cent narrower than normal. The company's loss after taxation stood at Rs488.179 million which translates into a Loss Per Share of Rs1.12 for the nine months of current calendar year (9MCY10). ANL is currently 8.1 per cent below its 200-day moving average and is displaying a downward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into ANL (mildly bullish). Trend forecasting oscillators are currently bearish on ANL.

Nishat Chunian Power Limited

Fundamental Highlights As on Jun 30, 2010

Technical Analysis RSI (14-day)

72.92

Total Assets (Rs in mn)

22,703.03

MA (10-day)

16.85

Total Equity (Rs in mn)

3,649.33

MA (100-day)

12.99

Revenue (Rs in mn)

0.00

MA (200-day)

11.44

Interest Expense

1st Support

17.29

Loss after Taxation

2nd Support

16.84

EPS 10 (Rs)

1st Resistance

18.10

Book value / share (Rs)

9.93

0.00

2nd Resistance

18.46

PE 11 E (x)

3.89

Pivot

17.65

PBV (x)

1.79

(7.76) (0.021)

NCPL closed up 0.69 at 17.76. Volume was 252 per cent above average (trending) and Bollinger Bands were 55 per cent wider than normal. The company's profit after taxation stood at Rs418.858 million which translates into an Earning Per Share of Rs1.14 for the 1st quarter of current fiscal year (1QFY11). NCPL is currently 55.2 per cent above its 200-day moving average and is displaying an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into NCPL (bullish). Trend forecasting oscillators are currently bullish on NCPL. Momentum oscillator is currently indicating that NCPL is currently in an overbought condition.

Dewan Salman Fibre Limited

HOUSEHOLD GOODS

Performance of SR Construction and Materials Index Close 1,019.24 Listed cap 54,792.74 mn Payout (%) 19.04

-

62.43

Performance of SR Household Goods Index

-

Dost Steels Ltd

Open High Low 1,003.61 1,033.41 979.65 Turnover Total cos Defaulter cos 101,429,393 P/E (x) P/BV (x) ROE (%) 7.56 0.54 7.10

PE

2011 Div BR (%) (%)

Huffaz Pipe International Ind

Open 1,688.39 Turnover 2,192,531 P/E (x) 38.07

Change % Change 33.03 3.04 Market cap 200-Day High 10,559.66 mn Div Yield (%) 200-Day Low 8.82 -

Last 60 days High Low

-

Change % Change 92.25 7.51 Market cap 200-Day High 47,057.76 mn Div Yield (%) 200-Day Low 4.42 -

Clariant Pak Dawood Hercules

21.58

Close Chg

Change % Change 111.58 7.62 Market cap 200-Day High 339,782.54 mn Div Yield (%) 200-Day Low 5.19 -

-

Fundamental Highlights As on Dec 31, 2009

Technical Analysis RSI (14-day)

2nd Support

Open 1,227.71 Turnover 3,791,108 P/E (x) 4.62

BOC (Pak)

Bawany Air

23.84

Low

Close 1,575.63 Listed cap 52,251.88 mn Payout (%) 48.81

40 15

2011 Div BR (%) (%)

Performance of SR Automobile and Parts Index

Company

Open High Low 1,464.06 1,579.40 1,464.68 Turnover Total cos Defaulter cos 280,188,460 P/E (x) P/BV (x) ROE (%) 9.41 3.29 35.00

2010 Div BR (%) (%)

AUTOMOBILE AND PARTS

Performance of SR Chemicals Index

Company

Azgard Nine Limited

Performance of SR Industrial Transportation Index

Close Change % Change 1,619.92 -8.85 -0.54 Listed cap Market cap 200-Day High 65,194.15 mn 1,243,798.83 mn Payout (%) Div Yield (%) 200-Day Low 55.94 4.79 -

Attock Refinery Mari Gas Company

Pak Refinery Limited P.S.O

Current High Low Change

8,694.33 8,706.60 8,494.28 h102.10

Alert ! Unusual Movements

INDUSTRIAL TRANSPORTATION

Performance of SR Oil and Gas Index Open 1,628.77 Turnover 71,632,780 P/E (x) 11.68

KSE 30 Index

Company Abbott (Lab) Ferozsons (Lab) GlaxoSmithKline Highnoon (Lab) Searle Pak

Paid up Cap(mn) 979 250 1707 165 306

PE

Open

9.40 108.50 6.76 88.49 15.29 85.38 8.06 29.86 5.81 62.51

High

High Low 1,002.50 971.49 Total cos Defaulter cos P/BV (x) ROE (%) 1.62 22.31 Low

Close Chg

110.20 107.00 107.26 -1.24 91.88 87.55 89.51 1.02 86.38 83.85 85.00 -0.38 30.48 28.35 29.11 -0.75 65.03 61.00 64.57 2.06

Close 989.66 Listed cap 3,904.20 mn Payout (%) 44.54

Volume 43796 13623 50050 21549 273776

Change % Change 0.65 0.07 Market cap 200-Day High 32,982.47 mn Div Yield (%) 200-Day Low 6.12 -

Last 60 days High Low 112.50 93.60 89.98 30.48 65.03

89.88 82.20 69.00 23.50 59.00

2010 Div BR (%) (%) 20 30

20B -

2011 Div BR (%) (%) -

-

Fundamental Highlights As on Jun 30, 2010

Technical Analysis RSI (14-day)

54.66

Total Assets (Rs in mn)

15,343.38

MA (10-day)

3.17

Total Equity (Rs in mn)

(7,218.97)

MA (100-day)

2.01

Revenue (Rs in mn)

MA (200-day)

1.97

Interest Expense

1st Support

2.96

Loss after Taxation

2nd Support

2.88

EPS 10 (Rs)

(4.176)

1st Resistance

3.18

Book value / share (Rs)

(19.71)

2nd Resistance

3.32

PE 11 E (x)

Pivot

3.10

PBV (x)

137.50 125.73 (1,529.67)

(0.16)

DSFL closed down -0.17 at 3.11. Volume was 57 per cent below average (consolidating) and Bollinger Bands were 35 per cent narrower than normal. The company's loss after taxation stood at Rs246.014 million which translates into a Loss Per Share of Rs0.67 for the 1st quarter of current fiscal year (1QFY11). DSFL is currently 58.0 per cent above its 200-day moving average and is displaying an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect volume flowing into and out of DSFL at a relatively equal pace. Trend forecasting oscillators are currently bullish on DSFL.

Pakistan Reinsurance Co Ltd

Fundamental Highlights As

Technical Analysis RSI (14-day)

75.37

Total Assets (Rs in mn)

MA (10-day)

16.71

Total Equity (Rs in mn)

6,785.66

MA (100-day)

15.16

Revenue (Rs in mn)

2,170.95

MA (200-day)

17.68

Interest Expense

12,372.62

1st Support

18.48

Profit after Taxation

2nd Support

18.50

EPS 09 (Rs)

0.900

1st Resistance

18.48

Book value / share (Rs)

22.62

2nd Resistance

18.50

PE 10 E (x)

47.90

Pivot

18.50

PBV (x)

0.00 269.91

0.82

PAKRI closed up 2.17 at 18.52. Volume was 15 per cent below average and Bollinger Bands were 4 per cent wider than normal. The company's profit after taxation stood at Rs88.468 million which translates into an Earning Per Share of Rs0.29 for the nine months of current calendar year (9MCY10). PAKRI is currently 4.8 per cent above its 200-day moving average and is displaying an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into PAKRI (bullish). Trend forecasting oscillators are currently bullish on PAKRI. Momentum oscillator is currently indicating that PAKRI is currently in an overbought condition.

BOOK CLOSURES Company

From

To

Lakson Tobacco Haseeb Waqas Sugar Mills Sanghar Sugar Mills Nagina Cotton Mills (TFC) Standard Chartered Bank Sindh Abadgar's Sugar Mills Shahtaj Sugar Mills Shashma Sugar Mills The Premier Sugar Mills Pangrio Sugar Mills Fecto Sugar Mills Thal Ind Corp Mirza Sugar Mills Baba Farid Sugar Mills Al-Noor Sugar Mills Shahmurad Sugar Mills Adam Sugar Mills Faran Sugar Mills Dewan Sugar Mills Crescent Sugar Mills Mitchell's fruit Farms JDW Sugar Mills Kohinoor Sugar Mills Al-Abbas Sugar Mills Shakarganj Mills Noon Sugar Mills Khairpur Sugar Mills Husein Sugar Mills Arif Habib Investments Summit Bank Fauji Fertiliser

18-Jan 18-Jan 19-Jan 19-Jan 19-Jan 19-Jan 20-Jan 21-Jan 21-Jan 22-Jan 22-Jan 22-Jan 22-Jan 22-Jan 22-Jan 22-Jan 23-Jan 23-Jan 24-Jan 24-Jan 24-Jan 24-Jan 24-Jan 24-Jan 25-Jan 27-Jan 29-Jan 29-Jan 01-Feb 01-Feb 23-Feb

25-Jan 25-Jan 31-Jan 25-Jan 01-Feb 28-Jan 01-Feb 30-Jan 30-Jan 31-Jan 29-Jan 28-Jan 31-Jan 29-Jan 02-Feb 02-Feb 31-Jan 30-Jan 31-Jan 31-Jan 31-Jan 31-Jan 31-Jan 31-Jan 31-Jan 03-Feb 05-Feb 04-Feb 07-Feb 08-Feb 01-Mar

D/B/R 10 15 10 10 10 10 15 10 50 10 25 25 40 70,10(B) 50 20(R) -

INDICATIONS # Extraordinary General Meeting

Spot AGM/Date 10-Jan 11-Jan 12-Jan 14-Jan 14-Jan 14-Jan 14-Jan 14-Jan 14-Jan 14-Jan 14-Jan 14-Jan 24-01-2010 -

25-Jan 25-Jan 31-Jan 25-Jan 28-Jan 27-Jan 31-Jan 31-Jan 31-Jan 29-Jan 28-Jan 31-Jan 29-Jan 28-Jan 28-Jan 29-Jan 27-Jan 31-Jan 31-Jan 31-Jan 31-Jan 31-Jan 31-Jan 31-Jan 31-Jan 29-Jan 29-Jan 07-Feb 01-Mar


7

Monday, January 17, 2011 Ask Gen Insurance

FIXED LINE TELECOMMUNICATION

Atlas Insurance

Performance of SR Fixed Line Telecommunication Index Open 1,147.68 Turnover 14,935,212 P/E (x) 6.21 Paid up Cap(mn)

Company

High Low 1,163.45 1,122.26 Total cos Defaulter cos P/BV (x) ROE (%) 0.80 12.84

Close 1,151.87 Listed cap 50,077.79 mn Payout (%) 62.56

PE

Open

High

Low

Close Chg

Volume

Pak Datacom 78 4.94 Pakistan Telecomm Co A 37740 12.97 Telecard 3000 0.68 WorldCall Tele 8606 -

79.00 19.50 2.17 2.71

82.20 19.72 2.30 2.90

79.02 19.10 2.12 2.52

80.03 1.03 19.46 -0.04 2.28 0.11 2.86 0.15

9925 10093803 1649239 3182245

Change % Change 4.19 0.36 Market cap 200-Day High 78,601.03 mn Div Yield (%) 200-Day Low 10.07 -

Last 60 days High Low 106.00 20.12 2.69 3.45

204

76.50 18.21 2.12 2.40

2010 Div BR (%) (%) 80 17.5 1 -

2011 Div BR (%) (%)

-

-

-

369

6.42

11.00

11.00

10.45

10.60 -0.40

42421

12.75

10.00

Paid up Cap(mn)

Close 1,382.88 Listed cap 95,369.29 mn Payout (%) 104.13

Change % Change 56.66 4.27 Market cap 200-Day High 112,989.85 mn Div Yield (%) 200-Day Low 6.85 -

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

Genertech 198 Hub Power 11572 7.30 Japan Power 1560 KESC 7932 Kohinoor Energy 1695 10.63 Kohinoor Power 126 2.63 Kot Addu Power 8803 5.45 Nishat Chunian Power Ltd3673 3.89 Nishat Power Ltd 3541 29.13 Sitara Energy Ltd 191 3.59 Southern Electric 1367 Tri-star Power XD 150 -

0.85 38.05 1.73 3.16 19.78 4.60 42.79 17.07 17.30 18.95 2.21 1.05

0.98 40.05 1.84 3.28 19.84 5.38 45.85 18.01 18.70 19.25 2.39 1.31

0.75 38.00 1.63 2.95 18.00 4.25 43.00 16.50 16.90 18.65 2.17 0.85

0.98 0.13 39.86 1.81 1.71 -0.02 3.09 -0.07 19.13 -0.65 4.31 -0.29 44.88 2.09 17.76 0.69 18.06 0.76 19.25 0.30 2.25 0.04 1.24 0.19

40250 14840609 554102 12643881 193648 106171 16377371 16052062 9428924 9192 1256094 23601

1.45 40.05 2.25 3.55 25.25 5.50 45.85 18.01 18.70 21.85 2.80 1.75

Company

0.60 33.15 1.40 2.04 17.95 4.01 38.35 11.60 12.81 17.98 2.05 0.71

2010 Div BR (%) (%) 50 15 50 20 -

2011 Div BR (%) (%)

7.8R -

-

GAS WATER AND MULTIUTILITIES Open 1,563.94 Turnover 1,844,216 P/E (x) 9.79 Company Sui North Gas Sui South Gas

High Low 1,581.28 1,526.40 Total cos Defaulter cos P/BV (x) ROE (%) 1.12 11.41

6.25

38.50

40.00

38.10

39.29 0.79

50304

40.00

30.75

-

-

-

-

279

9.14

70.42

83.00

70.75

80.40 9.98

42666

83.00

50.00

10

10B

-

-

6.99

11.75

11.95

10.75

11.18 -0.57

163039

12.00

9.65

-

-

-

-

1250

-

42.62

43.95

41.70

43.86 1.24

724618

48.63

39.48

-

-

-

-

400

3.55

EFU General Insurance Habib Insurance IGI Insurance

718 17.16

New Jub Insurance Pak Reinsurance

Change % Change -15.08 -0.96 Market cap 200-Day High 32,981.72 mn Div Yield (%) 200-Day Low 6.82 -

Paid up Cap(mn)

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

5491 8390

8.01 3.30

27.48 21.89

27.68 22.40

26.63 21.40

26.90 -0.58 21.90 0.01

324309 1519907

34.75 29.70

25.71 19.95

2010 Div BR (%) (%) 20 15

2011 Div BR (%) (%)

25B

-

-

BANKS Performance of SR Banks Index Open High Low Close 1,192.35 1,261.24 1,173.36 1,233.03 Turnover Total cos Defaulter cos Listed cap 150,185,319 - 257,548.02 mn P/E (x) P/BV (x) ROE (%) Payout (%) 8.75 1.22 13.94 40.49 Paid up Cap(mn)

Company

PE

Open

Allied Bank Limited 7821 7.09 Askari Bank 6427 8.84 Bank Alfalah 13492 14.55 Bank AL-Habib 7322 8.10 Bank Of Khyber 5004 5.60 Bank Of Punjab 5288 BankIslami Pak 52801087.50 Faysal Bank 7309 4.89 Habib Bank Ltd 10019 7.91 Habib Metropolitan Bank 8732 8.56 JS Bank Ltd 8150 KASB Bank Ltd 9509 MCB Bank Ltd 7602 10.79 Meezan Bank 6983 10.33 Mybank Ltd 5304 National Bank 13455 6.83 NIB Bank 40437 Samba Bank 14335 Silkbank Ltd 26716 Soneri Bank 6023 Stand Chart Bank 38716 13.17 United Bank Ltd 12242 8.12

71.85 17.70 11.12 37.40 4.21 9.93 4.02 15.24 124.99 28.50 2.45 2.43 225.99 19.68 2.65 77.65 3.17 2.06 2.81 7.80 8.64 67.15

High

Low

Close Chg

74.00 70.00 72.99 1.14 18.60 17.40 18.56 0.86 11.51 10.77 11.35 0.23 39.49 37.20 37.59 0.19 4.40 4.10 4.20 -0.01 10.23 9.03 9.42 -0.51 4.46 3.66 4.35 0.33 15.50 14.45 15.15 -0.09 128.97 122.75 126.70 1.71 28.98 27.50 27.99 -0.51 2.65 2.47 2.63 0.18 2.60 2.45 2.46 0.03 250.48 223.50 243.35 17.36 20.20 18.22 19.52 -0.16 3.02 2.62 3.00 0.35 80.61 76.76 78.15 0.50 3.35 2.93 3.03 -0.14 2.08 1.91 2.01 -0.05 3.05 2.72 2.79 -0.02 7.91 7.00 7.33 -0.47 8.60 8.11 8.56 -0.08 69.98 65.85 69.07 1.92

Last 60 days High Low

Volume 1094715 8607930 15410051 3706178 54163 18782938 1915200 1721992 1719798 431623 316012 111813 12822551 576188 1317002 30829778 11262405 491587 27599451 1216701 77539 10119704

Change % Change 40.68 3.41 Market cap 200-Day High 744,169.72 mn Div Yield (%) 200-Day Low 4.63 -

74.00 18.60 11.52 39.49 4.70 10.59 4.46 17.10 128.97 29.28 3.00 2.85 250.48 20.30 3.10 80.61 3.35 2.65 3.05 8.48 9.04 70.65

53.40 14.65 8.70 31.44 2.76 8.04 2.77 13.55 98.51 19.01 2.25 2.16 195.71 14.50 1.90 63.53 2.59 1.51 2.50 5.80 6.15 52.15

2010 Div BR (%) (%)

-

-

NON LIFE INSURANCE Performance of SR Non Life Insurance Index Open 785.61 Turnover 19,720,637 P/E (x) 13.44 Paid up Cap(mn)

Company Adamjee Insurance

High Low 832.00 782.68 Total cos Defaulter cos P/BV (x) ROE (%) 0.70 5.20

Close 822.03 Listed cap 11,111.34 mn Payout (%) 79.54

Change % Change 36.43 4.64 Market cap 200-Day High 49,344.14 mn Div Yield (%) 200-Day Low 5.92 -

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

1237 27.51

88.91

96.35

89.00

94.91 6.00

9961876

96.35

66.50

2010 Div BR (%) (%) 10

2011 Div BR (%) (%)

-

-

-

15.50 95.50

14.50

14.89 -0.05

90.10

92.49 -0.72

24122

15.50

38123

99.88

10.31

-

-

77.60

10

20B

-

UP TO 5000 VOLUME Symbols GAEL RICL DYNO PECO ALTN BATA NOPK UNIC FCONM RUPL HINO SIBL MFFL HUSI PKGI DIIL GFIL SING ARM JUBS SHTM SHDT PPP EMCO SFAT BWCL SMTM ISTM OTSU PTEC NESTLE WAZIR HAJT UVIC FIBLM SHCM STCL DINT DFSM KOSM BCL DSML ANSS BUXL BIFO SAPL GATM SHNI PMRS SZTM HWQS TRSM TSMF SGPL CRTM COLG LIBM DATM FASM LEUL FECM LAKST SASML CLIM MUBD SERF FNEL LMSM LPGL SNAI PRWM BILF KCL GSPM ULEVER CSIL SRSM AASM JOPP AATM DKTM ISIL SKFL AHTM FAEL GLAT KHSM SIEM ICL GUSM IDYM PGCL GRAYS QUAT FECS BROT SCL HUSS BAFS KSTM CPMFI MQTM QUET ILTM NAGC RMPL UPFL CWSM WYETH FZTM TATM PHDL MTIL MEHT SFL LATM IDEN GUTM FIMM FPRM MLCFPS KOHS ESBL SLCL GAMON SJTM DREL ASHT DWTM RCML ARPAK MUCL CFL JATM

-

58.25

58.86

56.51

56.84 -1.41

26073

60.90

53.11

-

-

-

-

16.35

18.52

16.45

18.52 2.17

5888041

18.52

14.00

-

-

-

-

PICIC Ins Ltd

350

-

8.99

10.75

8.05

9.80 0.81

2589559

10.75

2.10

-

-

-

-

303

6.55

12.48

12.93

12.00

12.12 -0.36

107352

12.93

8.33

-

-

-

-

Silver Star Insurance

253

4.44

6.81

8.10

6.81

7.15 0.34

45323

8.17

6.01

-

-

-

-

LIFE INSURANCE Performance of SR Life Insurance Index Open 855.49 Turnover 209,346 P/E (x) 5.80 Paid up Cap(mn)

High Low 878.15 822.45 Total cos Defaulter cos P/BV (x) ROE (%) 3.70 3.85

Close 872.11 Listed cap 2,290.72 mn Payout (%) 355.53

Change % Change 16.62 1.94 Market cap 200-Day High 9,900.92 mn Div Yield (%) 200-Day Low 3.70 -

PE

Open

High

Low

Close Chg

Volume

Last 60 days High Low

EFU Life Assurance

850 42.61

74.50

75.75

70.25

74.99 0.49

183342

86.95

62.75

-

-

-

-

New Jub Life Insurance

627 29.26

42.00

43.70

41.10

43.60 1.60

25989

49.31

39.95

-

-

-

-

Company

2010 Div BR (%) (%)

2011 Div BR (%) (%)

FINANCIAL SERVICES Performance of SR Financial Services Index Open 405.17 Turnover 30,618,391 P/E (x) 12.05 Paid up Cap(mn)

AMZ Ventures Arif Habib Limited Dawood Cap Mangt. XB Dawood Equities Grays Leasing IGI Investment Bank Invest and Fin Sec Invest Bank Ist Cap Securities Ist Dawood Bank Jah Siddiq Co JOV and CO JS Global Cap JS Investment Orix Leasing Pervez Ahmed Sec Saudi Pak Leasing Stand Chart Leasing Trust Brokerage Trust Inv Bank

High Low 434.60 390.77 Total cos Defaulter cos P/BV (x) ROE (%) 0.27 0.91

PE

Open

High

Low

225 1.50 450 13.89 150 1.10 250 215 2121 18.13 600 733.00 2849 3166 626 0.64 7633 508 500 7.73 1000 29.88 821 4.57 775 452 978 5.63 100 586 2.67

0.68 26.06 1.93 1.75 2.02 2.90 7.00 0.62 3.13 1.88 11.07 4.01 28.00 6.73 6.20 2.08 0.68 2.85 3.25 1.75

0.90 27.39 1.90 2.75 2.91 2.98 7.38 1.09 3.45 1.99 12.00 4.19 28.77 7.28 6.46 2.19 0.79 2.80 3.00 2.00

0.51 25.70 1.20 1.80 0.87 2.69 6.60 0.60 2.95 1.71 10.64 3.82 27.00 6.53 6.10 1.85 0.60 2.26 1.42 1.70

Close Chg 0.66 27.22 1.23 2.24 1.01 2.90 7.33 0.80 3.20 1.80 11.95 4.14 28.77 7.17 6.21 1.97 0.74 2.70 2.49 1.71

-0.02 1.16 -0.70 0.49 -1.01 0.00 0.33 0.18 0.07 -0.08 0.88 0.13 0.77 0.44 0.01 -0.11 0.06 -0.15 -0.76 -0.04

Close 428.28 Listed cap 30,336.44 mn Payout (%) 99.56

Volume 135265 532197 13842 914950 5041 58343 231078 162363 460862 318865 23447572 1314428 37573 1163301 6002 1307398 127711 25676 31405 16202

Change % Change 23.11 5.70 Market cap 200-Day High 18,868.63 mn Div Yield (%) 200-Day Low 3.35 -

Last 60 days High Low

2010 Div BR (%) (%)

0.95 28.95 2.14 2.75 2.95 3.90 8.79 1.09 4.80 2.40 14.05 5.38 32.37 7.59 7.29 2.70 0.97 3.00 3.75 2.98

11.5 10 -

0.33 24.40 1.10 1.28 0.18 1.50 6.16 0.53 2.95 1.05 9.13 2.16 24.76 5.63 4.70 1.61 0.46 2.25 1.42 1.24

2011 Div BR (%) (%)

20B 10B -

-

-

EQUITY INVESTMENT INSTRUMENTS Performance of SR Equity Investment Instruments Index

2011 Div BR (%) (%)

20 - 20B - 66R 55 -63.46R 10 -

14.94 93.21

791 15.32 3000 47.49

Premier Insurance

Company

Close 1,548.85 Listed cap 12,202.80 mn Payout (%) 66.79

-

457

-

Performance of SR Gas Water and Multiutilities Index

-

Central Insurance XB

ELECTRICITY High Low 1,395.89 1,319.34 Total cos Defaulter cos P/BV (x) ROE (%) 1.42 9.35

25R

Century Insurance

Performance of SR Electricity Index Open 1,326.22 Turnover 71,531,912 P/E (x) 15.20

-

Open 1,359.09 Turnover 10,480,175 P/E (x) 19.17 Paid up Cap(mn)

Company

1st Fid Leasing AL-Meezan Mutual F. AL-Noor Modaraba Atlas Fund of Funds B R R Guardian Mod. Crescent St Modaraba Equity Modaraba First Dawood Mutual F. Golden Arrow H B L Modaraba Habib Modaraba JS Growth Fund JS Value Fund KASB Modaraba Meezan Balanced Fund Mod Al-Mali NAMCO Balanced Fund Nat Bank Modaraba Pak Modaraba PICIC Energy Fund PICIC Growth Fund PICIC Inv Fund Prud Modaraba 1st Punjab Modaraba Safeway Mutual Fund Stand Chart Modaraba U D L Modaraba

264 1375 210 525 780 200 524 581 760 397 1008 3180 1186 283 1200 184 1000 250 125 1000 2835 2841 872 340 545 454 264

High Low 1,407.54 1,324.73 Total cos Defaulter cos P/BV (x) ROE (%) 0.42 2.21

PE

Open

High

Low

9.00 7.55 5.33 1.91 3.64 1.40 12.75 0.72 2.24 2.67 6.03 71.50 19.14 1.25 7.50 18.50 5.47 6.37 5.50 2.18 9.28 7.67 2.39 7.10 4.67 1.68

1.59 9.05 3.25 4.60 1.62 0.57 2.00 2.00 3.10 7.62 6.66 5.72 5.12 1.61 7.80 1.55 3.85 6.10 1.01 6.91 13.26 6.56 1.08 1.68 6.01 9.60 6.06

1.72 9.15 3.25 4.75 1.84 0.70 2.15 2.39 3.17 8.24 7.10 5.85 5.44 2.24 7.85 2.50 3.70 7.00 1.15 7.50 14.60 6.80 1.20 1.70 7.10 9.65 6.25

1.33 8.61 3.00 4.25 1.52 0.48 1.88 2.00 3.05 7.75 6.67 5.31 5.10 1.52 7.56 1.35 3.49 6.60 0.95 6.71 13.11 6.00 0.95 1.21 6.10 9.46 5.90

Close 1,391.13 Listed cap 29,771.58 mn Payout (%) 104.74

Change % Change 32.04 2.36 Market cap 200-Day High 18,305.52 mn Div Yield (%) 200-Day Low 8.49 -

Close Chg

Volume

Last 60 days High Low

2010 Div BR (%) (%)

1.44 9.06 3.20 4.73 1.60 0.56 2.04 2.29 3.13 8.00 7.00 5.72 5.36 1.70 7.80 1.85 3.50 6.88 1.10 7.50 14.48 6.75 1.05 1.40 7.10 9.52 5.93

15279 770682 6500 224570 72746 115092 560017 6550 293122 26525 623964 2091735 1443082 14531 107976 73640 60102 11311 7490 514007 2493718 778087 67903 12308 25010 7118 43539

2.00 9.15 3.80 4.80 2.79 1.10 2.37 2.39 3.80 8.49 7.10 5.89 5.44 2.24 8.25 2.50 4.24 7.74 2.00 7.50 14.60 6.80 1.20 2.54 8.49 10.29 6.69

18.5 5 2.2 0 1.2 17 11 21 5 10 2.8 15.5 15 10 3 10 20 10 3 1 18.2 17 12.5

-0.15 0.01 -0.05 0.13 -0.02 -0.01 0.04 0.29 0.03 0.38 0.34 0.00 0.24 0.09 0.00 0.30 -0.35 0.78 0.09 0.59 1.22 0.19 -0.03 -0.28 1.09 -0.08 -0.13

1.18 6.05 2.10 2.70 0.90 0.16 1.05 1.30 2.56 5.11 5.80 2.65 2.31 1.26 5.15 0.56 2.40 4.50 0.46 5.00 7.90 3.52 0.81 0.50 5.01 8.50 4.71

2011 Div BR (%) (%)

-

-

-

Open

High

1.10 6.60 11.00 216.60 9.10 642.71 24.79 6.81 1.27 37.65 126.02 4.00 86.10 7.00 7.40 12.82 4.00 19.50 15.90 3.49 0.49 13.60 45.01 2.89 5.10 18.10 5.99 7.25 34.00 2.20 2471.66 8.40 0.59 3.99 2.85 10.00 8.50 26.50 3.61 1.30 44.50 2.75 5.00 13.80 53.31 143.50 30.10 13.44 46.49 6.05 22.00 1.77 1.49 1.00 23.05 935.80 65.00 0.54 33.01 2.47 3.20 298.48 11.00 5.00 2.75 0.29 8.69 1.50 15.87 47.06 15.30 1.68 7.80 7.64 4353.80 4.68 2.66 38.99 8.00 0.95 2.28 74.79 1.74 17.95 13.30 7.50 1.50 1234.90 32.41 6.48 254.06 24.70 49.85 13.50 46.55 0.40 95.24 9.86 61.40 0.96 3.16 8.75 39.91 180.00 16.75 2090.30 1110.45 1.39 1050.00 413.61 37.45 34.93 0.50 60.00 120.00 7.50 13.50 19.66 61.19 8.80 4.90 5.00 2.69 2.02 1.51 0.51 609.99 4.99 0.00 36.85 12.90 14.40 13.61 2.90

1.10 6.94 11.36 216.05 10.74 655.00 25.89 7.30 1.99 39.89 129.20 4.00 89.90 7.39 8.30 11.85 4.50 20.48 16.00 4.19 0.70 13.49 45.99 3.79 6.00 19.10 6.04 7.45 35.70 2.50 2600.00 8.50 0.74 4.00 2.58 12.00 8.70 27.45 4.79 1.58 46.00 3.49 5.10 14.75 51.00 143.99 32.00 13.44 49.30 7.05 23.62 1.86 1.49 1.60 23.50 966.00 68.75 0.51 35.05 1.90 3.20 300.00 11.15 5.00 2.75 0.38 8.44 2.00 15.87 48.00 14.95 1.68 6.80 7.55 4599.99 5.00 2.80 37.05 9.10 1.13 2.78 76.40 1.65 17.95 14.30 7.50 1.50 1238.00 32.85 7.45 250.00 27.40 51.00 13.50 44.23 0.58 95.24 11.98 61.00 1.00 4.50 9.89 46.18 180.00 16.75 2159.00 1163.91 2.00 1082.00 435.64 38.00 35.60 0.75 68.25 125.00 8.00 14.50 19.76 65.60 8.81 5.00 5.95 2.90 2.50 2.22 2.53 609.99 5.98 9.77 39.30 12.90 15.35 14.60 2.90

Low

Close

0.65 6.40 11.00 171.12 9.25 620.00 23.60 6.71 1.00 37.45 121.50 3.12 80.00 6.40 7.26 9.71 4.40 19.60 15.00 2.30 0.32 13.20 44.50 2.40 5.10 16.51 5.95 6.25 33.51 2.00 2440.00 6.99 0.44 3.00 1.50 10.50 8.10 25.35 3.10 0.92 43.00 2.10 5.00 13.00 46.75 139.00 30.00 12.00 41.51 6.05 21.85 1.77 1.25 1.00 19.51 910.01 58.67 0.26 33.25 1.52 2.75 279.01 10.98 4.10 1.50 0.16 6.73 1.01 12.00 45.00 14.35 1.00 6.80 6.65 4225.00 3.11 2.25 30.26 8.01 0.95 2.20 75.40 1.65 16.50 13.30 7.50 1.50 1206.50 29.28 6.10 206.20 24.89 48.50 13.49 37.01 0.33 90.48 10.78 59.50 0.50 3.16 8.90 39.91 157.70 16.48 2021.55 1045.00 1.02 1000.01 402.00 36.30 30.69 0.50 59.00 125.00 7.50 14.00 18.00 61.19 8.80 4.90 3.11 2.74 1.11 1.50 0.51 551.01 4.99 9.00 37.45 11.90 14.40 13.61 2.90

0.65 6.61 11.15 172.22 10.74 637.10 24.99 6.74 1.50 39.00 124.99 3.50 81.13 6.40 8.29 11.68 4.50 20.00 15.00 4.19 0.48 13.20 45.15 3.59 6.00 16.51 5.99 7.25 35.45 2.40 2599.32 7.93 0.65 3.49 1.66 11.00 8.25 27.00 4.00 1.35 46.00 2.53 5.00 13.40 48.15 143.90 31.61 12.97 45.00 7.02 22.99 1.85 1.25 1.20 19.51 964.08 68.75 0.26 34.98 1.52 3.05 282.51 11.10 4.10 1.50 0.38 8.00 1.25 12.00 48.00 14.60 1.00 6.80 7.55 4400.22 4.87 2.80 30.26 9.10 1.13 2.66 75.40 1.65 16.52 14.30 7.50 1.50 1210.00 32.50 6.64 207.45 26.39 49.00 13.49 37.01 0.48 90.80 11.00 60.45 0.71 4.15 9.15 46.18 157.70 16.48 2128.29 1111.00 1.68 1055.00 404.00 36.95 35.60 0.75 66.00 125.00 8.00 14.00 18.88 62.50 8.81 5.00 3.80 2.80 1.75 2.22 2.53 575.00 5.98 0.00 39.30 12.15 15.34 14.60 2.90

Change

Vol

-0.45 0.01 0.15 -44.38 1.64 -5.61 0.20 -0.07 0.23 1.35 -1.03 -0.50 -4.97 -0.60 0.89 -1.14 0.50 0.50 -0.90 0.70 -0.01 -0.40 0.14 0.70 0.90 -1.59 0.00 0.00 1.45 0.20 127.66 -0.47 0.06 -0.50 -1.19 1.00 -0.25 0.50 0.39 0.05 1.50 -0.22 0.00 -0.40 -5.16 0.40 1.51 -0.47 -1.49 0.97 0.99 0.08 -0.24 0.20 -3.54 28.28 3.75 -0.28 1.97 -0.95 -0.15 -15.97 0.10 -0.90 -1.25 0.09 -0.69 -0.25 -3.87 0.94 -0.70 -0.68 -1.00 -0.09 46.42 0.19 0.14 -8.73 1.10 0.18 0.38 0.61 -0.09 -1.43 1.00 0.00 0.00 -24.90 0.09 0.16 -46.61 1.69 -0.85 -0.01 -9.54 0.08 -4.44 1.14 -0.95 -0.25 0.99 0.40 6.27 -22.30 -0.27 37.99 0.55 0.29 5.00 -9.61 -0.50 0.67 0.25 6.00 5.00 0.50 0.50 -0.78 1.31 0.01 0.10 -1.20 0.11 -0.27 0.71 2.02 -34.99 0.99 0.00 2.45 -0.75 0.94 0.99 0.00

5000 4901 4646 4548 4482 4394 4375 4161 4013 3595 3586 3523 3517 3508 3384 3297 3199 3146 3010 3008 3006 3000 2970 2873 2670 2648 2542 2521 2520 2513 2391 2301 2288 2262 2232 2229 2200 2134 2113 2108 2051 2015 2000 1966 1865 1809 1794 1794 1686 1635 1542 1530 1520 1500 1412 1297 1252 1221 1201 1091 1083 1070 1007 1000 1000 1000 958 911 800 737 672 670 666 642 623 618 606 531 511 510 502 501 500 500 500 500 500 437 427 425 377 375 293 288 282 261 219 193 192 176 120 113 105 101 101 94 85 79 79 77 69 62 60 54 40 35 25 22 20 16 15 14 14 13 12 12 12 11 11 11 11 10 10 10

BOARD MEETINGS

Fauji Fertiliser Bin Qasim Ltd

KSE 100 INDEX

National Bank of Pakistan

Dera Ghazi Khan Cement Co Ltd

Company

Date

Byco Petroleum Pakistan Ltd

17-Jan

3:00

Shaheen Insurance Company Ltd

17-Jan

10:00

Invest Capital Investment Bank Ltd

19-Jan

Time

11:00

Siemens (Pakistan) Engineering Company Ltd 23-Jan Pakistan Petroleum Ltd Fauji Fertiliser Bin Qasim Ltd

3:30

24-Jan

10:00

25-Jan

10:30

Unilever Pakistan Limited

14-Feb

2:30

Kot Addu Power Company Ltd

16-Feb

12:30

Unilever Pakistan Foods Ltd

17-Feb

2:30

TECHNICAL LEVELS Company

Technical Outlook Technical Analysis RSI (14-day)

Brokerage House

Leverage Position

Fair Value

Rs Recommendations

34.7

Sell

*Arif Habib Ltd

Accumulate Negative

*Arif Habib Ltd AKD Securities Ltd

32.06

76.68

Support 1

12,478.25

MA (5-day)

12,369.63

Support 2

12,422.95

MA (10-day)

12,266.12

Resistance 1

12,569.55

MA (100-day)

10,791.88

Resistance 2

12,605.55

Technical Analysis

MA (200-day)

10,430.60

Pivot

12,514.25

RSI (14-day) MA (10-day) MA (100-day)

KSE 100 INDEX closed up 144.50 points at 12,533.54. Volume was 197

TFD Research

29.1

Brokerage House

76.52 38.02 31.81 30.38 39.28 39.59

Brokerage House

Buy

*Arif Habib Ltd

AKD Securities Ltd

43.29

Buy

AKD Securities Ltd

TFD Research

36.85

Positive

TFD Research

Leverage Position Free Float Shares (mn) 326.94 Free Float Rs (mn) 13,414.29 CFS Shares (mn) N/A CFS Rs (mn) N/A CFS Rate N/A ** NOI Rs (mn) 132.46

Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median

Leverage Position

61.13 30.27 27.46 26.92 30.54 30.88

Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)

Fair Value

Rs Recommendations

82.1

Buy

61.96

Neutral

92.3

Positive

Technical Outlook

Technical Outlook

major 1st resistance level at 12,569.55 and 2nd resistance level at Median 12,605.55, while Index will continue to find its 1st support level at * Target price for Jun-11 & **Net Open Interest in future market 12,478.25 and 2nd support level at 12,422.95. FFBL closed up 2.59 at 41.03. Volume was 744 per cent above average KSE 100 INDEX is currently 20.2 per cent above its 200-day moving aver(trending) and Bollinger Bands were 67 per cent wider than normal. age and is displaying an upward trend. Volatility is high as compared to the FFBL is currently 35.1 per cent above its 200-day moving average and is average volatility over the last 10 trading sessions. Volume indicators displaying an upward trend. Volatility is high as compared to the average reflect moderate flows of volume into INDEX (mildly bullish). Trend fore- volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into FFBL (mildly bullish). Trend forecasting oscillacasting oscillators are currently bullish on INDEX. Momentum oscillator is tors are currently bullish on FFBL. Momentum oscillator is currently indicatcurrently indicating that INDEX is currently in an overbought condition. ing that FFBL is currently in an overbought condition.

182.55 5,708.33 N/A N/A N/A 47.52

Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median

Leverage Position

66.96 77.21 67.37 68.07 77.96 78.69

Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)

318.44 24,886.42 N/A N/A N/A 121.70

* Target price for Jun-11 & **Net Open Interest in future market

* Target price for Jun-11 & **Net Open Interest in future market

DGKC closed up 0.79 at 31.27. Volume was 293 per cent above average (trending) and Bollinger Bands were 47 per cent narrower than normal. DGKC is currently 16.2 per cent above its 200-day moving average and is displaying an upward trend. Volatility is low as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into DGKC (mildly bullish). Trend forecasting oscillators are currently bullish on DGKC.

NBP closed up 0.50 at 78.15. Volume was 192 per cent above average (trending) and Bollinger Bands were 50 per cent wider than normal. NBP is currently 14.8 per cent above its 200-day moving average and is displaying an upward trend. Volatility is low as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into NBP (mildly bullish). Trend forecasting oscillators are currently bullish on NBP.

Nishat Mills Ltd

Engro Corporation

Rs Recommendations

42

Technical Outlook

per cent above average (trending) and Bollinger Bands were 28 per cent MA (200-day) wider than normal. As far as resistance level is concern, the market will see Mean

Fair Value

Bank Al-Falah Ltd

Kot Addu Power Co Ltd

Al-Abbas Cement Allied Bank Limited Attock Cement Arif Habib Corp Arif Habib Limited Adamjee Insurance Askari Bank Azgard Nine Attock Petroleum Attock Refinery Bank Al-Falah BankIslami Pak Bank.Of.Punjab Dewan Cement D.G.K.Cement Dewan Salman Dost Steels Ltd EFU General Insurance EFU Life Assurance Engro Chemical Faysal Bank Fauji Cement Fauji Fert Bin Fauji Fertilizer Habib Bank Ltd Hub Power ICI Pakistan Indus Motors J.O.V.and CO Japan Power JS Bank Ltd Jah Siddiq Co Kot Addu Power K.E.S.C Lotte Pakistan Lucky Cement MCB Bank Ltd Maple Leaf Cement National Bank

Brokerage House

Rs Recommendations

176

Sell

AKD Securities Ltd

238.8

Buy

TFD Research

*Arif Habib Ltd AKD Securities Ltd TFD Research

Brokerage House

Fair Value

208.75

Technical Analysis 75.07 203.41 182.14 185.81 210.10 211.39

59.97 74.2

Rs Recommendations Buy

*Arif Habib Ltd AKD Securities Ltd TFD Research

Technical Outlook

Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)

Brokerage House

Neutral

Neutral

Technical Outlook RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median

Fair Value

147.48 32,398.75 N/A N/A N/A 270.95

Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median

76.63 67.50 53.72 51.84 68.93 69.46

47 48.7 46.05

Rs Recommendations

Brokerage House

175.80 12,450.15 N/A N/A N/A 85.25

Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median

75.54 43.49 40.84 41.92 44.87 44.43

Fair Value

Nishat (Chunian) Netsol Technologies

Buy

*Arif Habib Ltd

Buy

NIB Bank

Buy

AKD Securities Ltd

10.25

Accumulate

Nimir Ind.Chemical

TFD Research

14.01

Positive

Nishat Mills Oil & Gas Dev. XD

Technical Outlook

Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)

13

Rs Recommendations

Neutral

Technical Outlook

Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)

Fair Value

176.05 7,901.15 N/A N/A N/A N/A

Technical Analysis RSI (14-day) MA (10-day) MA (100-day) MA (200-day) Mean Median

61.55 11.06 9.40 9.74 11.02 11.14

PACE (Pakistan) Ltd.

Leverage Position Free Float Shares (mn) Free Float Rs (mn) CFS Shares (mn) CFS Rs (mn) CFS Rate ** NOI Rs (mn)

674.58 7,656.46 N/A N/A N/A N/A

* Target price for Jun-11 & **Net Open Interest in future market

* Target price for Jun-11 & **Net Open Interest in future market

* Target price for Jun-11 & **Net Open Interest in future market

* Target price for Jun-11 & **Net Open Interest in future market

ENGRO closed up 18.13 at 219.68. Volume was 411 per cent above average (trending) and Bollinger Bands were 128 per cent wider than normal. ENGRO is currently 18.2 per cent above its 200-day moving average and is displaying an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect moderate flows of volume into ENGRO (mildly bullish). Trend forecasting oscillators are currently bullish on ENGRO. Momentum oscillator is currently indicating that ENGRO is currently in an overbought condition.

NML closed up 2.68 at 70.82. Volume was 90 per cent above average and Bollinger Bands were 49 per cent wider than normal. NML is currently 36.6 per cent above its 200-day moving average and is displaying an upward trend. Volatility is low as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into NML (bullish). Trend forecasting oscillators are currently bullish on NML. Momentum oscillator is currently indicating that NML is currently in an overbought condition.

KAPCO closed up 2.09 at 44.88. Volume was 128 per cent above average and Bollinger Bands were 212 per cent wider than normal. KAPCO is currently 7.1 per cent above its 200-day moving average and is displaying an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into KAPCO (bullish). Trend forecasting oscillators are currently bullish on KAPCO. Momentum oscillator is currently indicating that KAPCO is currently in an overbought condition.

BAFL closed up 0.23 at 11.35. Volume was 196 per cent above average (trending) and Bollinger Bands were 25 per cent narrower than normal. BAFL is currently 16.5 per cent above its 200-day moving average and is displaying an upward trend. Volatility is high as compared to the average volatility over the last 10 trading sessions. Volume indicators reflect very strong flows of volume into BAFL (bullish). Trend forecasting oscillators are currently bullish on BAFL.

Pervez Ahmed Sec P.I.A.C.(A) Pioneer Cement Pak Oilfields Pak Petroleum Pak Suzuki P.S.O. XD P.T.C.L.A Shell Pakistan Sui North Gas Sitara Peroxide Sui South Gas Telecard TRG Pakistan United Bank Ltd WorldCall Tele

RSI 1st 2nd (14-day) Support 46.38 3.05 2.90 73.23 71.70 70.35 45.74 61.80 61.35 71.12 27.60 26.65 59.68 26.60 25.95 72.50 92.70 90.45 70.97 18.00 17.40 62.43 9.95 9.25 83.96 377.40 369.25 74.79 138.70 135.05 61.55 11.10 10.85 75.14 4.10 3.80 44.85 9.30 9.15 46.75 2.05 2.00 61.13 30.70 30.15 54.66 3.00 2.90 33.33 2.50 2.45 52.72 42.55 41.20 50.62 73.40 71.85 75.07 213.25 206.85 52.82 14.75 14.30 51.83 5.00 4.95 76.52 39.70 38.40 86.50 139.85 135.20 65.66 125.95 125.20 77.45 39.50 39.10 70.24 153.75 152.70 82.81 286.40 277.75 56.69 4.05 3.90 49.86 1.65 1.55 54.80 2.55 2.45 44.21 11.40 10.80 75.54 44.40 43.85 60.76 3.00 2.95 77.23 15.25 14.95 58.10 75.90 74.75 70.67 240.20 237.10 40.18 2.75 2.70 66.96 76.60 75.05 65.08 23.75 23.00 87.26 23.45 23.35 53.86 2.95 2.90 53.60 1.90 1.85 76.63 69.80 68.75 55.59 172.10 170.95 55.89 2.50 2.15 39.27 1.85 1.70 61.74 2.45 2.40 58.58 7.05 6.95 83.01 330.70 328.05 65.20 222.60 221.45 54.76 71.00 70.00 71.97 300.25 294.25 53.23 19.30 19.10 64.15 207.35 203.20 43.53 26.55 26.20 61.77 13.50 13.00 52.65 21.60 21.30 53.39 2.20 2.10 40.21 3.30 3.20 66.37 68.25 67.45 54.47 2.70 2.50

1st

2nd

Resistance 3.35 3.60 74.15 75.30 62.90 63.55 29.00 29.50 27.60 28.00 96.75 98.55 18.90 19.20 11.00 11.35 396.30 407.05 145.00 147.60 11.55 11.75 4.55 4.75 9.55 9.65 2.15 2.20 31.95 32.65 3.20 3.35 2.60 2.65 44.55 45.30 76.15 77.35 222.90 226.15 15.45 15.70 5.10 5.15 41.70 42.40 146.85 149.20 127.95 129.25 40.15 40.40 156.15 157.50 300.20 305.45 4.20 4.30 1.80 1.85 2.70 2.75

Pivot 3.25 72.85 62.45 28.05 27.00 94.50 18.30 10.30 388.15 141.30 11.30 4.25 9.40 2.10 31.40 3.10 2.55 43.25 74.60 216.50 15.00 5.05 40.40 142.20 127.20 39.75 155.10 291.60 4.10 1.70 2.60

12.25

12.55

11.70

45.40

45.90

44.90

3.15

3.25

3.10

15.80

16.05

15.50

77.85

78.60

76.70

248.35 253.40 245.25 2.85 80.15

2.90 82.15

2.80 78.60

25.00

25.50

24.25

23.70

23.75

23.55

3.10

3.20

3.05

2.05

2.10

1.95

71.75

72.70

70.75

175.15 177.05 174.00 3.05

3.25

2.70

2.10

2.20

1.95

2.55

2.60

2.50

7.25

7.35

7.15

335.80 338.25 333.15 225.25 226.85 224.15 73.00

74.00

72.00

310.75 315.35 304.80 19.65

19.80

19.45

215.35 219.20 211.20 27.35

27.85

27.00

14.35

14.70

13.85

22.10

22.30

21.80

2.35

2.40

3.50

3.60

3.40

69.95

70.80

69.10

2.95

3.05

2.80

2.25


UK pension insurance costs at 18 month-low 8

Monday, January 17, 2011

Insurers monished tough for law-breach

ARLINGTON: Bernanke speaks during a panel discussion as Bair and Warner look on at an FDIC Small Business Forum.-Reuters

AIG to sell Taiwan unit for $2.16bn

PNB recasts insurance, MF joint ventures

TAIPEI: American International Group still faces challenges as it looks to complete the $2.16 billion sale of its Taiwan unit, Nan Shan, not least from Taiwan's picky regulators, who have laid down five strict conditions. AIG will formally submit the agreement with the buyer group, called Ruen Chen Investment and made up of retailer Ruentex Industries Ltd and shoe maker Pou Chen Corp, to regulators, who have said they will review it according to the five conditions. AIG says Ruen Chen meets the criteria, but regulatory sources have told Reuters that concerns remain. Analysts say the regulatory process could take three to six months. Below are details of how the bidder group stacks up against the conditions. Criteria 1: fund-raising ability for future operations Ruen Chen said it has a funding plan for the next 20 years. Analysts suggest that

MUMBAI: India's state-run lender Punjab National Bank restructured its insurance and mutual fund joint ventures by buying out its partners' stake from the insurance venture and selling its entire stake in the mutual fund distribution joint venture, the bank said in a release. PNB bought its partners'-Principal Financial Group Mauritius (PFG) and U K Paints--stake of 26 per cent and 32 per cent, respectively, from the insurance joint venutre, Principal PNB Life Insurance Company. "After taking over the stake from PFG and others, PNB's holding in Insurance Broking Company is now 81 per cent and in Principal PNB Life Insurance Company Ltd is 88 per cent," PNB release stated. The bank is now looking at strategic partnerships in life and non-life insurance business and has also invited expressions of interest for the same. The Delhi-based bank also bought Principal's 26 per cent stake and Berger Paints' 25 per cent in the Insurance Broking Company. On the other hand, PNB sold its entire 30 per cent stake in mutual fund distribution venture to Principal, thereby exiting from the business. However, the bank has retained its stake in Principal PNB Asset Management Company. The bank will also continue to distribute products of Principal PNB Asset Management company for next three years. PNB and another state-run lender Vijaya Bank had entered into a partnership with Principal for life insurance and mutual fund joint ventures some years back. However, the joint ventures had run into rough waters and the banks wanted to exit the alliance since the last few years. "Punjab National Bank had signed a Memorandum of Agreement with Principal Financial Group of Mauritius (PFG) and Vijaya Bank for restructuring of their existing joint ventures on 23.06.2010," the bank said in the release. Reuters

considering the size of parent Ruentex, it should have easy access to market funds. However Taiwan's insurers may need to prepare for huge reserves should Taiwan decide to adopt new IFRS 4 accounting rules in the future. Criteria 2: a long-term commitment to run Nan Shan Ruen Chen said it would not sell Nan Shan in the next 10 years and would study an IPO, something the regulators have previously suggested for the insurer. Criteria 3: experience in running an insurance business Samuel Yin, head of the buyer group and also chairman of parent Ruentex Group, owned Antai Life Insurance for 17 years, but analysts said regulators may see that as purely a financial investment so Yin might find it hard to make a case. A previous bid for Nan Shan by Hong Kong investment firm Primus and battery maker China Strategic was rejected last year on this criteria.

Criteria 4: taking care of employees and policy holders The buyer has agreed to maintain existing compensation and benefits packages for employees and its agency organisation and commission structure. Ruen Chen will also retain the current management team, and hinted at future employee share ownership plans and enhanced compensation packages. Criteria 5: funding sources that meet Taiwan regulations This is an oblique reference to any funding from mainland China, still a no-no in Taiwan's financial industry despite better ties between the two political rivals. Ruen Chen said it has no mainland money behind it, and will buy Nan Shan with its own cash, syndicated bank loans and a convertible bond issued overseas. Analysts said the bond plan may raise concerns with the regulator because of uncertainty over who might buy it, with mainland buyers a possibility. -Reuters

1mn BISP beneficiaries entitled for life insurance ISLAMABAD: One million registered beneficiaries of Benazir Income Support Programmme (BISP) who have lost their bread earners are being given compensation of Rs100,000 under life insurance scheme. Talking to media, Chairperson BISP, Farzana Raja said the programme is expediting its efforts for social and economic empowerment of deserving women being identified through its nationwide poverty survey. The programme would reach out to five million families under the survey being simultaneously conducted in Punjab, Sindh and Khyber Pakhtunkhwa and will be completed by June this year. However, the survey has already been completed in compliance with Aghaz-eHaqooq-e-Balochsitan in the province. Farzana said that the

survey would enable registered families to get benefit from monthly cash grant, vocational training, returnable loans under Waseela-e-Haq and Life Insurance. Moreover, Health Insurance facilities would be offered soon to registered beneficiaries, she added. The Chairperson said "Pakistan People's Party (PPP)' manifesto largely speaks of the social and economic empowerment of the women and the programme is benefitting over three million families in the country." BISP has launched an improved delivery system through Mobile Phone Banking and around 150,000 beneficiaries in Musakhel, Layyah, Batgram and Larkana are being provided free mobiles in the first phase. By using Mobile Phone Banking facility, the benefici-

aries will be able to receive their cash grant in most convenient and transparent way. The transparency and facilitation of the beneficiaries is the priority of the programme and the whole system is established on modern technology, she said BISP is not a political programme and it is working for the well being of the downtrodden segments of the society. International aid agencies are quite appreciative of this programme as it is proving to be a comprehensive welfare mechanism for the poor people. Farzana urged the people to support the survey teams for successful completion of the poverty survey so that people in need can be reached out and given their right at their doorstep, thus, it would be a help in achieving BISP's objective of making the country a welfare state. -APP

ISLAMABAD:National Assembly standing committee on Human Rights taking serious notice of violation of the Insurance Ordinance 2000 has asked the insurance companies to provide a performa in simple and regional languages. The Standing Committee meeting chaired by Riaz Fityana, Chairman National Assembly Standing Committee on Human Rights also directed insurance companies to establish small disputes response committees which is an obligation under the law. The committee also recommended that health and disability cover should also be provided to the policy holders which includes annual status of insurance policies to the clients and also maintain record of its receiving. Shahid Aziz Siddiqui, Chairman State Life Insurance Companies of Pakistan informed the committee that a proposal for health cover is under progress whereas, the company is already providing disability cover to policy holders.

He briefed the meeting that currently there are 7.2 million policy holders are registered with their company including 3.2 million life insurance clients and four million group insurance. He said that in 2009 they provided an amount of Rs1.5 billion under death claims and till November 2010 they gave Rs1.2 billion whereas, in 2009 maturity claims worth Rs7.47 billion was disbursed and till November 2010 Rs5.49 billion was provided to the clients. Shahid Aziz informed that in case of death claim they took action within two years of the death of the policy holder after following specific procedure. However, he said, those claims which were submitted after two years were not entertained. The committee members also expressed concerns over the appointment criteria of insurance ombudsman. The committee also condemned assassination of Governor Punjab Salman Taseer and journalist Wali Khan Babar, who was shot dead in Karachi on Thursday. -APP

Microinsurance seen as poor’s hope KARACHI: Without meeting the insurance needs of lowincome people, the risks to economic development cannot be eliminated. This was pointed out at a business policy roundtable organised in Karachi here under the auspices of the Securities and Exchange Commission of Pakistan (SECP). It was further stated that the recent floods have proved this point because in the absence of proper insurance coverage, the economic losses suffered by the poor had a devastating effect on their financial stability. While realising the needs of the microinsurance segment and the huge potential economic impact on the target community, the apex regulator, Securities and Exchange Commission of Pakistan (SECP) had initiated the dialogue with the insurance industry last year. In this regard, a task force has been set up comprising major stakeholders including representatives from SECP and State Bank of Pakistan, insurance companies and microfinance banks, and supported by the Center for International Private Enterprise. The task force, headed by the

Executive Director (Insurance) deliberated on the areas including the development of a regulatory framework for microinsurance, discussing the feasibility of a viable and specialised microinsurance companies and recommending a sustainable business model for microinsurance business. The draft rules on microinsurance were shared with stakeholders at a business policy roundtable held in Karachi. A sketch of the pilot model on micro-health insurance was also prepared and presented by the insurance companies to be conducted in partnership with the distributors and microfinance banks, emphasising on the need for creating innovative business models and leveraging the use of technology. After getting inputs from all stakeholders, the SECP will soon finalise rules on microinsurance. In Pakistan, where the insurance penetration is a mere 0.7 per cent of GDP, this initiative is expected to help create a transparent and enabling environment thereby improving the insurance density and affordable outreach to low-income people, and alleviation of poverty. APP

Insurance moot on 19th KARACHI: A seminar on `Insurance: Tool to minimise business risk" will be organised here on January 19. The moot would be held under the aegis of the Karachi Branch Council of the Institute of Cost and Management Accountants of Pakistan (ICMAP). Nasreen Rashid, Executive Director, Insurance Division, Securities and Exchange Commission of Pakistan (SECP) will be the keynote speaker. Other prominent personalities of Insurance sector will present technical papers on the occasion. Hasan A Bilgrami, President of the ICMAP, will also speak on the occasion.-APP

Queensland flood insurance claims reach A$365mn SYDNEY: Insurance Council of Australia, which represents the country's insurers, said the industry has already received over 7,000 claims worth A$365 million ($364 million) from the deadly floods in Queensland state. The property and auto claims do not include claims from Brisbane, the country's thirdlargest city, where claims are expected to be high, and are from the rest of the state. The claims also do not include industrial and mining claims, the council said in a statement. Four analysts on average estimated the floods, that had forced evacuation of parts of Brisbane, shut most mines and sunk rail lines, to cost insurers about $1 billion, putting it in line with some of the biggest claims in the country so far. -Reuters

Insurers stop sharing price data after OFT probe LONDON: Seven insurance groups including Aviva and Axa Insurance UK agreed to stop sharing motor policy pricing data using an Experian tool after the UK regulator said it could limit competition. The tool, called Whatif? Private Motor, allowed insurers to access the pricing information supplied by competitors to brokers, the Office of Fair Trading said in a statement. The insurance groups said they would address the OFT's concerns by ensuring pricing information was anonymous, aggregated across at least five insurers and already "live" in broker sold policies. OFT Executive Director Clive Maxwell said the commitments were a proportionate response to its concerns. "We used our discretion to limit our investigation's scope in order to reach a quick and effective outcome," Maxwell said. "However, we are aware that similar market analysis tools exist both in motor and other insurance markets and we urge companies using them to ensure that they are complying with competition law." Insurers Ageas Insurance, Liverpool Victoria Friendly Society, RBS Insurance Group Royal Sun Alliance and Zurich Insurance also committed to the proposals, as did IT software and service providers Experian and SSP. -Reuters

Insurers at KSE witness healthy wk TFD Report KARACHI: Insurance stocks continued to show positive activities last week at the Karachi Stock Exchange with increased investor participation as near 20 million shares traded together in life and non-life segments. Adamjee Insurance was the most traded stock with 9.96 million shares followed by Pakistan Reinsurance with 5.88 million. Top gainers of the week include Central Insurance which jumped by Rs9.98 to close at Rs80.4 and Adamjee Insurance by Rs6 to close at Rs94.91 while East West Insurance fell by Rs29.5 to close at Rs296 and New Jubilee Insurance by Rs1.41 to close at Rs56.84 to be the major losers of the week.


Kostelic stands between Hirscher and Grange after the second run at the men's Alpine skiing WC slalom race in Wengen

9

Monday, January 17, 2011

Sania to face hulking Henin BANGALORE: Sania Mirza blasted her way into the main draw of the Australian Open on Sunday, but has come up against the mountain in former world No. 1 Justine Henin of Belgium. The 24-year-old Indian, however, has nothing to lose against the seven-time Grand Slam champion in Monday's show court engagement and will go out swinging. Sania, who has played most of the top guns on the women's Tour, hasn't faced the crafty 28-year-old before. "I couldn't have imagined a tougher opponent than Justine in the main draw," Sania said. "She is a great player, has huge experience, she is one of the greats of the game. I have nothing to lose. I'll go out there and enjoy the match. I'm looking forward to playing her." The Hyderabadi's match against the 11th seed has been posted at the Hisense Arena, the fourth match after the 5.30am (IST) start. India No. 1 Somdev Devvarman, playing Spain's Tommy Robredo in the first round, is also on the opening day's schedule. His is the third match on Court No. 7. On Sunday, Sania, ranked 145, put up her best performance of the qualifying competition to stop Canada's Stephanie Dubois 6-2, 6-3 in 73 minutes. "I had never beaten Dubois before," Sania said. "She has beaten me in the juniors and I even lost to her a year ago in the final in Vancouver. It felt good to turn the tables on her in a crucial match. Grand Slams are special and it is wonderful to be playing in my seventh straight singles main draw at the Australian Open. I had three tough matches in the last three days in gruelling heat, it is energy draining, but working my way into the main draw has given me a lot of confidence for this tournament and for the season." Sania's father Imran, who is in Melbourne along with her Canadian coach Rob Steckley and trainer Anand, said: " Tennis is a funny game and every day is a new day.Agencies

Richardson, new WI team manager ST JOHN`S: Former international batsman Richie Richardson has been named the new West Indies team manager, the West Indies Cricket Board said on Saturday. Richardson, who played 86 Test matches and 224 oneday internationals, scoring a total of 21 centuries, replaces Joel Garner, who had held the position on an interim basis. The ex-West Indies captain, has been appointed for a two-year term and will be in charge for the side`s tour to Sri Lanka for three one-day games to be followed by the World Cup in India, Sri Lanka and Bangladesh. The 49-year-old Antiguan will work alongside coach Otis Gibson and skipper Darren Sammy as the West Indies look to turn around several years of decline. "As a former player and captain, I gave my all for West Indies cricket on the field. We are at the cusp of a new era and it is now time for me to contribute off the field and aid in the building and resurgence of West Indies cricket," Richardson said in a statement.-Online

Pakistan do 134-2 against NZ’s 356

WELLINGTON: Azhar Ali (R) celebrates 50 runs with teammate Taufeeq Umar during day two of the Second test match between the New Zealand Blackcaps and Pakistan at Basin Reserve.-Reuters

ICC chief says Cup venues will be ready MELBOURNE: Cricket’s global chief on Saturday admitted some venues were not yet ready for the World Cup in South Asia but vowed there would be no repeat of chaos that marred the build-up to the Commonwealth Games. International Cricket Council (ICC) chief executive Haroon Lorgat said four stadiums in particular were “slightly behind” in their preparations for the tournament in India, Sri Lanka and Bangladesh, starting next month. He was speaking after

reports of chaotic scenes at Eden Gardens in Kolkata and at Mumbai’s Wankhede stadium. “The concern with Delhi was more than a year ago with the state of the pitch but that has been sorted out,” he told reporters in Melbourne. “The stadiums are slightly behind, there are four in particular I think, but they’ll be done before the start of the World Cup.” Sri Lanka has pledged that two new stadiums in Kandy and Hambantota will be ready

on time, while Bangladesh has promised to deliver “worldclass”facilities. “We’ll ensure power supplies at the venues are uninterrupted, floodlights work and that the pitches are of the highest standard,” Bangladesh Cricket Board spokesman Jalal Yunus said this month. Lorgat said he was happy with progress against spot-fixing after a tribunal last week delayed a decision over allegations against Pakistan’s Salman Butt, Mohammad Asif and Mohammed Aamer.-Agencies

Senate body upset over cycling velodrome delay ISLAMABAD: The Senate Standing Committee on Sports on Saturday expressed grave concern over the non-completion of country’s only Cycling Velodrome in Lahore and directed Pakistan Sports Board (PSB) to provide all details of the project so that bottlenecks in its completion could be removed.

The committee which met under the chairmanship of Abdul Ghaffar Qureshi at the Parliament House was attended by its members Sardar Ali Khan, Syed Tahir Hussain Mashhadi, Haroon Khan, Mir Muhammad Ali, Afia Zia, Naeem Hussain Chattha and officials of Pakistan Sports Board (PSB) and Pakistan Cycling

Federation (PCF). The Secretary PCF Idris Haider Khawaja told the meeting that in November 2005, an amount of Rs 49 million was sanctioned by the government for construction of new Cycling Velodrome at Nishtar Sports Complex, Lahore, but work on the project had not been undertaken yet.-APP

Hamstrung Tendulkar out of ODIs MUMBAI: India's Sachin Tendulkar has been ruled out of the last three one-day internationals against South Africa due to a hamstring injury, the Indian cricket board said on Sunday. Wicketkeeper Parthiv Patel, who has opened for India in ODIs in the past, will fly to South Africa as Tendulkar'sreplacement, the Board of Control for Cricket in India said in a statement. Tendulkar, who holds almost all of cricket's batting records, injured his hamstring during his 24-run knock in the second ODI against South Africa on Saturday, which India won by a run to level the five-match series 1-1. On Saturday, the right-handed batsman equalled Sri Lankan Sanath Jayasuriya's record of 444 ODIs. Regular openers Virender Sehwag and Gautam Gambhir, and paceman Praveen Kumar, have already been ruled out of the series due to injuries. Selectors meet on Monday to pick the 15-member squad for the Feb. 19-April 2 World Cup in India, Sri Lanka and Bangladesh.-Reuters

WELLINGTON: Taufeeq Umar and Azhar Ali both stroked patient half centuries after the loss of an early wicket to guide Pakistan to 134 for two in reply to New Zealand's 356 at the end of play on the second day of the second test at the Basin Reserve on Sunday. Taufeeq blotted his copybook when he was dismissed on the last ball of the day, caught in close by Martin Guptill off Daniel Vettori for 70. Azhar was not out 62 after he and Taufeeq had combined for a 132-run partnership following the early loss of Mohammad Hafeez for one, when he was given out caught by wicketkeeper Reece Young off Tim Southee to leave Pakistan reeling at 2-1. Hafeez was unlucky to be given out as replays raised doubts as to whether he had hit the ball. Taufeeq, however, was the beneficiary of not having the umpire review system in use during the series when he prodded forward to a sharply turning Vettori delivery and Young

took a backhanded catch after juggling the ball four times. Television replays showed he had got a large inside edge on to his pad before Young took the catch. It was the sixth possible decision that could have been overturned by the review system and while New Zealand captain Daniel Vettori said he would like to see the system in place, both teams just had to accept it was not being used. "You just get on with it," said Vettori, whose sixth test century guided New Zealand to 356. "I've tried to be consistent and say the referral system is good for cricket. "I think 99 percent of people think the same way. Its just a matter of convincing that one percent." Vettori's century was brought up amongst some tense moments at the Basin Reserve. He resumed after lunch on 79 but accelerated his scoring rate when he lost Southee (one) in the first over after the break and had just Brent Arnel and Chris Martin to come.-Reuters

Federer in Melbourne haunted by Nadal bid MELBOURNE: Roger Federer launches the defence of his Australian Open title on Monday looking to continue his recent purple patch of form against Slovakian Lukas Lacko. The Swiss maestro must fight fire with fire at the year's first grand slam in Melbourne as he attempts to deny Rafa Nadal securing a place among the pantheon of tennis greats. In the women's first round, Denmark's Caroline Wozniacki faces Argentine Gisela Dulko with pressure mounting to justify her number one ranking by winning a maiden grand slam. Too much of a gentleman to admit it publicly, Federer will be desperate to prevent Nadal from becoming the first man to hold all four slams at once since Rod Laver in 1969. Federer's bid to add to his record 16 grand slams was boosted by beating his nemesis

to capture the 2010 season-ending World Tour Finals in London. He also won in Doha earlier this month and will need to ride that form to deny Nadal, should the two reach the final. Lacko can come out swinging at Rod Laver Arena but Federer, who is gunning for an unprecedented fifth Australian Open, will be expected to make short work of the world number 97. Federer began the mind games in the build-up to the year's first grand slam by saying Nadal was the man to beat as the Spaniard holds the other three major titles. "He's been the one who's dominating the slams," said the 29-year-old Federer when asked if his sharp form gave him the edge. "That clearly makes him the favourite."Reuters

Watson fires Aus to victory over Eng MELBOURNE: Shane Watson blazed a magnificent 161 not out, and clubbed a six to win the game, as Australia scored 297 for four to beat England by six wickets in their first one-day international on Sunday. Australia's score was the highest successful run chase in a one-day international at the Melbourne Cricket Ground (MCG). Watson shared in two century stands, an opening partnership of 110 with Brad Haddin (39) and 103 for the second wicket with captain Michael Clarke (36), though Australia were struggling to keep up with the required run rate by the time Clarke departed. Steve Smith attempted to take advantage of the batting powerplay by swinging at every delivery and while he got away with a bottom edge past England wicketkeeper Steve Davies, his second edge was well caught by Michael

Yardy off Ajmal Shahzad. Mike Hussey, however, came in and set about the England attack taking 15 runs off one Tim Bresnan over to ensure Australia were at least up with the required rate as they began their final push for victory. Bresnan had the final laugh, though, when he deceived Hussey with an off cutter that he chipped to Chris Tremlett at square leg to be dismissed for 21 off 15 balls and Australia were again drifting behind the required rate. Cameron White took a few balls to get used to the pitch before taking advantage of a dropped catch by Jonathan Trott in the deep off Tremlett when he was on nine. That got Australia down to a run a ball with just over three overs remaining and four runs from the last over. Watson then smashed the first ball of the 50th over into the crowd over long on for his fourth six to ensure victory. It

was his highest one-day international score and fifth century. Australia's selectors will have been left in little doubt about his form as they pondered the makeup of their final 15-man squad that will seek a fourth successive World Cup next month. Kevin Pietersen and Andrew Strauss had earlier blasted half centuries, while Haddin fluffed three stumping opportunities, as England made their imposing 294 in 49.4 overs. Pietersen top scored with 78 before he was run out just as he was looking to launch a final assault on the Australian bowlers shortly after England had taken the final power play. Strauss scored 63 off 65 balls as he punished anything short of a length in a blistering start with Davies (42) when they rattled up 90 runs inside the first 12 overs.Reuters

MELBOURNE: Yardy dives to field a shot from Watson during their one-day international cricket match-Reuters


International

10

Monday, January 17, 2011

RESTIVE TUNISIA & RELUCTANT ARAB RULERS * TUNISIAN PROTESTS SEEN ALARMING ARAB LEADERS * MUTED RESPONSE FROM ARAB CAPITALS

T

he near-silence of Arab leaders about the popular protests that chased Tunisia's exPresident Zine al-Abidine Ben Ali from power speaks volumes. People across the region have watched enthralled as street unrest forced Ben Ali to flee the North African country he has ruled for 23 years -- an unprecedented spectacle in the Arab world, where authoritarian leaders can usually only be dislodged by army coup, assassination or their own mortality. US President Barack Obama urged

free and fair elections in Tunisia, a call echoed by other Western leaders

-- many of whom had turned a blind eye to Ben Ali's repressive style. But Arab capitals have largely kept quiet, apparently stunned by the seismic explosion of protest in Tunisia. "What will worry many governments in the region is that the crisis was spontaneous and not organised," said Henry Wilkinson of the Janusian Security Consultancy. "Events in Tunisia have shown the risk of a pressure cooker effect: if you have a system of intense suppression without addressing the causes of discontent, a crack in that

system can lead to an explosion." A cautious statement from the

Cairo-based Arab League called for Tunisia's "political forces, representatives of Tunisian society and officials to stand together" and keep the peace. Saudi Arabia, a monarchy that gave Ben Ali refuge, expressed support for Tunisians as they overcome this "difficult stage". In Egypt, where President Hosni Mubarak has ruled for almost 30 years, the foreign ministry said it respected the choices of the Tunisian people and trusted their wisdom "in fixing the situation and avoiding the collapse of Tunisia into chaos". Sudan said it welcomed the political change in Tunisia, using similar language about respecting the will of Tunisians. The military overthrow of Sudan's president Jaafar Nimeiri in 1985 after a wave of popular protests is perhaps the closest parallel in modern Arab history to Ben Ali's ouster. Sudan's current president, Omar alBashir, took power in a 1989 coup. In Iraq, where a coup backed by violent unrest toppled the Hashemite monarchy in 1958, the government spokesman, Ali al-Dabbagh, sidestepped comment on the upheaval in Tunisia. "This is an internal issue for Tunisian people. We do not interfere in the affairs of other countries and respect the choice of the people in the region," he said. Iraq can boast a government that was formed, albeit with huge difficulty, after a genuine election, unlike those in most Arab countries, which offer more form than substance. PEOPLE POWER The reticence of Arab leaders over Tunisia may reflect their fears that, as North Africa analyst Camille Tawil argues, "what happened in Tunis proved that the people can topple a government in the Arab world by taking to the streets and demonstrating".

But it does not necessarily mean they will stand by if their own people are inspired to replicate Tunisia's revolt. "Other autocrats will not have the squeamishness about suppression with violence that the Tunisians showed," said Richard Dalton, a former British ambassador to Libya and Iran. He said some, such as Libya's Muammar Gaddafi, "will conclude that they are still right to never give an inch, whether to Islamists or just reformers" and that regime survival is best served by resisting any Western pressure for change. Arab rulers often justify repression by suggesting the alternative is to see radical Islamists seize power, but Tunisia offers little obvious support for this argument. "Ben Ali's regime overplayed the

Islamist card, trying to scare people about al Qaeda. People saw through it," said Saad Djebbar, an Algerian lawyer and political analyst. "And as it turned out there were few beards in the street in the protests, even though, to be fair, many Tunisian Islamists prudently don't wear beards." Arab leaders with more wealth at their disposal also have options to deal with dissent that the Tunisian leader lacked. "Tunisia simply had fewer cards to play. The country doesn't have the recourse to hydrocarbon rent to make all problems go away," said North Africa analyst Geoff Porter, citing moves by Libya and Algeria to reduce food prices by forgoing tax revenue. Even resource-poor countries such as Jordan have tried to forestall

unrest by taking similar measures they can ill afford. For Beirut-based commentator Rami Khouri, the message of the Tunisian insurrection was clear. "It marks the end of acquiescence and docility among masses of ordinary Arab citizens who had remained remarkably complacent for decades in the face of the mounting power of Western-backed Arab security states and police- and armybased ruling regimes." He said the grievances of Tunisian protesters were shared across the Arab world, except perhaps in small rich Gulf states. "These complaints are about rising prices and job shortages, but also about the heavy-handed and condescending manner in which ruling Arab elites treat their citizens," Khouri wrote. -Reuters

Ambition, fear means US business tongue-tied on China

U

S companies want a lot out of Chinese President Hu Jintao when he visits Washington next week. They have a long list of moans and desires. But in a sign of how fearful they are about upsetting Beijing and damaging their access to one of the world's biggest export growth markets, they won't talk about it in public. In the middle of last year several top executives were reported to have criticised China's domestic policies, in particular its lack of laws to protect intellectual property and its protectionist stance against foreign companies. Google Inc suffered a loss of Chinese business as a result of a big row with Beijing over censorship. Jeff Immelt, the chief executive of jet enginesto-scanning machines conglomerate General Electric Co, was even quoted as wondering whether China wanted foreign companies to be successful -though GE disputes that account. Six months later, the titans of US industry -- typically quick

to criticise Washington -- are shy of provoking the Chinese dragon. More than a dozen major companies with big Chinese businesses who were contacted by Reuters declined to comment on what they wanted out of Hu's visit. One that did respond was Wal-Mart Stores Inc. "Walmart has grown in step with the opening of China's retail market," said Kevin Gardner, a spokesman for the world's largest retailer. "We have aligned many of our growth goals with the government." He did not say what the Bentonville, Arkansas-based company hoped would come of the summit between Hu and US President Barack Obama. CEOs' restraint in airing their concerns about Chinese policies reflects their fear of losing access, said Peter Klein, senior portfolio manager at Fifth Third Asset Management in Cleveland, Ohio, which holds shares of companies including GE, United Technologies Corp and 3M Co, all of which have sizable Chinese operations. "The Chinese government

will lock you out," Klein said. "It's not a command-and-control economy, but it certainly isn't a fully capital-oriented economy either. You have to be patient to get what you want. And if you have to shut up, you shut up." Google's bust-up with China over censorship last year sent shivers through many foreign businesses. The internet company in January accused China of launching a sophisticated hacking attack against its servers and in March began routing Chinese users' searches to Hong Kong in an end-run around Beijing's censorship practices. China renewed Google's license after the US company made a change that allows users to access the Hong Kong site but does not send them there automatically. But Google has continued to complain that Chinese censorship is hurting its business, and has reported sporadic disruptions to its service there since the summer. Not that the companies aren't pushing their cases behind the scenes, using proxies within

the government and lobbyists. Obama administration officials have trotted out for a series of policy speeches this week criticising China's trade stance ahead of Hu's state visit. "When I talk to business leaders across America, they continue to express significant concerns -- shared by business around the world -- about the commercial environment in China," US Commerce Secretary Gary Locke said on Thursday, complaining that Beijing often fails to keep promises to open its markets. "Perhaps an agreement is made, but it never becomes binding," Locke said. "Or perhaps there's a well-written law or regulation at the national level, but there's lax enforcement." Treasury Secretary Timothy Geithner has also been beating the drum to push China to allow its currency to rise in value. Most succinct in summarising the concerns this week was Thomas Donohue, president of the US Chamber of Commerce.

"We are also concerned about a host of Chinese policies -- from its efforts to promote indigenous innovation, to the favoritism it shows to domestic industries, to its lax (intellectual property) protections, to its undervalued currency," he told Reuters. But Donohue made it clear that US business isn't in lockstep with a push by some in Congress to take stiff measures against China if it doesn't revalue the yuan sharply. "Starting a trade war with one of our fastest growing exports markets is not the answer," Donohue said. DIVIDED VIEWS Corporate America is far from united on such questions. For companies like Wal-Mart Stores, a sharp rise in the yuan will make sourcing Chinese goods more expensive and threaten profit margins. Others, like Caterpillar Inc and GE, aim to manufacture much of the equipment they sell in China within the country, which diminishes the effect of the exchange rate. One rare exception to corporate America's silence came in

July, when GE's Immelt reportedly said Chinese authorities do not want foreign businesses to succeed. "I am not sure that in the end they want any of us to win, or any of us to be successful," Jeff Immelt told a group of executives at a dinner in Rome, the Financial Times reported. A GE spokesman at the time said the comments "were taken out of context and, in some instances, inaccurately reported," but declined to provide a fuller account of Immelt's words, saying they were intended to be off the record. Immelt remains publicly enthusiastic about GE's prospects in China, telling investors in December the largest US conglomerate expects "excellent growth in China in 2011." US companies have at time been less restrained in expressing their fears that their intellectual property becomes vulnerable when they do business in China. That is a vital concern in an economy where many companies focus on developing and selling products, handing off the actual

manufacturing to facilities in China and elsewhere in the developing world. Microsoft Corp CEO Steve Ballmer identified "better global enforcement of intellectual property laws" as the world's largest software company's No. 1 lobbying priority in an interview with the Washington Post in July. "That is particularly true in China, where the protections are the weakest," Ballmer told the paper. US businesses' fears range from outright piracy of their goods to the transfer of technological know-how that can be inevitable in joint ventures with Chinese companies. "Sometimes Beijing mandates that foreign firms share technology, locate R&D in China and so forth, and the US business community sees that as tying their hands when they go to China," said Kevin Gallagher, professor of international relations at Boston University. "They say, 'We'll do that for five years and then all of a sudden China will have its own competitor that looks just like us.'" -Reuters

ECB maybe preparing new tightening strategy T

ough talk on inflation from the European Central Bank suggests it may be considering a plan to raise official interest rates even as it keeps emergency funding support for commercial banks in crisis-hit countries. ECB President Jean-Claude Trichet surprised markets on Thursday when, as the central bank kept its main refinancing rate at 1.0 per cent, he warned that risks to price stability in the medium term "could move to the upside". He also made a point of recalling that the ECB raised rates in 2008, when it acted against oil price-fuelled inflation despite growing financial turmoil that developed into a crisis just a few months later with the collapse of Lehman Brothers.

The ECB ultimately was widely criticised for tightening policy as the region slid into recession. So Trichet's willingness to recall this episode, implicitly threatening to do the same thing again, was striking. "If you talk tough on inflation, nobody can accuse you of being the soft central bank that gives in to political pressure," said Berenberg Bank economist Holger Schmieding. Market expectations for an ECB rate increase this year or early in 2012 grew after Trichet's comments. Euro zone interest rate futures on Friday extended losses across the 2011/12 area, pushing up their implied yields. The three-month Euribor rate -- a mix of rate expectations and banks' appetite for lending --

climbed to 1.006 per cent from 0.998 per cent, its biggest rise in one day since last Oct. 21. Most economists agreed the chances of an ECB rate hike late in 2011 had risen significantly after Trichet spoke. Howard Archer at Global Insight put the probability of a hike before year's end at 70 per cent compared to 60 per cent before Trichet spoke. Investec's Philip Shaw said the odds were at least 70 per cent now versus 55-60 per cent late last year. ING's Peter Vanden Houte put the probability at 40 per cent now versus 20 per cent before Thursday's comments. Trichet stressed on Thursday that the ECB's interest rate policy and the emergency measures it has put in place to support struggling banks on the

periphery of the euro zone -- in particular, offering them unlimited amounts of funds in money market operations -- were independent of each other. This appeared to point to a change of tack by the central bank. Last year, the markets generally expected the ECB to end its emergency measures before it started hiking rates -in fact, it began phasing out the emergency steps by letting special one-year money market operations expire. In 2011 it may take the opposite tack: it may keep emergency steps in place -- perhaps tweaking them slightly by, for example, offering banks much more cash than they need instead of unlimited amounts - while hiking rates to fight inflation in key euro zone

states such as Germany. "What's interesting is that although they've highlighted that in the past as a theoretical possibility, some of the comments Trichet made yesterday show the ECB clearly now accepts that that's probably going to be much more like a central case," said Societe Generale economist James Nixon. The apparent change in the ECB's approach is probably due to trends in the euro zone's economic recovery and sovereign debt problems over the last several months. Indebted economies and banks on the periphery of the zone have been hit harder than expected by austerity measures. The Bank of Portugal said on Tuesday that Portuguese banks would have to rely on the ECB for liquidity this year and

next because they lacked access to the interbank market. At the same time, economic growth in the core of the zone has been stronger than expected; Germany's economy rebounded last year at its fastest pace since reunification two decades ago, and wages are expected to rise considerably this year. Meanwhile, expectations for interest rate hikes around the world have been mounting, partly because of inflationary pressure from surging food and fuel prices. Euro zone inflation jumped last month to 2.2 per cent, the first time in two years it has risen above the ECB's target of just below 2 per cent. Many economists think a rise in the ECB's refinancing rate, which it uses to lend money to banks,

would have little impact on economic growth or inflation if the central bank continued to pump large amounts of funds into the money markets via emergency measures. Reuters calculations show excess liquidity in euro zone money markets currently stands at about 50 billion euros. Also, it is very unlikely that the ECB has made any firm decision on how it will proceed this year. Euro zone governments are now discussing a "comprehensive package" to address the euro zone's debt problems, which may be agreed by March; if this restores market confidence in banks, the ECB may be able to phase out emergency support steps at the same time as it raises rates. Reuters


International & Continuation

Monday, January 17, 2011

Australia floods sweep south, trail of disaster grows MELBOURNE: Australian floods wreaked fresh havoc on rural communities in the south on Sunday, leaving a trail of destruction across four states, at least 17 dead and the prospect of reconstruction of historic proportions. As tens of thousands of people in flood-stricken towns and cities in the north worked to clean out their homes and offices, heavy rains and floods meted out fresh disaster in southern Victoria state, the nation's second most populous. Four major rivers in Victoria were in full flood, with 43 towns, 3,500 people and 1,400 properties affected. Hundreds of people have evacuated their homes, though no one has been killed so far in that state. "They had the army in town. They were sandbagging on the west side. It was flowing fairly quickly," Paula Ryan, 40, who runs a mobile coffee van, told Reuters by telephone from Echuca on Sunday as it prepared to be swamped by the Campaspe River. The floods began in the northern mining state of Queensland

last month and have caused billions of dollars in damage from broken infrastructure, lost commodity exports and the paralysis of the state capital, Brisbane, a city of two million. Queensland has accounted for all deaths so far, though the floods have also hit New South Wales and Tasmania states. One central bank board member has estimated that the floods, linked by some scientists to global warming and rising sea temperatures, could shave up to 1 per cent off economic growth in the December and March quarters, equal to around $A 13 billion. ($12.9 billion). Victoria's State Emergency Service described flooding in the north of that state as probably its worst since records began, with spokesman Hugo Zoller saying it would continue for days. Gary Tonkin, 50, who runs an auto-electric business in the Victorian town of Charlton, said the Avoca River was running higher than in historic 1956 floods, inundating his business, his son's home and daughter-in-law's hair salon.

"Three-quarters of the town is still under water. Some of those houses will probably have tobe bulldozed. The force of the water was just unbelievable. Every street that the river was running down was just like a torrent," he said. "It has uprooted fences and a lot of peoples' house fences are washed away. The power came back on half an hour ago. The water is just brown and stinks." Further north, though, floods waters continued to recede, mainly fine weather prevailed and Brisbane's port reopened in some good news for coal and grain exporters. Coal mines are working to reopen, with water still needing to be pumped from their pits and rail lines to the coast to be repaired. In New South Wales, completion of the grain harvest has been delayed and crop quality severely downgraded. Even in Queensland, where the cleanup is in full swing, some communities face new flood fears with the hamlet of Condamine largely evacuated for a second time.-Reuters

Afghanistan condemns Iran fuel blockade amid protests KABUL: Afghan fuel protesters targeted an Iranian diplomatic mission for a second day on Sunday, as the commerce minister said Tehran had not given any reason for an export clampdown that is choking Afghan oil supplies. Around 300 people took to the streets in western Herat city, armed with stones and eggs, and marched to the Iranian consulate carrying banners with slogans including "Death to Iran". At a border crossing barely 100 km (62 miles) away nearly 2,000 fuel trunks are waiting. Only 40 are allowed to leave Iran each day, said Afghan Commerce Minister Anwar ul-

Haq Ahadi. "The stoppage of fuel tankers has created great problems and a crisis for us in terms of fuel supply," Ahadi said, adding that around 40 per cent of the landlocked country's fuel usually comes from Iran.Afghanistan is suffering after several weeks cut off from a majorsupply route. "The Iranian authorities have assured us the issue is being solved but unfortunately the crisis is where it was," Ahadi told a news conference in the capital Kabul. Fuel prices have gone up around the country, in some areas by as much as 35 per cent, the Afghan Chamber of

Commerce and Industries said earlier this week. Provinces bordering Iran have seen the most dramatic increase. Kabul has asked Kazakhstan to sell Afghanistan some 200,000 tons of fuel immediately, and private sector deals have been made with a Russian oil firm , Ahadi said. "We are unhappy about the progress of our negotiation with Iranian authorities in regard to tackling the crisis," he said. Iran has rejected Afghan criticism, saying the slowdown was due to "technical problems" related to the reduction of Iranian fuel subsidies and that the issue was now being solved.-Reuters

Egypt sentences a Muslim man to death for Coptic shooting CAIRO: An Egyptian state security court on Sunday sentenced a Muslim man to death for killing six Coptic Christians and a Muslim police officer in a drive-by shooting on CopticChristmas Eve in January 2010. Mohamed Ahmed Hussein, 39, known as Hamam Kamouni, had been charged with the "premeditated murder" of the Christians and the police officer and with "intimidating citizens" in Nagaa Hamady in southern Egypt after mass on the eve of Coptic Christmas. The judge said Hussein's sentence would be sent to the Grand Mufti for confirmation, a reference to Egypt's top religious authority who is called on to confirm death sentences. The court said Hussein's two accomplices, Kurashi Abu Haggagand Hindawi Muhammed Sayyid, who were charged with aiding in the murder and possession of weapons, would be announced on February 20. Christians account for about 10 per cent of Egypt's mostly Muslim population of about 80 million. Sectarian violence is rare, but disputes over issues including land rights or personal relationships occasionally erupt. Last week a Muslim policeman was charged with shooting dead a Christian man on a train in the town of Samalut in southern Egyptand he will be tried for premeditated murder. A New Year bombing outside a church in the port city of Alexandriakilled 23 people and injured dozens in what analysts say was the worst attack on Christians in recent Egyptian history. The attack prompted protests by both Christians and Muslims. The Nagaa Hamady shooting, in which nine Copts were injured, provoked protests by more than 1,000 local Copts. Southern Egypt is much less developed than the capital Cairo. Nagaa Hamady, which has a large Coptic population, is about 60 km (40 miles) north of the tourist and archaeological centre of Luxor. -Reuters

CONTINUATION No #1

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The other categories i.e. Islamic Fund & Asset Allocation Fund categories surged 8.57 & 7.61 per cent during 1HFY11. However, Income Fund, Aggressive Income Fund, Balanced Fund & Hybrid Fund categories witnessed decline of 5.36, 34.45, 14.34 & 22.7 per cent respectively. Moving towards MoM performance, the overall industry size remain flat at Rs224 billion at the end of December 2010 compared to Rs223.9 billion in November 2010. Open-end fund category reported a slight growth of 0.13 per cent to Rs196.6 billion as compare to Rs196.35 billion, a month earlier, while close-end fund category dropped 0.62 per cent MoM to 27.37 billion. Within the category, except for funds having equity exposure, all other categories that are linked to fixed income category have shown a MoM drop in their asset size growth. The drop was due to redemption pressure especially in money market funds as banks and corporation need cash flow to close their quarterly earnings. Despite of that we expect money market category to remain in limelight in 2HFY11 as category is providing stable return to investors as compared to fixed income category that is extremely volatile due to persistent TFCs / Sukuks repricing issue.

No #2

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Stores Corporation, Power Companies and Pakistan Steel Mill. It was also in the propositions that these boards must be authorised to take independent decisions so as to curb on their financial deficits. In this regard, a 12-member board was proposed to be established for restructuring the railways whereas it was recommended for Utility Store Corporation to unlink it from the Ministry of Industries and Production and should be governed by 8-member board. For eight power companies, it was proposed to get them separated from Ministry of Water and Power and affairs pertaining to them should be maintained by another 8-member board. Sources have added that recommendations pertaining to Steel Mill are also to be dispatched to Council of Common Interests; however, final decision will be made by the PM Gilani whether to discuss aforementioned issues in the meeting or not along side the top agenda of gas load management.

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Gilani to visit the Murree hills during the winter. PML-N's 10-point agenda was also discussed during the meeting. The prime minister said that establishing peace in the country and improving the economic situation were the top most priorities of the government. This was the first meeting between the two leaders after the assassination of Salman Taseer and the acceptance of PML-N's 10-point agenda. -Agencies

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billion against Rs267 billion recorded at the beginning of the year 2010. That's why net advances steadily rose 5 per cent to Rs3.15 trillion from Rs3.01 trillion during the period. Due to deteriorating quality of assets, where NPL stands at higher level, banks preferred to grow their investment portfolio rather than lending the money to borrowers. This is evident from the fact that investment grew by hefty 27.8 per cent to Rs2.1 trillion comparing with Rs1.65 trillion in CY09. IDR ratio surged nearly 41 per cent from 38 per cent at CY09. Furthermore, overall balance sheet size of the sector improved 13.4 per cent as total assets reached Rs6.78 trillion in 9MCY10 from Rs5.97 trillion at CY09.

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against 155 million shares traded a week before last mainly due to aggressive buying was witnessed on the news that law ministry has approved leverage product which spurred hopes that the much awaited leverage product would be launched soon. During the week, offshore investors opted for buying fresh position as foreigners bought shares worth $50.16 million and sold $20.98 million, resulting in net buying of $29.18 million during the week. On the other hand, biggest weekly selling were witnessed from banks which sold $69.02 million of shares in the local bourse against the buying of $43.36 million, thus turning the net selling worth of $25.36 million. Furthermore, NBFC, local individuals and other organisations remained on the selling side with shares worth $8.19 million, $2.97 million and $2.18 million respectively.

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Pervez Musharraf decided to return to Pakistan this year. According to the close sources of former President, Chaudhry Shahbaz and Barrister Muhammad Ali Saif have been assigned the task of establishing the different wings of the APML includes, lawyers, analysts ,students, women, and doctors throughout the country. When Online contacted APML Secretary General Barrister Muhammad Ali Saif, he said that in a recent meeting with APML Central Coordination committee in Dubai, former president Pervez Musharraf has hinted at returning to Pakistan during the current year and all APML leaders are organizing the party structure in all over the country. He said that APML Chief Pervez Musharraf "Workers convention will be held in the different cities of the country after his returning. Saif said that former president is seriously concerned over the situation prevailing in the country, particularly the growing lawlessness, price-hike and unemployment. He said that Musharraf would soon unveil a comprehensive plan to promptly and effectively overcome these problems. Pervez Musharraf expected to land at Karachi or Islamabad Airport and thousands of people would together around the airport to welcome him, he added. -Online

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Still, sustainable security remains elusive because of the "less than impressive performance of a weak political administration beset by chronic challenges of poor governance," said PIPS. Security crackdowns have focused on the northwest but instability in Pakistan's biggest city and commercial capital Karachi is a growing concern. Aside from political, ethnic and gang violence, authorities there are confronted with a growing nexus of militant groups who have found safe havens there. As many as 93 militant attacks which killed 233 people were reported in 2010, PIPS said. In one high-profile attack in November, a Taliban suicide car bombing demolished a crime investigation department compound where senior militants were interrogated. At least 18 people were killed and 100 wounded. -Reuters

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Sangin district is one of the main battlefields in the intensifying fight between Afghan and Nato-led forces on one side and the Taliban on the other, in the group's southern strongholds of Helmand and Kandahar province. -Reuters

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said few of target killers had been apprehended by the law enforcers. Interior Minister appreciated the performance of

11

Obama urges bipartisanship after Arizona shootings WASHINGTON: President Barack Obama urged Americans on Saturday to maintain the "spirit of common cause" that arose from grieving over the Arizona shootings and use it to solve the nation's problems. Legislative work in Washington came to a halt this week while lawmakers and citizens from both parties mourned the victims of a gunman who went on a rampage in Arizona on January 8, killing six people and wounding 13, including Representative Gabrielle Giffords. Obama gave a well-received speech at a memorial service for the victims on Wednesday in Arizona and he revived the theme of national unity in his weekly radio and Internet address. The president lauded lawmakers who came together to pay tribute to Giffords and the other victims earlier in the week. "As shrill and discordant as our politics can be at times, it

was a moment that reminded us of who we really are -- and how much we depend on one another," Obama said. "While we can't escape our grief for those we've lost, we carry on now, mindful of those truths." Obama said the country had to carry on out of necessity and work to create jobs, improve the economy, "shore up" the budget and bring down the deficit. "These are challenges I believe we can meet. And I believe we can do it in a way worthy of those who sent us here to serve," Obama said. "So as business resumes, I look forward to working together in that same spirit of common cause with members of Congress from both parties -- because before we are Democrats or Republicans, we are Americans." Republicans control the House of Representatives and have greater strength in the Senate this year after making big gains in November congres-

Bomb kills six Afghans in Helmand KANDAHAR: A roadside bomb killed six civilians and wounded three in the Sangin district of Afghanistan's violent southern Helmand province, the provincial governor's office said on Sunday. Sangin district is one of the main battlefields in the intensifying fight between Afghan and NATO-led forces and Taliban insurgents in the southern provinces of Helmand and Kandahar. Six people, including a woman and child, were killed when their vehicle was struck by a roadside bomb planted in a dirt road in Sangin on Saturday, said Dawood Ahmadi, a spokesman for the governor of Helmand. Violence across Afghanistan is at its worst since US-backed Afghan forces overthrew the hardline Islamist Taliban in 2001 after they refused to hand over al Qaeda militants, including Osama bin Laden, after the September 11 attacks on the United States. A recent string of attacks around the country has helped to dispel a belief in a winter lull in fighting. While insurgents normally target Afghan and foreign troops,

civilians often bear the brunt of the attacks as they become caught in the crossfire. The United Nations has said 2,412 civilians were killed and 3,803 wounded between January and October last year -- up 20 per cent from 2009. On January 7, a suicide bomber killed 17 people, including 16 civilians, and wounded 21 others, inside a public bathhouse in neighbouring Kandahar province, the country's worst attack in nearly six months. A record 711 foreign troops were also killed in 2010, according to monitoring website www.iCasualties.org. Afghan forces have been hit even harder. The government has said 1,292 Afghan police, 821 Afghan soldiers and 5,225 insurgents were killed. Separately, the NATO-led International Security Assistance Force (ISAF) said on Sunday Afghan and foreign forces had killed two insurgents in an operation against a Taliban leader in Wardak province, west of Kabul. Two suspected insurgents were also detained in the operation which took place on Saturday.-Reuters

sional elections. House Republicans' postponed for a week their effort to repeal Obama's signature healthcare law while Congress mourned the shooting victims. The House is expected to resume action next week and vote on a repeal, which is expected to stall in the Senate. In the weekly Republican address, Representative Jeff Flake of Arizona urged lawmakers not to let the attacks discourage them from doing their jobs. Giffords was meeting with constituents outside a supermarket when the gunman opened fire. "While we may not agree on everything, members of Congress are bound together by a sacred oath to support and defend the Constitution," Flake said. "And so it is our duty to uphold our oath, to listen and to represent. We will not let this inhumane act cow us into doing otherwise."-Reuters

ASEAN to push Myanmar on democracy, wants SENGGIGI: The Association of Southeast Asian Nations (ASEAN) wants the U.S. and Europe to lift sanctions against member Myanmar after its recent elections and release of pro-democracy leader Aung San Suu Kyi, it said on Sunday. The moves by Myanmar, a politically isolated state that has often been an international embarrassment to the region, have given it a veneer of democracy but have not loosened its military rulers' firm grip on power. ASEAN will keep pushing Myanmar to build on the release of Suu Kyi by including her in the political system, but countries which uphold sanctions against the country should recognise progress made so far, said Marty Natalegawa, foreign minister of Indonesia and ASEAN chair this year. ASEAN advocates "the immediate or early removal or easing of sanctions that have been applied against Myanmar by some countries," Natalegawa told reporters on the sidelines of a meeting of ASEAN foreign ministers on Lombok island in Indonesia. The release of Suu Kyi should act as springboard for greater progress towards democracy, Natalegawa told Reuters.-Reuters

Karachi police which succeeded in the red handed arrest of people involved in target killings. He said interrogation of these people would help to identify people behind the target killing. Interior Minister who also had a one on one meeting with the Chief Minister said it was decided to implement the decisions without loss of time. Malik said it was the responsibility of the government to provide security to the citizens. He said terrorism is a national issue and to overcome it, every body will have to contribute his efforts. Interior Minister said the third force behind the target killings wants to create differences between the PPP, MQM and the ANP but they would not allow this conspiracy to succeed. Malik, who had arrived in Karachi to help efforts to end the unrest, further said the government would not allow anyone to destroy the city's peace and that motives behind these killings were being evaluated. Malik said there would be air patrol over the city to keep a close watch and foil the activities of anti-social elements. He was confident that the situation would normalise in the next few days. Interior Minister said list of the sensitive areas has been handed over to the law enforcement institutions. He said it has been decided to launch search operation in the sensitive areas of Gulistan Jauhar, Pehalwan Goth, Qasba Colony and Orangi Town after imposition of partial curfew. It was also decided in the meeting to make contacts between political parties, Ulema, public representatives and security agencies more effective. Earlier in the meeting it was decided that the patrolling of law enforcing agencies will be boosted and pillion riding will be banned during night hours in sensitive areas of the metropolis in the wake of growing cases of targeted killings. The decision was taken at a meeting presided by Sindh Chief Minister Syed Qaim Ali Shah and attended by Interior Minister Rehman Malik, the IGP Sindh Police Babar Khattak, CCPO Karachi Fayyaz Leghari, and other high ups of the police and law enforcement agencies. According to a spokesman of CM House, the meeting held at CM House here Sunday also decided to strictly take action against anti-social elements and that monitoring will further be broadened to keep a vigil on criminals and curb lawlessness. It was also decided to take action against people using stolen or robbed mobile telephones as it has also been established that the criminal elements use stolen mobile phones to accomplish their nefarious designs. The meeting also warned the stockists of mobile phones to fulfill their responsibility and honour their commitments to discourage the use of stolen phones by criminal elements. The police and rangers have also been directed to check the NICs of the people during night hours while a strict vigil will also be taken at the airports to check the movement of those involved in cases of crime and the FIA was also directed to fulfill its obligations. The meeting observed that a well conspiracy was being hatched to create hatred among the political parties in the metropolis and vowed to expose those elements. Sindh Chief Minister and Interior Minister were of the opinion that the criminals will be dealt with iron hand and no one will be allowed to disrupt peaceful environment of the city. CM Qaim Ali Shah said that President Asif Ali Zardari has issued strict directives to promote inter-provincial harmony and brotherhood and restore peace in the economic hub city of the country. Meanwhile the death toll in three days of target killings has crossed 30. As a result of deployment of additional security forces, situation returned to near normalcy on Sunday in many areas with traffic plying normally and bazaars and markets remained opened. Meanwhile people at large have welcomed the decision of the government to launch search operation in the sensitive areas after the imposition of partial curfew. They said such an operation was necessary to arrest the criminals who are playing with the lives of innocent citizens. They said that they cannot go out to earn their livelihood for fear of security and they feel concerned about their children as they go to educational institutions. ANP spokesman Senator Zahid Khan however said that the curfew would add to the problems of the people.


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Zardari addresses World Energy Summit in Abu Dhabi today

Pak aims to lure energy investors GAZA CITY: Palestinians hold posters during a Hamas rally in Gaza City to show support for the Tunisian people.- Reuters

Iran sees no harm as oil nears $100/ barrel

No need to pump more crude: Opec TEHRAN: Opec's leading oil price hawk Iran joined Venezuela and Libya on Sunday to say it saw no need for the cartel to consider raising crude supplies to rein in crude prices now near $100 a barrel. Iranian Oil Minister Massoud Mirkazemi said some members of the Organization of the Petroleum Exporting Countries saw no need for producers to act even if prices went to $120 a barrel. The comments will be of concern for consumer countries worried that rising commodity costs are igniting inflation and jeopardising economic recovery. "None of the Opec members find $100 concerning or irrational. Some of the Opec members see no need for an emergency meeting even with prices at $110 or $120," Mirkazemi, Opec president for 2011, told a news conference. "None of the members have asked for an emergency meeting and I think for a long time there would be no such request," Mirkazemi said. As holder of the rotating Opec presidency, Iran has responsibility for coordinating any emergency meeting with Opec's Vienna based secretariat. The next scheduled meeting is not until June 2.

Venezuelan Oil Minister Rafael Ramirez said on Sunday that $100 was "fair value" for crude, a position that Libya also backs. Benchmark Brent crude broke $99 a barrel on Friday, a 27-month high, while US oil futures rose to $91.54, well above the $70-$80 range that Opec's most influential member Saudi Arabia says is comfortable for both producers and consumers. The comments from Iran, Venezuela and Libya will leave consumer countries wondering whether more moderate producer Saudi Arabia and its Gulf allies Kuwait and the United Arab Emirates are prepared to take action to prevent prices escalating further. One delegate from a Gulf Opec member state told Reuters on Thursday Opec could hold an emergency meeting if oil prices "exceed $100 and stay there". Influential Saudi Oil Minister Ali al-Naimi said in December that Riyadh was still committed to a $70-$80, a price high enough for producers to invest in new capacity but low enough to encourage world economic recovery. Many in Opec routinely blame speculators for rising

prices but most analysts and industry figures say prices are increasing now because of a recovery in world fuel demand. "The market is bullish because there is increasing demand in emerging markets," Christophe De Margerie, the chief executive of French oil major Total said at an industry event in Abu Dhabi on Sunday. "The world economy is just recovering. It would have been better for the prices not to go too high too quickly." Oil hit a record $147 a barrel in 2008 and while analysts do not expect a repeat of that any time soon there are fears that if Opec does not signal its intention to add supplies, prices could rise significantly above $100. "We believe Opec has an historic opportunity in 2011 to either show its might by keeping oil prices steady or instead to allow further price increases that could put the global economic recovery at risk," said Sabine Schels, commodity strategist at Merrill Lynch Bank of America in London. "We are more inclined to believe that Saudi Arabia will act responsibly and encourage Opec members to increase output early this year." -Reuters

Tunisia plans unity govt to end violence TUNIS: Tunisian politicians were holding talks on Sunday to try to form a unity government to help maintain a fragile calm two days after President Zine al-Abidine Ben Ali was ousted by violent protests. Tanks were stationed around the capital Tunis and soldiers were guarding public buildings, but after a day of drive-by shootings and jailbreaks in which dozens of inmates were killed, residents said they were starting to feel more secure. "Last night we surrounded our neighborhood with roadblocks and had teams checking cars. Now we are in the process of lifting the roadblocks and getting life back to normal" said a man, Imed, in the city's Intilaka suburb. Sunday is not a working day in Tunisia and the streets were quiet, but some people were moving about. For the first time in several days, a handful of commercial vehicles -- vans and pick-up trucks -- could be seen moving about with deliveries. The only occasional sounds of gunfire overnight were a marked change from the heavy

shooting the previous night. The speaker of parliament Fouad Mebazza, sworn in as interim president, has asked Prime Minister Mohamed Ghannouchi to form a government of national unity and constitutional authorities said a presidential election should be held within 60 days. Ghannouchi is due to hold more coalition talks on Sunday to try to fill the vacuum left when Ben Ali, president for more than 23 years, fled to Saudi Arabia following a month of violent anti-government protests that claimed dozens of lives. Analysts say there may be more protests if the opposition is not sufficiently represented, and the talks may run into trouble when they down to the detail of which parties get which cabinet post and how many of the old guard are included. Ahmed Ibrahim, head of the opposition Ettajdid party, said he and other party leaders would meet Prime Minister Mohamed Ghannouchi on Sunday for more talks on form-

ing a coalition government, but he did not say what time. "The main thing for us right now is to stop all this disorder. We are in agreement on several principles concerning the new government. We will continue to discuss. My message is to say no to Gaddafi: we do not want to go backwards," he said, in reference to a speech on Saturday by Libyan leader Muammar Gaddafi who said Tunisians were too hasty to get rid of Zine al-Abidine Ben Ali. Opposition parties are seeking assurances that presidential elections will be free, that they will have adequate time to campaign, that the country will move toward greater democracy and that the power of the ruling RCD party will be loosened. Two opposition parties have also already said the two-month deadline for holding elections is too soon. Opposition leader Najib Chebbi said after talks with Ghannouchi on Saturday that elections could be held under international supervision within six or seven months. -Reuters

All ministries told to shape future plans ISLAMABAD: Keeping in view the anticipated forthcoming economic crisis the government has directed all the ministries, divisions, and autonomous institutions to furnish targets to be achieved for the next fiscal year's budget. Official sources have informed that eschewing old practice of allocating free-flow of funds, the ministry of finance has adopted the prudent, and cautious approach of directing all ministries, departments and institutions to furnish anticipated targets to be achieved for the FY2011-2012, any amended targets, and anticipated targets for 2011-2014. Sources have informed that government had also terminated many developmental projects after the historically devastating floods had put extra strain on economy in 2010.-Agencies

Bomb kills 9 Afghan wedding guests PUL-E-KHUMRI: A roadside bomb destroyed a car carrying nine people to a wedding in northern Afghanistan on Sunday, killing everyone inside including one child, the provincial governor said. The previous day, six civilians were killed by a roadside bomb in southern Helmand province and another six died after an airstrike by foreign forces in mountainous eastern Kunar, local officials said. Three children were among the dead in the airborne attack on two houses in the Kodagai area which straddles Kunar's Dangam and Shigal districts, Sultan Sediqi, a member of the provincial council, told Reuters. The Nato-led International Security Assistance Force (ISAF) said in a statement that an air raid in Kunar's Dangam district had killed "numerous" insurgents, after they were identified as an imminent threat to ground forces. It was not clear if this was the incident referred to by Sediqi. When asked about the allegations of civilian casualties, a spokeswoman for Nato-led forces said they had not carried out any operations in Shigal and those killed by the air operation in Dangam had been "positively identified as insurgents". Sunday's blast in Pul-eKhumri, the capital of Baghlan province, which lies on the main highway connecting Kabul to the north, killed six women and two men along with the child, said provincial governor Abdul Majid. The roadside bomb in the violent Sangin district of southern Helmand province killed six people on Saturday the provincial governor's spokesman, Dawood Ahmadi, said on Sunday. See # 8 Page 11

ABU DHABI: President Asif Ali Zardari will address World Future Energy Summit here on today (Monday). He will be among the key speakers, who will highlight future challenges and propose strategies in the energy sector. Sources told APP here that President Zardari has been specially invited to attend the conference, keeping in view Pakistan's important position in the region and the specific problem the country is facing in the energy sector. During his two-day stay in the UAE's capital, he will have hectic engagements. He is likely to hold meetings with the participating world leaders on the sidelines of the summit. He is also scheduled to hold bilateral meeting with His Highness General Sheikh Mohammed Bin Zayed AlNahyan, Crown Prince of Abu Dhabi. Pakistan's delegation attending the summit includes Minister for Water and Power Raja Pervez Ashraf.

The world leaders including heads of state and government, along with United Nation's Secretary General and other officials are assembling here to discuss renewable energy issues, at the four-day World Future Energy Summit or WFES-2011, Abu Dhabi's flagship annual show. The largest gathering of the renewable energy bigwigs from the world, the WFES-2011 will be hosted by Abu Dhabi Future Energy Company or Masdar, on the theme ‘Enabling Future Energy Solutions’. It will run from January 1720 and comprises four day conference, alongside two exhibitions - a World Future Energy Exhibition and World Future Environment Exhibition. Over 600 companies and institutions from 14 countries engaged in renewable energy will showcase their projects and technologies before an anticipated 25,000 strong visitors from 100 countries. The opening ceremony of the conference has drawn global

Study says Pak lacks planning ISLAMABAD: Pakistan gained ground against militant violence in 2010, but urban "terrorism" is a growing threat and military success will not bring stability unless a comprehensive strategy is developed, a think tank said. A report from the Pak Institute for Peace Studies (PIPS) to be released on Monday says the number of incidents of "violence and terrorism" in Pakistan fell by 11 percent in 2010 compared with the previous year. The number of suicide attacks fell by 22 percent to 68 in 2010, compared with 87 in 2009, PIPS said. But the nuclear-armed South Asian country has yet to come up with a sound, long-term strategy to tackle militancy, PIPS said. A total of 2,113 militant, insurgent and sectarian attacks were reported across the country in 2010, killing 2,913 people, it said. The United States has been waging war against Taliban militants in Afghanistan for nearly 10 years, but many Western nations think neighbouring Pakistan poses a bigger

threat. Pakistan's lawless Pashtun tribal areas in the northwest are home to some of the world's most feared militant groups, including ones who attack Western forces in Afghanistan. Military campaigns are draining the US-backed government's coffers, while public discontent is deepening over poverty and corruption, complicating efforts to stabilise the country. "Better coordination among intelligence agencies, capacity building of law enforcement agencies, curbs on terrorism financing, and most importantly, adequate measures to prevent banned militant groups from operating across the country remained persistently lacking," PIPS said in its annual Pakistan security report. Pakistan's military has launched a series of antiTaliban offensives in the militant-infested northwest that have disrupted their activities. A sharp rise in US drone strikes also contributed to the decrease in militant attacks, PIPS said. See # 7 Page 11

leaders including Olafur Ragnar Grimsson, President of Iceland and President Asif Ali Zardari. The heads of government, who will share their vision with over 1000 attendees at the conference, will include Jose Socrates Carvalho Pinto de Sousa, Prime Minister of Portugal, Shaikh Hasina, Prime Minister of Bangladesh; and Nikoloz Gilauri, Prime Minister of Georgia. According to organisers, Guillaume, Crown Prince of Luxembourg and Crown Princess Victoria, Princess of Sweden, are confirmed to be taking part in the opening ceremony. Ban Ki-Moon, Secretary General of the United Nations will make his first appearance at the Abu Dhabi event, which closely follows the recent progress made to renew international efforts to combat climate change during talks at the UN Climate Change Conference (COP16) in Cancun, Mexico, from 29 November-10 December 2010. -APP

Musharraf

rules out possibility of martial law LONDON: Former president Pervez Musharraf Sunday ruled out the possibility of any imminent military action or martial law in Pakistan under prevailing circumstances. Talking to media after nomination of office-bearers of All Pakistan Muslim League here, he said the government of Pakistan Peoples Party (PPP) has brought situation under control, adding he was not seeing elections before six months. Musharraf stressed he would contest elections on public desire, remarking he would garner votes by organising country's youth together. It is a political game on the part of Pakistan Muslim League (PML-N) chief Nawaz Sharif to give deadline to the government, he added. Pervez Musharraf is expected to return Pakistan during this year due to the prevailing political situation of the country, Online learnt from the sources on Sunday. The source revealed that after consultation with Chaudhry Shahbaz, Member of National Assembly Shahzada Mohiuddin, Ex MNA Pervez Ali Shah, Dr Sher Afgan Niazi, Maj Gen (retd) Rashid Qureshi, Barrister Muhammad Ali Saif, and Chaudhry Fawad in Dubai, See # 6 Page 11

Secretary turns a deaf ear to orders Terms Minister’s instructions as illegal ISLAMABAD: Secretary Privatisation Commission Mohammad Ejaz Chaudhry has started using his contacts in the Prime Minister Secretariat for transfer to another Ministry after refusing to implement what has been called as illegal orders of Minister for Privatisation Senator Waqar Ahmad Khan. Sources in the Privatisation Commission say that the Minister and the Secretary are on not good terms. The trouble started when the Secretary refused to support the adver-

tisement campaign worth Rs250 million to highlight Benazir Stock Option Scheme and for mobilizing public opinion to help the flood affectees. The Secretary says there was no justification for the advertisement campaign at such a huge cost and feared that there would be audit objections and he would be held responsible. Despite these objections advertisement were issued but now the Finance Ministry has refused to release the required funds. The Minister has also

sent a summary to the Prime Minister for the funds but the Prime Minister has not given approval for the expenditure. Meanwhile 24 consultants have also been hired by the Minister without approval from the competent authority and millions of rupees are being paid to them every month. The sources also disclosed that the cheque given by the Minister to Prime Minister's flood relief fund was also drawn from the privatisation proceeds.-Agencies

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The Financial Daily-Epaper-17-01-2011