FinPocket

Market recovery overshadowed by uncertainty

24 Oct, 2021

On Market Front

Tracking KSE-100

TRACKING KSE-100

This week, the market continued its upward trend as oil & coal prices started decreasing in the international market. This week index increased by 756 points to close at 45,578 points. However, on Friday index fell by 243 points due to FATF retaining Pakistan in the gray list and political uncertainty in the capital. 

IPO, EXPANSION, AND MERGER

Searle Pakistan Limited (SEARL: -1.40%) is all set for the country’s large initial public offering in its history.

The Askari Bank Limited (AKBL: -1.67%) has informed the exchange that the Board of Directors of the bank consented to the Expression of Interest (EOI) received by Askari Securities Limited (ASL) from Foundation Securities (Pvt) Limited (FSL) to explore the possibility of merger and amalgamation of ASL with and into FSL.

AUTO SECTOR RESULT PREVIEW

Millat Tractors Limited (MTL: -1.20%) is scheduled to post 1QFY22 PAT of PKR 902mn (EPS: PKR13.41) on 27th October’21. 

Agriauto Industries Limited (AGIL : 0.00%)  is scheduled to post 1QFY22 PAT of PKR 238mn (EPS: PKR 8.25) on 28th October’21.

Indus Motor Company (INDU: -0.46%)  is scheduled to post 1QFY22 PAT of PKR 4.68bn (EPS: PKR 59.64) on 25th October’21. 

Pak Suzuki Motors Company Limited (PSMC: -1.21%) is scheduled to post 3QCY21 PAT of PKR 815mn (EPS: PKR 9.90) on 28th October’21. 

On Economic Front

GLOBAL ENERGY CRISIS

WILL POWER TARIFF INCREASE?

Government is likely to increase the power tariff from November, a “prior action” for the IMF funds to flow.  The government is also introducing new slabs under the ” Circular Debt Management Plan Phase-I,” this will reduce the burden of households consuming less than 200 units and rationalize the subsides. §

BUMPY ROAD AHEAD; IMF

The government had found itself in a very tough situation concerning the IMF demands. New conditions include an increase in tax revenue, implementation of a privatization program. Finance Ministry spokesperson said dialogue with the IMF team is still underway, adding that a formal announcement will be issued as soon as talks conclude.

Bonus Read

OIL & GAS EXPLORATION

WHAT TO DO WHEN RUPEE DEPRECIATES

We save for years/months to travel abroad or send kids for overseas educations or buy a phone or car, only to realize that we have lost wealth in dollar terms, let alone growing it.  So today we decided to go back 5yrs and see how would our money have fared in USD terms had we invested in different investment vehicles over time. (Read Full Report)

TWEET OF THE WEEK

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