Latest news with #Rs1.67
Express Tribune
4 days ago
- Business
- Express Tribune
KSE-100 retreats on budget jitters, taxes
Listen to article The Pakistan Stock Exchange (PSX) witnessed a volatile session on Thursday, with the benchmark KSE-100 index retreating after hitting record highs a day earlier. Investor sentiment turned cautious due to concerns about stringent conditions linked to a new International Monetary Fund (IMF) programme, including proposed enforcement of agriculture income tax and the IMF's opposition to provincial energy subsidies. Adding to the bearish outlook were fears of aggressive fiscal measures in the upcoming FY26 federal budget. These include possible new taxes on banking and savings income, along with anticipated hikes in petroleum levies on petrol and diesel. A weakening rupee and a 10% year-on-year (YoY) decline in exports for May also dampened investor confidence. Arif Habib Corporation Managing Director Ahsan Mehanti commented that the market declined following reports of IMF pressure for strict enforcement of agriculture taxation and improved tax collection mechanisms, while resisting provincial subsidies on power. "Expectations of higher taxes on banking and savings, increased petroleum levies, rupee instability, and a sharp YoY decline in exports all weighed on sentiment," he said. The KSE-100 index closed at 121,641 points, down 157.87 points or 0.13% from the previous day. Despite the decline, the market remained within a broad range throughout the session, with an intra-day high of +483 points and a low of -281 points, according to Topline Securities. The firm noted that the range-bound activity came ahead of the long Eid holidays, following a recent rally. Topline also highlighted the most traded companies by value, with Unity Foods leading at Rs1.67 billion, followed by Engro Holdings (Rs1.24 billion), K-Electric (Rs1.03 billion), Searle Company (Rs847 million), and TRG Pakistan (Rs785 million). Arif Habib Limited (AHL) noted that despite the minor setback, the week had remained positive overall, with the market touching all-time highs. Engro Holdings (+3.24%), Pakgen Power (+10.0%), and Service Industries (+5.49%) contributed to the index's gains. On the downside, Meezan Bank (-2.11%), Systems Ltd (-1.68%), and Fauji Fertilizer (-0.5%) were key laggards. In broader developments, Prime Minister Shehbaz Sharif is scheduled to visit Saudi Arabia on June 5-6 to meet Crown Prince Mohammed bin Salman for talks on bilateral cooperation, regional security, and economic collaboration. Meanwhile, Sui Northern Gas Pipelines Limited (SNGPL) stated in a corporate briefing that its capital expenditure (capex) is expected to hover around Rs30 billion annually over the coming years. Analysts projected 120,000 points to act as a post-Eid base level for the KSE-100, with potential to move higher provided macroeconomic stability continues. KTrade Securities echoed similar views in its market wrap, observing that despite the volatility, trading activity remained strong with volume reaching 854 million shares. Leading the volume chart were K-Electric (179 million shares), Unity Foods (62 million), and WorldCall Telecom (52 million). However, slight profit-taking was noted in banking, cement, and oil and gas sectors. KTrade added that investors are expected to stay cautious in the lead-up to the federal budget announcement on June 10, 2025. JS Global analyst Mubashir Anis Naviwala reported that the index had opened positively and surged to a new intra-day high of 122,281, but profit-taking dragged it down by the close. Notable trading activity was seen in oil & gas, fertiliser, power, and banking sectors. A total of 478 companies' shares were traded. Among them, 217 closed higher, 208 declined, and 53 remained unchanged. K-Electric was the volume leader, gaining Rs0.42 to close at Rs5.83. It was followed by Unity Foods, which rose Rs0.75 to close at Rs26.89, and WorldCall Telecom, which added Rs0.05 to close at Rs1.42. Foreign investors sold shares worth Rs271.6 million, according to the National Clearing Company.
Express Tribune
26-03-2025
- Business
- Express Tribune
Govt borrows Rs1.67tr via T-bills
Over half of the fresh borrowing in the education sector was done by the higher education sector. PHOTO: FILE Listen to article The government has borrowed Rs1.67 trillion from private banks and other institutions in its latest treasury bill auctions. The State Bank of Pakistan (SBP) raised Rs1.67 trillion through auctions for Pakistan Investment Bonds (PIBs) and Market Treasury Bills (MTBs) held on March 26, 2025, with settlement scheduled for April 3, 2025. The PIB auction received total bids of Rs1,132.5 billion, with accepted bids amounting to Rs980.505 billion, including Rs972 billion in competitive bids and Rs8.505 billion in non-competitive bids. Notably, all bids for 2-year PIBs were rejected, while the 5-year tenor attracted Rs16.903 billion at a cut-off price of 96.8291. The 10-year PIBs dominated the auction, with Rs963.602 billion accepted at a cut-off price of 92.6071. In the MTB auction, the SBP received bids worth Rs1,084.95 billion, accepting Rs689.768 billion, comprising Rs609.95 billion in competitive bids and Rs29.818 billion in non-competitive bids. The 1-month MTBs recorded the highest cut-off yield at 12.3898%, followed by 3-month and 12-month tenors at 12.0100%, while the 6-month MTBs closed at 11.9999%. The weighted average yields ranged between 11.8256% and 12.2483%, reflecting stable investor sentiment across short- to medium-term tenors. The results highlight strong demand for government securities, particularly longer-dated PIBs, signalling the banking sector's reliance on government borrowing. Meanwhile, the SBP has been actively intervening in the interbank foreign exchange (FX) market over the past several months, with interventions fluctuating between $536 million and $1,151 million. According to data from Topline Research and the SBP, FX interventions stood at $573 million in June 2024, rising to $722 million in July before dropping to $569 million in August. A significant increase was observed in September, with interventions reaching $946 million, followed by further hikes to $1,026 million in October and a peak of $1,151 million in November. By December, interventions declined to $536 million. These interventions are often criticised for keeping the dollar high, benefiting exporters while limiting potential rupee appreciation. Without these purchases, the rupee could have been stronger against the greenback. The Pakistani rupee recorded a slight gain against the US dollar, appreciating 0.06% in the interbank market on Wednesday. By the close of trading, the currency stood at 280.26, marking an increase of 16 paisa from the previous day's 280.42. Meanwhile, gold prices in Pakistan remained stable on Wednesday, with the precious metal selling at Rs317,800 per tola, unchanged from the previous session, according to the All-Pakistan Gems and Jewellers Sarafa Association (APGJSA). This stability followed a Rs800 per tola decline on Tuesday. The global gold market also remained steady, with international rates holding at $3,021 per ounce, as per APGJSA. Adnan Agar, Director at Interactive Commodities, noted that the gold market remains lacklustre, confined to a narrow trading range of $3,005 to $3,035 per ounce. He attributed this stagnation to the absence of major economic data from the US and ongoing uncertainty regarding tariffs and geopolitical tensions between Russia and Ukraine.
Express Tribune
17-02-2025
- Business
- Express Tribune
PSX remains volatile as index loses 342 points
KARACHI: Pakistan Stock Exchange (PSX) on Monday closed lower as investor interest remained subdued amid concerns over foreign fund outflows, ongoing consolidation during the corporate earnings season and uncertainty surrounding tax reforms ahead of the International Monetary Fund (IMF) review under its Extended Fund Facility (EFF). Analysts commented that factors such as rupee instability, falling foreign exchange reserves and geopolitical uncertainty played a significant role in the bearish close. The KSE-100 index experienced a volatile session, reaching its intra-day high of 439 points before falling to the low of 571 points. It eventually settled at 111,744, recording a decline of 342 points. According to Ahsan Mehanti of Arif Habib Corp, stocks closed lower amid consolidation in the earnings season as well as investor concerns over foreign outflows and the outcome of tax reforms ahead of the IMF review for the release of its next tranche under the EFF. He added that rupee instability, falling foreign exchange reserves and geopolitical uncertainty played the role of catalysts in bearish close at the PSX. At the end of trading, the benchmark KSE-100 index recorded a decrease of 341.76 points, or 0.30%, and settled at 111,743.53. In its review, Topline Securities stated that the local bourse experienced a volatile session, oscillating between gains and losses. The index reached the intra-day high of 439 points before plunging to the low of 571 points. It ultimately closed at 111,744, down 342 points (0.30%). Initial optimism faded as the lack of positive triggers dampened investor sentiment, triggering sell-off in the latter half. With no major catalysts to sustain momentum, the market drifted into negative territory by the close of trading, it said. The upward movement was primarily driven by Lucky Cement, Bank AL Habib, The Bank of Punjab, UBL and Fatima Fertiliser, which collectively contributed 296 points to the index. Conversely, Mari Petroleum, Pakistan Petroleum, TRG Pakistan, The Searle Company and Oil and Gas Development Company dragged the index down by 301 points. Topline added that The Bank of Punjab attracted investor interest after announcing 4QCY24 results. The bank reported earnings per share (EPS) of Rs1.67 for the quarter, bringing total EPS for CY24 to Rs4.09. Additionally, it declared a cash dividend of Rs1.80 per share. Arif Habib Limited (AHL) commented that the KSE-100 index recorded the fourth consecutive negative close, which pushed its key area down to around 112,000 points. AHL added that Engro Polymer (+2.48%) announced that its wholly owned subsidiary, Engro Peroxide, had commenced commercial operation at its hydrogen peroxide plant. Overall trading volumes increased to 511.2 million shares compared with Friday's tally of 457.05 million. Shares of 435 companies were traded. Of these, 130 stocks closed higher, 235 fell and 70 remained unchanged. The Bank of Punjab was the volume leader with trading in 184.4 million shares, rising Rs1.07 to close at Rs12.17. It was followed by Power Cement with 38.6 million shares, gaining Rs0.9 to close at Rs10.76 and WorldCall Telecom with 33.03 million shares, falling Rs0.05 to close at Rs1.47. During the day, foreign investors sold shares worth Rs392.5 million, the NCCPL reported.
