The Financial Daily-Epaper-01-11-2010

International

It's time to fill US trust gap: PM See on 2

Currency war worries WTO See on Page 12

BD wants more trade with Pak See on Page 12

SHANGHAI: Performers parade with hats shaped as pavilions during the closing ceremony of the the World Expo 2010 here on Sunday. -Reuters

Karachi, Monday, November 1, 2010, Zul-Qa’dah 23, Price Rs12 Pages 12

ICC upholds spot-fixingbans on Butt and Amir

See on Page 12

Crude Oil (brent)$/bbl 83.15

Crude Oil (WTI)$/bbl 81.43

Cotton $/lb 125.26

Gold $/ozs 1,357.60

Silver $/ozs 24.56

Malaysian Palm $ 984.90

GOLD (NCEL) PKR 37,052

KHI Cotton 40Kg PKR 8,788

Yearly(Jul, 2010 up to 28-Oct-2010)

Monthly(Oct, 2010 up to 28-Oct-2010)

Daily (28-Oct-2010)

Total Portfolio Invest (22 Oct-2010)

104.18

54.95

28.15

2532

0.43

0.45

3.65

-0.99

-0.02

-3.35

-0.17

SCRA(U.S $ in million)

Portfolio Investment

FIPI (29-Oct-2010)

Local Companies (29-Oct-2010)

Banks / DFI (29-Oct-2010)

Mutual Funds (29-Oct-2010)

NBFC (29-Oct-2010)

Local Investors (29-Oct-2010)

Other Organization (29-Oct-2010)

(U.S $ in million)

NCCPL

GDR update

Commodities

Forex Reserves (22-Oct-10)

Inflation CPI% (Jul 10-Sep 10)

Exports (Jul 10-Sep 10)

Imports (Jul 10-Sep 10)

Trade Balance (Jul 10-Sep 10)

Current A/C (Jul 10- Sep10)

Remittances (Jul 10-Sep 10)

Foreign Invest (Jul 10-Sep10)

Revenue (Jul 10-Sep 10)

Foreign Debt (Jun 10)

Domestic Debt (Aug 10)

Repatriated Profit (Jul- Aug 10)

LSM Growth (Aug 10)

GDP Growth FY10EPer Capita Income FY10Population

$16.88bn

13.77%

$5.18bn

$9.03bn

$(3.85)bn

$(545)mn

$2.65bn

$455.10mn

Rs 310bn

$55.63bn

Rs 4863bn

$124.90mn

-3.85%

4.10%

$1,051

170.92mn

Economic Indicators

Symbols

MCB (1 GDR= 2 Shares)

OGDC (1 GDR= 10 Shares)

UBL (1 GDR= 4 Shares)

LUCK (1 GDR= 4 Shares)

HUBC (1 GDR= 25 Shares)

$.Price

2.60

19.00

2.00

1.70

9.73

PKR/Shares

111.50

162.96

42.89

36.45

33.38

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)

20-Oct-2010

20-Oct-2010

20-Oct-2010

29-Sep-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

29-Oct-2010

12.77%

13.08%

13.22%

13.50%

12.82%

12.99%

13.23%

13.61%

13.71%

13.66%

13.74%

13.84%

14.23%

14.36%

14.52%

Money Market Update

Symbols Buy (Rs) Sell (Rs)

Australian $ 84.13 84.25

Canadian $ 84.90 85.10

Danish Krone 15.00 15.40

Euro 118.50 119.00

Hong Kong $ 11.00 11.30

Japanese Yen 1.050 1.076

Saudi Riyal 23.00 23.20

Singapore $ 65.70 65.80

Swedish Korona 12.20 12.70

Swiss Franc 88.30 88.80

U.A.E Dirham 23.40 23.60

UK Pound 135.90 136.10

US $ 86.05 86.45

Open Mkt Currency Rates

Symbols Buying Selling

TT Clean TT & OD

Australian $ 83.71 83.91

Canadian $ 83.98 84.17

Danish Krone 15.98 16.02

Euro 119.21 119.48

Hong Kong $ 11.05 11.08

Japanese Yen 1.063 1.066

Saudi Riyal 22.87 22.92

Singapore $ 66.03 66.18

Swedish Korona 12.71 12.74

Swiss Franc 87.07 87.27

U.A.E Dirham 23.35 23.40

UK Pound 136.73 137.05

US $ 85.77 85.97

Inter-Bank Currency Rates

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Email: editor@ thefinancialdaily.com

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CITIES MAX-TEMP MIN

ISLAMABAD 28°C 14°C KARACHI 34°C 22°C LAHORE 30°C 16°C FAISALABAD 31°C 15°C QUETTA 20°C 4°C RAWALPINDI 29°C 15°C

Weather Forecast

Index Close Change

KSE 100 10,598.40 36.59

Nikkei 225 9,202.45 163.58

Hang Seng 23,096.32 114.54

Sensex 30 20,032.34 91.30

SSE COMP. 2,978.83 13.75

FTSE 100 5,675.16 2.73

Dow Jones 11,118.49 4.54

Global Indices

ISLAMABAD: InteriorMinister Rehman Malik hasissued a 7-day ultimatum of toall public institutions to reformtheir corrupt selves or be readyfor stricter penalties.

Talking to media on theoccasion of his Sunday visit tothe FIA Head Quarters here, hecited a recent corruption inci-dent in such public institutionsas ministry of ports and ship-ping, CDA among others.

He informed that a mediacell had been established inFIA, and requested mediasources to assist law enforce-ment agencies in their endeav-ors to uproot corruption, for

which FIA would leave nostone unturned in taking strictimpartial action, regardless ofany affiliations.

He announced 7th Nov as adeadline for all public institu-tions to straighten them out,and also vowed to carry outstrict operation against extor-tion mafia.

He informed that five specialreporting phone numbers hadbeen allotted to FIA, whichcould be used for lodging com-plains or passing out informa-tion regarding corrupt ele-ments.

He also vowed to beginaccountability from his very

own home, and said that hesaluted the suo motto action ofSupreme Court regardingwaiver of loans, assuring gov-ernment's full support in thisregard.

He also announced strongactions against human smug-glers and traffickers, whileassuring to abide by constitu-tional norms in his actions.

Replying to a question, hesaid that challan regarding theassassination of BenazirBhutto would soon be present-ed in court, while he alsoannounced a 25 per centincrease in female staffers inFIA. -Agencies

Depts given 7 daysto end corruption

Minister visits FIA, tells depts to mend affairs in 7-day

Ahmed Siddique

KARACHI: Oil and gasexploration and productionsector has shown a healthygrowth of 43.4 per cent in theirearnings during the first quar-ter of fiscal year 2011.

Earnings of the listed compa-nies' i.e. (OGDC, PPL, POL, &MARI) during the period wereincreased to Rs27.1 billioncompared with Rs18.9 billionrecorded during the correspon-ding period of last year.

TFD analyst highlighted sev-eral factors for this surge inearnings, as (1) hike in wellhead gas prices up to 3.8 percent, (2) surge in average priceof crude oil during 1QFY11 by8.8 per cent YoY to $74.04 abarrel (Arab Light), (3)Pakistan rupee depreciated byaverage 1.8 per cent on QoQand (4) surge in other income

by 11.7 per cent to Rs1.97 bil-lion primarily due to higherincome received from invest-ments in banks due to higherinterest rates.

POL and PPL were the topperformers with an increase intheir earnings by 56.6 per centYoY followed by OGDC with38.5 per cent, while Mari earn-ing declined 14.2 per cent.

Sales revenue of four listedcompanies has improved toRs64.65 billion from Rs48.46billion -- a growth of 33.4 percent over the same period lastyear.

Volumetric sales showedgrowth of 2.3 per cent to 768thousand barrels of oil equiva-lent per day (kbpeod) during1QFY11 against 751 kbpeod in1QFY11.

Gas production depicted agrowth of 2.5 per cent to 4

See # 3 Page 11

E&P earningsup 43.4pc in 1Q

OGDC, PPL, POL, MARI profit stand at Rs27.1bn

ISLAMABAD: The draft billfor restructuring and reorgani-sation of the country's statisticssystem would be put up for dis-cussion during the upcomingmeeting of NationalAssembly's StandingCommittee on Finance sched-uled for November 3.

The bill envisages reorgani-sation of the federal statisticalsystem and introduced a newentity named Pakistan Bureauof Statistics (PBS) to make itmore responsive to the nationalrequirements.

"The National Assembly'sstanding committee would takeup and discuss the bill andother related matters during itsmeeting scheduled forNovember 3,"SecretaryStatistics Division Asif Bajwatold APP here.

The bill also provides formerger of FBS, PopulationCensus Organization,Agriculture CensusOrganization and the TechnicalWing of Statistics Division intoa new autonomous entity.

See # 5 Page 11

PBS draft billset for perusal

FBS, Population Census, Agri Census to be merged

Ghulam Raza Rajani

KARACHI: After witnessingcontinuous net inflow of for-eign portfolio investment inthe country's equity marketduring last 5 months, offshoreinvestors turned net-sellerwith $2.76 million worth ofselling witnessed during thelast week, as per the NationalClearing Company ofPakistan Limited (NCCPL)data.

During the week, foreigninvestors remained on theselling side as they sold sharesworth $14.58 million andbought share valuing $11.82million.

Biggest weekly selling waswitnessed from mutual funds,

selling $17.88 million worthof shares in the local bourseagainst the buying of $13.99million, thus ejected $3.89million on net basis.

Moreover, NBFC, otherorganisations and local indi-viduals also sold their positionworth $2.03 million, $0.95million and $0.94 millionrespectively on net basis.

On the other hand, biggestweekly buying was wit-nessed from companieswhich bought $99.49 mil-lion of shares in the localbourse against the selling of$92.75 million, thus turnedthe net-buying worth $6.73million.

Moreover, banks alsoinvested $3.84 million.

Foreigners offloadshares after 5mths

Outsiders sell $2.76mn shares in KSE

Local cos, banks buy $10.58mn stocks

Nawaz Ali

KARACHI: The board meet-ing of Karachi Stock Exchangeto appoint the acting managingdirector of the exchange wouldbe held today (Monday) at 9:30am.

It should be noted that theseat of MD became vacant

after the three-year tenure ofManaging Director AdnanAfridi ended on 31st October.

According to the reliablesource, General ManagerOperations Haroon Askari orGeneral Manager RiskManagement Shafqat Ali maybe selected as an acting MD ofthe exchange.

KSE BoD electsacting MD today

Special Correspondent

ISLAMABAD: PrimeMinister Syed Yousuf RazaGilani has taken notice ofshortage of liquefied petrole-um gas (LPG) in Punjabprovince.

Prime Minister Syed YousufRaza Gilani has called a spe-cial meeting of petroleum min-ister, finance minister, chiefminister Punjab and secre-

taries of relevant departmentswithin two days to take meas-ures to improve supply situa-tion of LPG.

Prime Minister directed therelevant departments to takesteps to provide concession topoor people in electricity andgas bills.

The concession will be pro-vided to those who are benefit-ing from Benazir IncomeSupport Programme (BISP).

PM takes stockof LPG shortage

Orders concession in bills to BISP beneficiaries

Nat'l Securitymeeting

called offISLAMABAD: NationalSecurity Committee which wassummoned to review the USpressure on Pakistan to launchan army offensive in NorthWaziristan has been cancelled.

The committee meeting to bechaired by Mian Raza Rabbaniwas scheduled to meet onTuesday in the ParliamentHouse.

According to sources, themeeting has been canceled due

See # 6 Page 11

18th Amendment

Committeeto moot

SC orderISLAMABAD: ParliamentaryConstitutional Committeewould review the SupremeCourt interim order regarding18th amendment today(Monday).

The committee would alsosent article regarding appoint-ment of judges in the SupremeCourt to the Parliament.

The meeting would bechaired by its chairman Mian

See # 8 Page 11

Petrolprice reachesRs72.69/litre,diesel at 78.33/litre

Staff Reporter

KARACHI: Where inflation isconstantly on the rising trend,and prices of commodities sky-rocketing, Ogra added fuel tofire by announcing an astro-nomical increment in the petro-leum product prices.

The new price of petroleumnow stands at Rs72.69 per litrefrom Rs67.96 whereas that ofdiesel climbed to Rs78.33 perlitre from Rs73.80.

According to news, HOBCprices raised up to 86.67 perlitre and kerosene oil toRs70.95 per liter from 1stNovember, 2010.

The announcement came lateSunday night - as was expected

due to the last day of October.According to experts, this

decision of rise in prices wouldcause inflation to soar by 8 percent.

The rise in the petroleumprices would affect the masseswhile the prices of electricity,transport, railways, PIA, wheat,flour, rice, sugar, dairy prod-ucts, meat and vegetableswould also suffer a tremendousincrease.

Ogra has increased the pricesof petroleum products by morethan five per cent - citing therising trend in the internationalmarket and decided to pass onthe effects to the consumers.

They said 7 per cent increasein the prices of crude oil wasrecorded in the internationalmarket during the month ofOctober. According to the ana-lysts, this recent surge in oilprices coupled with an antici-pated large increase in naturalgas prices would push the rateof inflation higher than the

budget estimate of 9.5 per cent.The inflation estimates have

since been revised up to 14.5per cent for the current yearbecause of disruptions in thesupply of food items, althoughconsumer price indicatorrecorded an increase of 15.71per cent in September.

As a result of the increase, thegovernment's revenue on oilproducts could go up becauseof flexible general sales tax.

Analysts said Rupee also wasdevalued against dollar duringthis period which affectedimport bill as well. Keeping inview upsurge in the prices ofcrude oil, it was decided toscale up the prices of petroleumproducts.

"Condemning the hike inpetroleum prices, transportersand different segments of thesociety has expressed their dis-pleasure over the move andtermed it a 'petrol bomb' attackon poor masses by the govern-ment.

POL pricesup Rs4-7/ltr

Ogra announces new Petroleum Products Prices

Wen saysWorld Expo

good forreform

SHANGHAI: Chinese PremierWen Jiabao said Sunday thatShanghai's World Expo hadgiven the fast-developing coun-try the confidence to keep push-ing reform, as visitors floodedthe exhibition on its final day.

More than 73 million people --a record for the extravaganza --visited displays by 189 countriesduring the half-year culture andtechnology showcase thatbrought snapshots of the worldto ordinary Chinese.

"The success of the Expo hasstrengthened China's confidenceand resolve to pursue reform andopening up," Wen told a forumat the Expo attended by Chineseand international officials on thefinal day.

"China will unswervingly fol-low the path of peaceful devel-opment and stay open and inclu-sive. We will learn from the fineachievements of all civilisa-tions," he said.

Wen singled out several See # 4 Page 11

MQM leadersmeet President

todayKARACHI: A high level delega-tion of Muttahida QaumiMovement (MQM) would meetPresident Asif Ali Zardari today atBilawal House, media reported.

According to the sources, See # 7 Page 11

Razzaqbat-tles

to victoryagainst SA

ABU DHABI: A rampant mas-ter performance by AbdulRazzaq ended the losing streakof Pakistan cricket. Razzaqhammered a blistering ton leav-ing Proteas stunned in the sec-ond ODI match in Abu Dhabi.

South Africa managed adescent total of 286 for the lossof 8 wickets in alloted 50 overs,but it was Razzaq who floodedtheir party by notching 109 runsin just 72 balls to make Pakistanreach their much awaited victo-ry. Taken to last over, with onlyone wicket in hand and 14 toget, it was a bit more than nail-biting finish when people wit-nessed one of the best everknocks off the game.

10 sixes, 7 fours is the countof dents, permanent ones,Razzaq gave to Proteas dugout.The ball raining to all parts ofgrounds, and when he hit theystayed hit.

Pakistan has now leveled thefive match series 1-1. -Agencies

2 Monday, November 1, 2010

TV PROGRAMMES

MONDAY

Time Programmes

7:00 News

8:00 News

9:05 Subah Savere Maya

ke Sath

11:10 The Reema Show

(Rpt)

12:00 News

13:10 Faisla Aap Ka (Rpt)

14:10 Tafteesh (Rpt)

15:00 News

16:00 News

17:30 Samaa Metro

18:00 News

18:30 Samaa Sports

19:30 Crime Scene

20:03 Newsbeat

21:00 News

22:03 Tonight With

Jasmeen

23:00 News

23:30 24

KARACHI: SindhMinister for Home DrZulfiqar Ali Mirza hasdirected IGP SindhSultan Salahuddin BabarKhattak to ensure effec-tive and extraordinarysecurity measures inassociation with rangersfor cattle market inKarachi and other partsof Sindh so as to savetraders and buyers.

He said that policesearch in a cattle marketalong the Super Highway

should be carried outbesides deploying per-sonnel of anti-car liftingunit and bomb disposalsquad in its parking lotsin order to avoid anyuntoward incident andstealing of vehicles. Snapchecking, patrolling anddeployment of personneldressed in simple clothesmust also be ensured inand around the cattlepen.

The minister said iso-lated vehicles should be

checked while the moni-toring of security by rele-vant SPs and SHOs mustbe ensured. Steps shouldalso be taken to developliaison with intelligenceand law enforcing agen-cies besides ensuringexchange of informationwith them. He also askedCCPO Karachi to devisea comprehensive trafficplan so as to ensure traf-fic flow through mainroutes leading to cattlepens in the city.-PPI

Mirza ordersextra security for cattle mkts

KARACHI: All efforts to protect andenhance the mangroves would be takenas the depletion of mangroves' forests oncoastal areas is posing great threat toecosystem as well as lives and businessof people living in the coastal areas ofPakistan, Syed Mahmood NasirInspector General of Forests said.

He said while chairing the 3rd NationalCoordination Body of 'Mangroves for theFuture' (MFF) in Pakistan. MFF is aregional initiative started in the aftermathof the 2004 Tsunami.

He said after successful completion of itsfirst phase, the MFF has now entered in itssecond phase. This has been put into effectafter Pakistan was promoted from being anobserver country to a full member.

He informed that Pakistan had theworld's sixth largest forest of mangrovessituated in Indus Delta - Sindh, beforeindependence, which has been depletingrapidly over the period of time as its

ranking plunged to 35 in the world.It covered 345,000 hectares along the

entire Sindh coast but were reduced to263,000 hectares in 1977, then to158,500 hectares in 1990 and had shrunkto a mere 80,000 hectares in 2002; thistoo is being continuously depleted.

Meanwhile, Aban Marker Kabraji,Regional Director IUCN Asia and Co-chair,Regional Steering Committee mentionedthat thousands of mangrove restorationprojects are around the world, but uniqueconcept, effectiveness, efficiency andaccountability of MFF makes it stand apart.

Aban Marker Kabraji mentioned thatthe first tranche of $100,000 is readyto ready to be released as soon as theNational Coordinating Body for MFFPakistan has developed the guidelinesfor disbursement of the small grantsfunds to the small grants projectsagainst certain criteria and priorities.-Online

Preservation ofmangroves urged

KARACHI: MotorwayPolice of N-5 SouthZone launched a Publicfriendly policing cam-paign on highway fromKarachi to Sukkur onSunday under the super-vision of Dr.AftabAhmed Pathan, DIGMotorway Police N-5South Zone.

An announcement heresaid that during the cam-paign all SPs and CPOsof Motorway Policeremained present onhighway and briefedroad users regarding thetraffic rules.

The challans were notissued during the cam-paign and the drivers

were warned and exhort-ed by Motorway Policeofficers to obey trafficlaw for their own safety.

All Patrolling Vehicles,Education Units,Ambulances, TowTrucks and MobileWorkshop of MotorwayPolice remained partici-pated in this campaign.

Officers of the MobileEducation Unit ofMotorway Police briefedthe drivers about thetraffic rules at differentlocations on the highwayi.e. Hotels, Petrol Pumpsand other public place.

Road safety bannerswere displayed andbriefing officers of

Motorway Police dis-tributed road safetypamphlets among theroad users at all tollplazas.

Candies and biscuitsere also distributedamong the children andfamilies, which werepacked in special papermentioning differentroad safety slogans.

DIG Dr Aftab AhmedPathan said that the pur-pose of this special cam-paign is to educate theroad users about friendlypolicing and traffic rules.

He also said that simi-lar campaigns wouldcontinue in the future aswell.-APP

Motorway police startpro-public campaign

KARACHI: There is no respite in the curse of loadshedding in Karachi, rather the menace is on furtherrise, making life miserable for Karachiites, while theconcerned authorities and political stakeholders ofruling parties dare not ask the might Karachi ElectricSupply Company (KESC) to generate sufficient elec-tricity by running its power houses at full capacity tothe cater the needs of the city.

Blaming the less supply of gas from the SuiSouthern Gas Company (SSGC), the KESC hasincreased the duration of its load shedding and major-ity of areas in Karachi are facing one or one and halfan hour load shedding after small intervals. The men-ace of load shedding has badly affected the routinelife and economic activities of the metropolitan. Theworst suffers are people whose livelihood depends on

electricity-operated machines, like tailors who arefacing a nightmarish scenario to meet the deadlines ofcustomers, as the Eidul Azha is approaching fast.

Overall the production of small and cottage indus-tries like garments is baldy hampered due to pro-longed durations of load shedding. Large and mediumsize industries and markets are also facing stiff chal-lenges due to frequent power outages. The load shed-ding is also affecting educational institutes and hospi-tals. Prolonged power outages are also responsible formany problems of water supply and sewerage dispos-al and pumping machines of water supply and sewer-age disposal run on electricity. The use of standbygenerators by shopkeepers, traders and workers alsoresult in extra production and selling costs, which isfinally absorbed by the consumers.

The load shedding is also badly affecting the men-tal health of Karachiites. Healthcare experts say fre-quent power outages make people anger and irksome.It affects their level of tolerance and makes themtouchy and flammable. It is the common experiencethat people now a days in Karachi quarrel over pettyissues.

Strangely, the government is not intervening tocome for the rescue of its citizens and save them fromsocial, economic and mental torture of load shedding.The provision of electricity is declared as the right oflife by many landmark decisions of superior judici-ary, but the government, as well as, ruling and oppo-sition political parties and rights groups are tight-lipped over the violation of this basic right of citi-zens.-Online

Prolonged load-shedding irks Karachiites

KARACHI: USAmbassador to PakistanCameron P Munter andhis wife Marilyn Wyattparticipated in floodrelief efforts conductedby Pakistan and US mili-tary and helped distrib-ute flood relief suppliesat a World Food Programdistribution point inSindh.

This is theAmbassador's first trip toflood-affected areas ofSindh since arriving inPakistan Oct 27. "It is anhonour to have thechance to work with thePakistani military andthe American militarytogether, who are work-ing to help the Pakistani

people," said Munter."This is a place that I

think all of us willremember as a symboland as a reality of ourcooperation, what we cando when we work togeth-er, when we face prob-lems together. And I'mvery, very grateful to thePakistanis and Americanswho've done all thiswork," he further added.

Munter arrived at thePakistan military's PanoAqil Cantonment in theafternoon and then flewto the Hassan KhanJamali relief site wherehe and a team ofPakistani and U.S. mili-tary members unloadedapproximately four tons

of food aid from two hel-icopters. In addition todelivering food aid,Munter and his wifeMarilyn met with localflood victims.

Elements of the 26thand 15th MarineExpeditionary Unit havebeen conducting humani-tarian relief efforts fromPano Aqil Cantonmentsince Sept. 3, 2010. TheMarines there havedelivered more than 3.7million pounds (over 1.6million kilograms) offood and other suppliesto more than 150 loca-tions throughout SindhProvince, flying morethan 450 heavy-lift heli-copter sorties.-PPI

US envoy lendsa hand in relief

ISLAMABAD: Advisorof Prime Minister onTextile, Mirza IkhtiarBaig has appreciatedPresident Asif AliZardari in taking keeninterest in resolvingproblems of businesscommunity aiming topromote business culturein the country.

Talking to RadioPakistan, the advisorinformed that thePresident has held threemeetings with the repre-sentatives of businesscommunity and multina-tionals in Karachi duringhis visits to the city.

He added PresidentZardari also invited newAPTMA Chairman onlunch and discussedissues relating to cottonand textile with himwhich shows that econo-my of the country isquite important for him.

To a question, he saidthere is a need of imple-menting existing policiesinstead of formulatingnew ones and both thePresident and PrimeMinister, for the samereason, have formed var-ious task forces toimplement the policies.-APP

Baig assuresresolution of

traders’ issues

MONDAY

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

19:05 Tax Time

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

Huawei,Warid

legal battlemay endamicably

Staff ReporterPAKISTAN: Huawei's peti-tion case for the winding upof Warid Telecom hasentered a new phase in whichthe parties have begun work-ing towards an amicable set-tlement of the matter.

There are significant stepsstill to be resolved and com-pleted by Warid Telecom,but if these are expedited ina timely manner, the Partiesbelieves there is a likeli-hood that the issue may beresolved in full.

Meanwhile, the hearingsof the petitions have beenadjourned to 2ndDecember in the LahoreHigh Court Rawalpindibench. Huawei has soughtthe winding up of WaridTelecom over monies owedfar in excess of $100 mil-lion and defaults on month-ly payments for August andSeptember 2010.

Denguetoll rises tothirty-two

ISLAMABAD: About4,000 cases of denguefever had been confirmedacross the country while 32people had died of thefever, a private televisionchannel reported Sunday.

Citing the report ofNational HealthDepartment, it said that1,870 cases of DengueVirus had been registeredin Sindh, 155 in KhyberPakhtunkhwa and fivecases in Azad Kashmir.

Maximum people affect-ed from this virus in Punjabare registered in Lahore.Dengue Surveillance Cellin Sindh is being extendedand it is being associatedwith Sindh BloodTransfusion Authority.

Policerecover

2.3kg drugs

in raidKARACHI: DeputyDirector, Dr J Ram Das,Excise Police South,Karachi raided on a drugpoint in KashmirColony, Mehmood Abadand recovered 2.3 kgmarijuana.

As per details, underthe strict instructions ofProvincial Minister forExcise & Taxation,Mukesh Kumar Chawlato curb the activities ofpeddlers from Sindhprovince. DirectorExcise, Aamir Jamil,Deputy Director andExcise IntelligenceOfficer, Nasir Affendiraided in KashmirColony at Arif's pointfrom where the Officialsarrested Mushtaq Arifthe owner, while hiscomrade named Asifsucceeded to flee away.They also recovered 2.3kg Chars from the crimescene.

In an other operation,Nasir Affendi alongwith the special squadraided in Gora Bhatt,Village Kamyari, seized52 kg Heroin and arrest-ed Ishtiaq, however,Abdul u Starr fled away.While separate casesagainst the culprits havebeen filed under Act1997, whereas, thesearch operation is con-tinued.-Online

Denguepatientsreceiving

treatment,Dr Saghir

KARACHI: SindhHealth Minister Dr SaghirAhmed said on Sundaythat special attention isbeing paid towards treat-ing dengue patients in theprovince by ensuring theprovision of diagnosistests and mega units tothem.

This he said while talk-ing to media during visitto Dengue SurveillanceCell. The minister saidthat test kits worth Rs7.5million and mega unitbags worth Rs5 millionare being brought fordengue patients.

The minister said rapidkits are also being sup-plied in all districts ofSindh so that denguepatients could get testfacilities timely. Hestressed the need to adoptprecautionary measuresagainst dengue. Thedengue patients shouldnot involve in self-med-ication, he urged.

Mr Saghir said there isneed to establishInfections Disease Cellon constant basis so thatinfected people could becured timely.-PPI

KARACHI: The Consul General of the Republic of Turkey Fethi Etem, and his wife hosted a reception onthe Occasion of the 87thanniversary of the Proclamation of the Republic of Turkey at their residence

attended by Chief Minister of Sindh Syed Qaim Ali Shah, Minister Begam Nargis N D Khan, AdvisorsSharmilla Farooqui and Rashid Rabani.-Staff Photo

KARACHI: Foreign secretary of Bangladesh Ambassador Mohammad MijarulQuayes addressing during his luncheon meeting at a local hotel.-Online

KARACHI: A pair of sacrificial animals tied at the cattle fair whose initialsrates are 5 million rupees.-Online

'Protect mangrove forests for better ecosystem'

KU aptitudetests held

KARACHI: TheUniversity of Karachi con-ducted aptitude tests foradmission to various teach-ing departments. An offi-cial of the institution saidthat as many as 25,000 can-didates appeared in thesetests conducted during thelast two weeks. Pro Vice-Chancellor of KarachiUniversity Prof DrShahana Urooj Kazmi,who is also the Convenerof Admission Committee,stated that aptitude testswere conducted in a verytransparent manner.-APP

3Monday, November 1, 2010

SINGAPORE: Asian currencies gained for asecond month on speculation the FederalReserve will pump more money into the econ-omy, increasing the amount of funds that can beinvested in higher-yielding assets.

The Philippine peso led the gains as overseasinvestors plowed a total of $11.9 billion intostocks in India, the Philippines, South Korea,Taiwan and Thailand in October. Finance min-isters from the Group of 20 nations last weekpledged to allow markets to determine foreign-exchange rates, rather than "competitive deval-uations" aimed at supporting exports.

The peso appreciated 2 per cent to 43.025 ver-sus the US currency at the 4 p.m. close in Manila,according to prices from inter-dealer brokerTullett Prebon Plc. Taiwan's dollar climbed 1.8per cent to NT$30.782 and the Singapore dollaradvanced 1.2 per cent to S$1.2985.

"The dominant factor continues to be flowsinto Asia and what offshore investors think ofAsia as a whole," said Joey Cuyegkeng, aManila-based economist at ING Groep NV, thelargest Dutch financial services company. "Theoutlook continues to be quite favorable for Asia."

The peso rose for a fourth month on optimism

Filipinos living abroad will send more moneyhome before the end of year holiday season,increasing demand for the currency.

Overseas remittances climbed 9.8 per centfrom a year earlier in August, the most in eightmonths, the central bank said on Oct. 15. Thecurrency has strengthened 7.1 per cent this year,prompting policy makers to unveil measures toease foreign-exchange outflows and relieveappreciation pressure on the peso.

South Korea's won advanced 1.3 per cent thismonth to 1,125.16 per dollar, a second month ofgains. The government predicted Asia's fourth-biggest economy will expand 6 per cent this year.

The ringgit had its first monthly decline sinceMay on speculation the central bank will pre-vent the currency from gaining too fast asinflows from overseas increase. It has rallied by10 per cent this year. The ringgit dropped 0.9per cent this month to 3.1115. It reached 3.0800on Oct. 14, the strongest level since 1997.

Elsewhere, the Thai baht advanced 1.2 percent this month to 29.99, the Indian rupeeclimbed 1 per cent to 44.48 and the yuan rose0.3 per cent to 6.6720. Indonesia's rupiah fell0.3 per cent to 8,938. -Agencies

Asian currencies

Mostly surge for 2ndmonth ahead of Fed meet

NEW YORK: The prospectof another dose of quantitativeeasing from the FederalReserve may be bad for thedollar in the short term, butsome investors are alreadybetting a US economic recov-ery and rising inflation willchange the greenback's for-tunes.

Estimates on further quanti-tative easing range from $500billion to $2 trillion, with theFederal Reserve expected toannounce a decision at the endof its Nov. 2-3 meeting.

While that's another heftyaddition to the Fed's balancesheet after it cut interest ratesto near zero in 2008 and thenbought $1.7 trillion of longer-term securities to pull theeconomy out of recession, thenew measures are likely tobolster growth, analysts said.

"QE has already been fac-tored into the market place,"said Dean Malone, a currencydirector at Compass FX inDallas, Texas. "Some hedgefunds are looking at it as theFed comes in to drive growthin the economy, and thatmeans only one direction forthe stock market and the dol-lar. That is strength."

There are also clear techni-cal signs that the dollar's for-tunes are already changing.

The euro/dollar has flirtedwith the $1.4000 level severaltimes in recent days but hasonly managed to close aboveit once. That was the first andonly close since January,according to Reuters data.

Sell signals on several majorcurrencies against the dollarwere triggered on either Oct.18 or 19 when the 12- and 26-day moving average conver-gence/divergence line moved

below the nine-day signal line,according to Reuters data.

Those currencies includedthe Australian dollar, the euro,the British pound and the NewZealand dollar.

Conversely, buy signals onthe dollar were triggered onthe dollar the same datesagainst the Swiss franc and theCanadian dollar.

The MACD is used in tech-nical analysis as an indicatorof short-term momentum byfocusing on exponential mov-ing averages and closingprices.

The dollar will also get aboost, particularly against theeuro, the second most activelytraded currency, because ofthe relative central bank posi-tions.EUROPEAN AUSTERITY

"Once austerity measurestake shape in Europe, theeconomy may contract rela-tive to the US," said MarkMcCormick, currency strate-gist at Brown BrothersHarriman in New York.

"The base scenario, with fis-cal tightening taking place inthe euro-zone, should slowdown the euro's momentumand probably slow down thetalk of higher interest rates,which has been a source ofeuro strength."

The IMF on October 6 ratch-eted down expectations for theUnited States but still forecastUS economic growth at 2.6per cent in 2010 and 2.3 percent in 2011 compared with1.7 per cent and 1.5 per centfor those periods in the euro-zone.

"The ECB is more willing toraise rates at lower growthlevels while the Fed is moreaggressively easing," said

David Kupersmith, head trad-er at Third Wave GlobalInvestors, a global macrohedge fund in Greenwich,Connecticut.

"Higher growth may meanthe Fed will change its path.Higher growth will lead themto stop QE or reverse it."

All of which would be goodfor the dollar.

But additional fuel for a dol-lar rally comes from extremebets against the currency,which will have to be reversedonce any rally starts. Whilecurrency speculators havereduced bets against the USdollar, net short positioning onthe dollar against major cur-rencies is still at extreme lev-els, according to data from theCommodity Futures TradingCommission.

Against Asian emergingmarket currencies, currentmarket positions in eight cur-rencies show significant shortdollar positions.

To be sure, the dollar isexpected to be volatile untilthe Fed completely clarifiesdetails of its QE program, par-ticularly the amount. Thevolatility will be even greaterlater if the Fed does not beginto retrieve the liquidity oncethe economy turns around.

And there is still some con-cern about the impact ofadding more liquidity to thefinancial system and whatcomes next if it fails to pro-vide the stimulus expected.

"This is getting really low in(the Fed's) backpack of toolsthat they can throw at theproblem," said JeffreyBergstrand, professor offinance at Mendoza College ofBusiness at the University ofNotre Dame. -Reuters

Signs the dollar already stabilizing

QE2 not all bad for USDif it stokes growth

Relative strength in US important vs euro austerity

NEW YORK: Oil prices fell onFriday after data showing tepidUS economic growth in the thirdquarter left investors cautiousahead of expected monetary eas-ing from the US Federal Reserve.

US crude futures did post again for the month and the firstmonthly close above $80 a bar-rel since April.

Disappointing data fromGermany and India, end-of-month positioning and profit tak-ing and the expiration on Fridayof US November refined oilproducts contracts also combinedto provide volatility and pressureoil, industry sources said.

US crude for December deliv-ery fell 75 cents, or 0.91 percent, to settle at $81.43 per bar-rel, well above the $80.56 intra-day low. Crude prices slipped26 cents on the week, but wereup $1.46 from $79.97 at the endof September.

Total crude trading volumewas just over 450,000 lots withabout an hour left of post-settle-ment trading, well below the 30-and 250-day moving averagesthat were both more than650,000 lots. In London, ICEBrent December crude fell 44cents, or 0.53 per cent, to settleat $83.15 a barrel.

The US economy grew at a2.0 per cent annual rate, up from1.7 per cent in the second quar-ter, the government reported, inline with expectations but notenough to reduce high unem-ployment. "The sentiment wasthat 2 per cent growth was notrobust enough to get peopleexcited and there was the disap-pointing consumer sentimentreport," said Gene McGillian,analyst at Tradition Energy inStamford, Connecticut.

"But there was no followthrough selling below $81 and

the market is still stuck in an$80-$84 range ahead of nextweek's events."

India's domestic oil productsales fell an annual 1.9 per centin September, its second straightmonthly decline, governmentdata showed on Friday.

India's crude imports declinedan annual 21.9 per cent to 10.94million tonnes or about 2.67million barrels per day inSeptember when Indian refinersprocessed 10.2 per cent less oilversus a year ago.

Late on Friday, a report fromthe Commodity Futures TradingCommission showed thatmoney managers raised net longcrude oil positions on the NewYork Mercantile Exchange inthe week through last Tuesday.

The increase came as UScrude futures rose to $82.55 abarrel on Oct. 26 from $80.16on Oct. 19. -Reuters

Oil slides on tepid growth,awaits Fed meeting

Disappointing US, German, Indian data pressures oil

NEW YORK: The US cottonmarket ended the wildest month inits history, with prices soaring to itshighest level since the AmericanCivil War in the 19th century dueto a perfect confluence of strongdemand, tight stocks and almostinsatiable investment fund buying,analysts said.

Prices of cotton in the ICEFutures US stormed to an all-time high of $1.305 per lb onOct. 26, climaxing a three-monthlong rally that saw values climbnearly 80 per cent since July.

'Cotton ended its wildestmonth in history,' Mike Stevens,a veteran, independent cottonanalyst in Louisiana said.

'There's nothing (in cotton

trading history) that comparesto this (month).' The benchmarkDecember cotton contract gained3.58 cents to close on Friday at$1.2526 per lb. For the month ofOctober, the key cotton contracthad risen 23 per cent. It was thelargest monthly gain sinceNovember 2001, according toThomson Reuters data.

The volume traded on Fridayreached over 34,000 lots, about30 per cent higher than the 30-day average at 25,000 lots, thepreliminary data from ThomsonReuters showed.

The latest CFTC data showedthat noncommercial and man-aged money funds increasedtheir net long position in the US

cotton market to their highestlevel in nearly a month. TheMississippi Historical Society'sEugene Dattel, an economic his-tory, said cotton prices were trad-ing near $1.89 a lb at the heightof the 1861-65 US Civil War.

The cotton market jumped onFriday after news that India maypossibly default on sales of 1.0million bales to Pakistan, whoseown cotton crop has been deci-mated by floods.

In China, the ZhengzhouCommodity Exchange's Maycotton contract was last tradedon Friday at 27,245 yuan pertonne. The Cotlook A index wasbeing quoted at $1.415 onFriday. -Reuters

Wild Oct drives UScotton to all-time highs

NEW YORK/LONDON:Arabica coffee futures closed at a13-year high on Friday, while therobusta market ended at a two-year high, supported by supplyconcerns in key producersVietnam and Colombia.

Raw sugar closed at a nine-yeartop and remained in reach of thekey psychological level 30 centsper lb, while cocoa bucked thetrend and closed lower ahead oftop grower Ivory Coast's presiden-tial election Sunday.

Arabica coffee was likely tocontinue higher, after closingabove Thursday's settlement.

Liffe January robusta coffeefutures closed up $56 at $1,970 atonne, the highest settlement forthe second position since October2008, after hitting a session high at$1,981 per tonne.

ICE December arabica coffeesoared 6.85 cents or 3.5 per cent toclose at $2.0345 per lb, thestrongest settlement for the spotcontract since September 1997.The spot contract closed themonth up 11.1 per cent, climbingfor the fifth month in a row andmade the biggest monthly per-centage gain since June.

The noncommcercial net longposition for arabica futures rose to40,318 lots in the week endingOct. 26, from 36,873 lots the pre-vious week, Commodity FuturesTrading Commission (CFTC)

data showed.Raw sugar futures were finished

at a nine-month peak, as dealersnoted the outlook for suppliesremained tight, but end-of-the-month and week-end profit-takingknocked the market from its ses-sion highs.

ICE raw sugar futures jumped0.41 cent or 1.4 per cent to finishat 29.12 cents per lb, trading in anoutside day, the strongest close forthe spot contract since earlyFebruary. On the week, Marchwas up 3.19 per cent, and on themonth it was up 23.34 per cent,the biggest monthly percentagegain for the contract.

The noncommercial net longposition fell to 156,994 lots byOct. 26, from the previous160,660 lots, CFTC data showed.

London December white sugarclosed down $7.70 at $722.60 pertonne. Cocoa prices eased onmonth-end profit-taking andahead of Sunday's election in topgrower Ivory Coast, which couldpotentially cause prices to rally inthe event of civil strife.

ICE December cocoa dropped$48 to close at $2,797 per tonne,down 1.7 per cent for the week.Liffe second-month March cocoafinished down 17 pounds at 1,886pounds a tonne. The noncommer-cial net short position shank to5,450 lots by Oct. 26, from 6,381lots, CFTC said. -Reuters

Coffee ends at new highs,sugar at 9-month top

US corn up,wheat rally

pausesCHICAGO: Corn futures onthe Chicago Board of Traderose on Friday for a fifthstraight session on technicalbuying and talk that China maybe in the market for more UScorn, but wheat edged lower astraders took profits after a five-day climb.

At the CBOT, corn forDecember delivery settled up 3cents at $5.82 a bushelDecember wheat ended down 1cent at $7.17-1/4 a bushel.

November soybeans were up 1at $12.26 a bushel while most-active January settled unchangedat $12.36. All three commoditiesadvanced for the month inOctober, with corn up 17.5 percent, soybeans up 10.4 per centand wheat up 6.3 per cent.

Corn posted its biggestmonthly gain this year, buoyedby expectations of a tight year-end stockpile, and soybeansposted their second-highestmonthly advance on strongChinese buying.

However, sources toldReuters China had rejected acargo of US corn because ofunauthorized genetically modi-fied content, news that raiseduncertainty about US ship-ments. -Reuters

Copper hits3-week low

ahead of FedNEW YORK/LONDON:

Copper led a broader retreat inthe base metals complex onFriday, falling to its lowest levelin three weeks, as markets cutrisk and investors turned cau-tious ahead of next week's piv-otal Federal Reserve meeting.

Despite the late-week losses,copper still managed to postmonthly gains for a fourth con-secutive month and rose morethan 2 per cent in October Copperfor December delivery on theCOMEX metals division of theNew York Mercantile Exchangeshed 5.40 cents, or 1.4 per cent, toend at $3.7335 per lb, after deal-ing from $3.7875 to a three-weeklow at $3.7035.

On the London Metal Exchange(LME), three-month copperclosed down $141 at $8,199 atonne, recovering somewhat froman earlier slide to $8,140, its low-est since Oct. 8.

The bearish tone spread acrossthe complex, with aluminum, tinand nickel all sinking to theirlowest in around a month. Zincand lead fell by some 4 per centearlier in the session.

LME inventories of copperrose by 475 tonnes to 368,500tonnes on Friday, reflecting aslowdown in the pace of decline.

However, LME stocks havefallen by a third from cycle highsabove 555,000 tonnes in mid-February. In other metals, inven-tories of tin and zinc also grew,data showed. Zinc stocks havejumped by over 15,000 tonnesinto New Orleans this week.

Aluminum fell as low as$2,305 a tonne, its lowest sinceOct. 1, and closed down $2 at$2,345. Nickel closed at $22,990a tonne, from a bid of $23,100. Itearlier fell as far as $22,661, aone-month low. For the month, itshed 1.7 per cent, according toReuters data. Lead dropped$57.50 to $2,448 a tonne, butposted gains for a secondstraight month in October. Zincclosed down $71 at $2,423 atonne, but rose for the fourthconsecutive month.

Tin tumbled to $25,050 atonne at one point, its cheapestsince Oct. 5, before ending down$650 at $25,600.-Reuters

NEW YORK: Gold rose 1 percent on Friday, setting a 10-dayhigh as a lower dollar promptedinvestors to buy ahead of nextweek's Federal Reserve meeting,at which the central bank isexpected to discuss further mon-etary stimulus.

Jitters about suspicious pack-ages in Britain and Dubai afterUS and British security officialssearched United Parcel Servicecargo flights also prompted buy-ing of gold.

"It appears these suspiciouspackages found on the US-bound cargo planes wereresponsible for the gold rally,"said Bruce Dunn, vice presidentof trading at bullion dealerAuramet.

Investors often turn to gold asa safe haven in times of geopo-litical and economic uncertain-ty.

Spot gold was up 1 per cent at$1,356.26 an ounce at 1853

GMT. US gold futures forDecember delivery settled up$15.10 at $1,357.60.

Dunn said technical buyingemerged after prices brokeabove $1,350 an ounce, a levelwhere gold ran into resistancethis week. US mid-term electionand the Federal Reserve meetingnext week also triggered short-covering, he said.

Bullion was up nearly 2 percent on the week, resuming itsrise after last week's declinesnapped 11 straight weeks ofgains.

The International MonetaryFund sold 1.04 million ounces(32.3 tons) of gold in September,nearly a third of it toBangladesh, an IMF spokesmansaid on Friday.

Traders say the physical mar-ket has supported prices inrecent weeks following gold'scorrection from record highs at$1,387.10 an ounce. Buying in

India has been relatively healthyahead of Hindu festivals andmajor gold-buying events ofDhanteras and Diwali nextweek.

Hong Kong trade data showedthe flow of gold from HongKong to China in the first eightmonths of 2010 nearly doublethat for the whole of 2009, sug-gesting surging appetite for jew-elry and investments.

Spot silver rose 2.5 per cent to$24.58, tracking gold. COEMXfutures trading volume wasabout 22 per cent higher thantheir 30-day average, afteralleged silver conspiracy law-suits filed this week against twomajor banks created additionalbuzz in the white metal.

Palladium rose to a peak of$644 an ounce, its highest sinceMay 2001. Spot palladium rose3.1 per cent to $642.47. Spotplatinum climbed 0.6 per cent to$1,697.74 an ounce. -Reuters

Gold rises 1pc as dollarslumps ahead of Fed

TORONTO: Canada's dollarrose against its US counterparton Friday, thanks to healthy eco-nomic data from both sides ofthe border, while doubts aboutfurther monetary easing by theFederal Reserve weighed on thegreenback.

The combination of the GDPdata and a softer US dollarhelped lift the Canadian curren-cy to a high of C$1.0168 to theUS dollar, or 98.35 US cents.

Government data showedCanada's economic recoverypicked up speed again in Augustafter stalling in July. Grossdomestic product climbed 0.3per cent, bolstered by wholesaletrade, manufacturing and oil andgas extraction. GDP shrank 0.1per cent in July, the first contrac-tion in a year. As well, US data

showed economic growth edgedup as expected in the third quar-ter but not enough to chip awayat high unemployment or changeperceptions of more monetaryeasing from the Federal Reserve.

Matthew Strauss, senior cur-rency strategist at RBC CapitalMarkets, said the Canadian cur-rency got a boost from the data,which helped to reduce investorrisk aversion.

The currency ended atC$1.0202 to the US dollar, or98.02 US cents, up fromThursday's close at C$1.0215 tothe US dollar, or 97.90 US cents.

Camilla Sutton, chief curren-cy strategist at Scotia Capital,said "there's a lot of risk goinginto the FOMC," referring to theUS central bank's policy-settingmeeting.-Reuters

C$ gains on softUSD, GDP data

Sterlingposts weeklygains againsteuro, dollar

LONDON: The pound advancedagainst the euro, heading for itsfirst weekly gain in seven againstthe 16-nation single currency,after a report showed UK con-sumer confidence unexpectedlyimproved this month.

The UK currency reached itsstrongest level against the euroin three weeks after researchgroup GfK NOP Ltd. said itsconfidence index rose one pointto minus 19 in October, com-pared with the median forecastof a drop to minus 22 in a sur-vey of 20 economists. Mortgageapprovals were little changed inSeptember, data from the Bankof England showed. Economistshad forecast a decline. Sterlingerased an earlier drop againstthe dollar, reaching the highestin two weeks.

The pound strengthened 0.6 percent to 86.90 pence per euro as of4:20 p.m. in London, heading fora weekly gain of 2.3 per cent, themost since the week ending June4. It gained as much as 0.7 percent earlier today to 86.81 pence,its strongest since Oct. 5.

Sterling appreciated 0.3 percent against the dollar to$1.6000, extending its weeklygain to 2 per cent. It reached$1.6015, the highest level sinceOct. 15. It fell earlier as muchas 0.4 per cent to $1.5878.

The pound strengthenedagainst 15 of its 16 most-actively traded peers last weekafter data released by theOffice for National Statisticson Oct. 26 showed Britain'seconomy grew twice as fast asforecast in the second quarter.Gross domestic product rose0.8 per cent after climbing 1.2per cent in the previous threemonths.

Morgan Stanley analystsadvised investors to buythe pound against the yen.The pound traded at 128.86yen, from 129.20 in NewYork. -Agencies

Spec’s cutbets againstUSD: CFTC

NEW YORK: Currency specu-lators reduced bets against the USdollar for a third straight week inthe latest week, data from theCommodity Futures TradingCommission showed on Friday.

The value of the dollar's netshort position fell slightly, to$23.1 billion in the week endedOct. 26, from a net short of$25.8 billion the previousweek, according to Reuters andCFTC calculations.

The IMM data also showedspeculators sharply reducedbets in favor of the Canadiandollar in the latest week to19,875 contracts from 30,740contracts. They also slightlytrimmed bets in favor of theyen, euro, sterling andAustralian dollar.-Reuters

IMF increases gold sales in September from August level

Disclaimer:All reports and recommendations have been prepared for your information

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information should only be used by investors who are aware of the risk inher-

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use of these reports and recommendations.

Obama toindorseIndia

Many self-proclaimed gurus of internationalrelations are trying to mislead the governmentof Pakistan by saying the US President BarackObama is not going to say anything to offendPakistan during his visit to Pakistan becausePakistan is its frontline ally in war on terror. Onthe contrary certain experts don't rule out state-ments, similar to those of British prime minis-ter. They draw this impression from Obama'sdecision to stay at Mumbai's Taj Hotel.

Obama is likely to make a statement on waron terror from the hotel and also to say a fewthings certainly to please India. Obama can'tafford to offend his host, particularly at a timehis country is busy negotiating $10.5 billiondefence contracts. Some experts say Obamacan go to any extent to please India but wouldbe a little cautious in his expressions that couldannoy Pakistan, risking loss of support inAfghan war.

One of the top items on the Indian govern-ment agenda is seeking US support for theUNSC membership and in return may agree toresume India-Pakistan talks on the longstand-ing dispute, Kashmir. However, this will not besomething new, India has been participating indiscussions but Hindu extremist groups' stance"another division of India on the basis of reli-gion will not be allowed" mars all delibera-tions. It is the most appropriate time for theseelements to pressurise the US administration,which they will.

While Pakistan is making the best diplomaticeffort to get a favorable statement from Obamaon Kashmir issue, this may be termed hopingagainst the hopes. At the best, in one of theclosed-door meetings the issue may pop up butin all the probability Obama is likely to askPakistan to take action against leaders of thebanned outfit Lashkar-e-Taiba to please India.

Abdul Basit, foreign office spokesman hasrecently commented on Obama`s visit, "We donot have any concern. Frankly speaking, theUS President`s visit should help promote sta-bility and peace in South Asia. This is what weare expecting because the US is the majorpower and it has influence across the world".However, some experts term the views 'wishfulthinking'. They strongly believe that the US hashistorically given India preference overPakistan. India is its major trading partner andPakistan is fighting a proxy war in Afghanistan,where the US is trying to make some amicableagreement with Taliban and create a difficultsituation for Pakistan.

Let it be made very clear to all that Indiaalways succeeds in getting anything and every-thing from the US because it has proved to bethe largest democracy & a budding economy aswell as a regional superpower and above all itoffers enormous economic benefits for the solesurviving super power. As against this,Pakistani politicians are bent upon provingtheir own country as the most corrupt andfailed state. What do they think? Would anyonelike to come on board a sinking ship?

4Monday, November 1, 2010

Publisher & Editor-in-Chief: Amir A. Ashary

Editor: Shakil H. Jafri

Executive Editor: Manzar Naqvi

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Muhammad Arif

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The Financial Daily InternationalVol 4, Issue 86

Tony Hsieh and SanjayMadan wrote the programto create LinkExchange

over a weekend. Before the fol-lowing weekend, they had morethan a dozen websites participat-ing in their ad-sharing network.Over the next several weeks theyworked frantically on the proj-ect. They refined their businessin real time, learning-quickly!-from their mistakes. Less than ayear later, the Harvard gradswere offered $1 million (US) forthe company. Less than a yearafter that, they sold it for $265million.

That was 1996. Since then,this story of development on therun has become commonplace.Hacker culture is now part ofthe broader culture: "beta test"is in the dictionary, and weaccept innovative, albeit imper-fect, beta releases even frommultibillion-dollar global behe-moths such as Google. We'reprepared to accept flawsbecause the tech revolution isprogressing so quickly that it isusually better to be fast, andpossibly wrong, than to try to beperfect and end up being slow.By the time your flawless prod-uct is released, it will likely beobsolete.

Technologists aren't the onlypeople operating in a rapidlychanging, uncertain environ-ment. Thanks both to the techrevolution and to globalisation,that is true of all of us, includ-

ing our governments. But, asNobel-Prize winning economistMichael Spence argued at a pri-vate equity conference inQuebec City this week, emerg-ing-market governments seemto be better at dealing with anunpredictable, volatile worldthan Western ones. They are

like Silicon Valley entrepre-neurs-willing to act swiftly,even if it means making mis-takes. Leaders in the West aremore like Detroit, reluctant tomake bold moves until it is toolate.

Part of the problem is the waywe judge various types of mis-takes. Spence argues that we

make two types of mistakes-implementing a bad idea, andfailing to act on a good one. Ifyou are religiously minded, youcould think of these as sins ofcommission and sins of omis-sion. In stable times, sins ofcommission are probablyworse. If your industry isn't

changing very much or if yourcountry's economy and theworld economy are on an evenkeel, launching an expensivenew product or governmentprogram that fails is probablymore damaging than missingout on a great opportunity.

But in times of radicalchange, making a mistake is

less risky than doing nothing atall. Spence thinks that emerg-ing-market leaders understandthis better than Western onesdo, and he cited the examples ofChina's fast and big stimulusprogram after the financial cri-sis and the Indian government'swillingness to act to burst asset

bubbles.The effective-

ness of China'sg o v e r n m e n t -especially incontrast with theparalysis ofsome Westernnations-is oftenunderstood asevidence of thegreater agilityand decisivenessof authoritarianstates. Spence'sanalysis suggestsanother phenom-enon could be atwork. Emerging-market leaders-both the democ-rats and the dic-tators-are more

accustomed than their Westerncounterparts to fast and disrup-tive change: They've experi-enced revolution, hyperinfla-tion and devaluation. That maygive them an edge in today'svolatile global economy.

Speaking at the same confer-ence, Glenn Hutchins, co-founder and co-CEO of private

equity firm Silver Lake in NewYork, said that in the corporateworld the heat is shifting fromWestern companies to ones inthe emerging markets. In thepast, he said, developedWestern economies were "thebest crucible" for coming upwith the most appealing inven-tions and the most effectivebusiness practices that werethen exported to the rest of theworld. But Hutchins, arguedthat emerging markets, withtheir rapid growth and demand-ing, low-income consumers,were turning out to be atougher-and therefore better-hothouse for pace-setting com-panies than the West.

"It used to be that to be aglobal company you had toforge your business model inthe crucible of competition inNorth America," Hutchins said."Today what you are seeing iscompanies that are growing up… whose business models arebeing forged in the crucible ofcompetition in the emergingmarkets."

American financiers haven'tbeen getting a lot of praise late-ly for their skill at capital allo-cation. But the speed withwhich the smartest investors,such as Hutchins, have graspedthe shift of ideas to the emerg-ing markets is impressive.Western politicians could doworse than to follow theirexample.-Reuters

Why Emerging MarketCountries Have an Edge

Less than a kilometer from thesprawling residential complex ofPrime Minister Syed Yousuf Raza

Gilani, villagers have to scrabble forfirewood in the dirt if they want acooked meal.

Noor Pur Shahan is typical of manyvillages in the country, where suppliesof cooking gas, clean water, electricity,classrooms, and also hope for the future,are hard to come by.

Improving government services formillions of increasingly frustrated coun-trymen is critical for bringing economicand political stability to a country theUnited States sees as an indispensableally in its global war on militancy.

Many say the current system of gover-nance only benefits political elite andthe wealthy. And it's one that drives dis-affected young men to join Muslim mil-itant groups violently opposed to thegovernment, analysts say.

The administration of President AsifAli Zardari, like many before it, isaccused of being too corrupt and ineptto ease widespread hardship. It deniesthe allegations.

But in Noor Pur Shahan, where goatsroam on winding roads beneath lushmountains about 8 km northeast of thecapital, these denials ring hollow.

"The government only looks after therich people," said Mohammad Aleem,an elderly man with a long white beard,as he clutched his cane.

Conditions are unlikely to improveanytime soon. The cash-strapped gov-ernment slashed development spendingafter summer floods caused nearly $10billion in damages.

Securing reconstruction funds may

not be possible unless government per-suades Western donors spending will betransparent and accounted for.

The International Monetary Fund,which has kept the economy afloat since2008, wants Pakistan to implementpolitically sensitive economic reformssuch as imposing new taxes and elimi-nating electricity subsidies.

WHERE IS THE AID?Washington has pumped billions of

dollars into Pakistan since the countryjoined the US war on militancy after theSeptember 11 attacks on the UnitedStates.

Little seems to have trickled down tothe poor.

In the center of Noor Pur Shahan is awater purification plant inaugurated in1963 by former military leader AyubKhan. The water largely flows to gov-

ernment offices in Islamabad. Thatmeans most residents are deprived ofclean supplies.

Mukhtiar Hussain, a worker at theplant for 32 years, says villagers breakpipes to steal water for their homes."Things have gone from bad to worse,"he said.

A spokesman for the CapitalDevelopment Authority (CDA) said thegovernment was working on an urbandevelopment programme to relocatepeople from places like Noor PurShahan so they can get better services.

Critics accuse the government of

neglecting education as well, and warnthat social ills will deepen.

At Noor Pur Shahan's state-fundedboys secondary school, over 1,000 stu-dents are taught in 12 classrooms.

"There are only 20 computers and oneteacher for computer studies," said prin-cipal Iqbal Khan Niazi. The facility hasnot had clean water for three years.There are no playgrounds.

Umair Akhtar, 18, a villager, believesthe army, which has ruled Pakistan formore than half of its history, would do abetter job running nuclear-armedPakistan than civilian governments,even though that would hurt the coun-try's democratic credentials.

He applied for a job in the CDA butsays he has "no money to bribe people."

Government may be too preoccupiedwith a host of problems to notice theplight of people like him.

It faces stubborn Taliban insurgentswho continue to carry out bombingsdespite army offensives, a possibleshowdown with the powerful SupremeCourt, and relentless US pressure tohelp stabilise war-ravaged Afghanistan.

For some countrymen, God alone isthe answer.

"We want to instil the fear of God inthe students and want then to follow thelife of the holy Prophet Mohammad.That is the answer to all problems," saidNiazi, the village's school principal.-Reuters

Forgotten for Good?

Are economists the world overusing an outdated tool tomeasure economic progress?

The question, long debated, isworth pondering again at a timewhen two economic giants, theUnited States and China, are sparringover trade, currency exchange ratesand their roles in the global econo-my.

In the run-up to US mid-term elec-tions on November 2, politiciansfrom both parties, for different rea-sons, blamed trade with China forAmerican job losses. China respond-ed with irritation and hit back byaccusing the US of "out of control"printing of dollars tantamount to anattack on China with imported infla-tion.

Measured by Gross DomesticProduct (GDP), the United Statestops the list of countries. China over-took Japan in August to becomenumber two. Depending on whoseforecasts you believe, China willovertake the United States in 2020,2035 or 2040 and therefore turn the21st century into the long-predictedChinese Century. It's becoming con-ventional wisdom that the UnitedStates will play a reduced role on theworld stage.

Crystal ball gazers might do well toremember that long-range forecastshave often been wrong in the past. Atthe turn of the 20th century, eminentstrategists predicted that Argentina

would be a world power within 20years. In the late 1980s, Japan wasseen as the next economic leader, onthe strength of supposedly unstop-pable progress. Forecasters extrapo-lated from past GDP growth rates.

They are widely used to comparestandards of living in one countrywith those in another but critics sayGDP is too narrow to be a realisticindicator. Joseph Stiglitz, the Nobel-prize winning American economist,has complained that world leaders

make a fetish out of it and sufferfrom GDP-obsession.

John Robbins, a liberal author, saysthat using GDP as a measure of over-all progress makes as much sense as"using a fork to eat soup."

Why? GDP, developed in the1930s, measures the total monetaryvalue of all goods and services. Itgoes up whenever money changeshands, no matter whether that moneyis borrowed or on what it is spent.

The billions it cost to clean up theGulf of Mexico after this summer'sdisastrous oil spill, for example,counted towards America's GDP.

Viewed solely through its lens,Robbins says, someone treated for acomplicated cancer while at the sametime paying steep legal fees for adivorce is someone helping makeGDP look good.

US, CHINA LOW ON HUMAN

DEVELOPMENT INDEX

Where GDP fails is as a measure of

living standards, particularly in acountry like China which is both amanufacturing powerhouse and aThird World country where morethan a third of its vast (1.3 billion)population live on less than $2 a day.GDP per capita is not a particularlyreliable indicator either. It measuresthe average (not the median) whichresults in distorted figures in coun-tries with great income inequality.

The Nobel-prize winning American

economist who designed the gauge inthe 1930s, Simon Kuznets, did notmean it to be an indicator of anation's overall well-being but that'show it came to be seen widely.According to Stiglitz, this tends toland politicians in a dilemma. Theirgoal is to boost GDP but they alsoface demands from citizens for poli-cies that lower GDP, from bettersecurity to anti-pollution measures.

Stiglitz chaired a commission,established by French PresidentSarkozy in 2008, that looked intodifferent ways of measuring prosper-ity and produced a 300-page reportlast year that came up with a range ofrecommendations to measure bothwell-being and economic output.(The commission did not suggestdropping GDP). When, if and howwidely they will be implemented isopen to question.

In the meantime, those dissatisfiedwith GDP as the principal measurecan compare its country rankingswith the Human Development Index,a gauge that was adopted in 1990 bythe United Nations and is compiledfrom data on life expectancy, educa-tion and GDP per person. On the2009 index (this year's will bereleased early in November) neitherthe US nor China fare well.

The US comes in 13th place (hav-ing dropped a slot from 2008) andChina at 92nd, out of 182. A longway from the top.-Reuters

Eating Soup with a Fork

The question, long debated, isworth pondering again at a time

when two economic giants, the UnitedStates and China, are sparring over trade,

currency exchange rates and their rolesin the global economy.

“

Nobel-Prize winning economist MichaelSpence argued at a private equity confer-

ence in Quebec City this week, emerg-ing-market governments seem to be bet-

ter at dealing with an unpredictable,volatile world than Western ones. Theyare like Silicon Valley entrepreneurs-willing to act swiftly, even if it means

making mistakes. Leaders in the West aremore like Detroit, reluctant to make bold

moves until it is too late

Improving government servicesfor millions of increasingly

frustrated countrymen is criticalfor bringing economic and

political stability to a country theUnited States sees as an indispensable

ally in its global war on militancy.

“

FERTILISER000 tonnesUrea Offtake (Jan to July 10) 3,565Urea Offtake (July 10) 580Urea Price (Rs/50 kg) 879DAP Offtake (Jan to July 09) 374DAP Offtake (July 10) 49DAP Price (Rs/50 kg) 2,626

AUTOMOBILE ASSEMBLERPAK SUZUKI MOTORUnitsProduction (July 09 to June 10) 71,998

Sales (July 09 to June 10) 73,993

Production (July 10) 7,509

Sales (July 10) 4,503

INDUS MOTOR COProduction (July 09 to June 10) 50,557




HONDA ATLAS CARProduction (July 09 to June 10) 13,500




DEWAN FAROOQ MOTORSProduction (July 09 to June 10)1,218


Production (July 10) 41

Sales (July 10) 40

BANKING SECTORScheduled bank (Rs in mn)Deposit (August 20,10) 4,595,176

Advances (August 20,10) 3,304,533

Investments (August 20,10) 1,788,671

Spread (July 2010) 7.51%

OIL MARKETING CO(000 tons)MS (Jul 09 to June 10) 1,933

MS (July 10) 188

Kerosene (Jul 09 to June 10) 164

Kerosene (July 10) 15

JP (Jul 09 to June 10) 1,377

JP (July 10) 129

HSD (Jul 09 to June 10) 7,435

HSD (July 10) 664

LDO (Jul 09 to June 10) 75

LDO (July 10) 7

Fuel Oil (Jul 09 to June 10) 9,259

Fuel Oil (July 10) 869

Others (Jul 09 to June 10) 13

Others (July 10) 1

PRICES (Ex-Refinery) RsMS (1 Sep 10) 40.85

MS (1 Aug 10) 41.22

MS % Chg -0.90%

Kerosene (1 Sep 10) 47.14

Kerosene (1 Aug 10) 46.55

Kerosene % Chg 1.27%

JP-1 (1 Sep 10) 47.37

JP-1 (1 Aug 10) 46.78

JP-1 % Chg 1.26%

HSD (1 Sep 10) 50.61

HSD (1 Aug 10) 49.63

HSD % Chg 1.97%

LDO (1 Sep 10) 46.37

LDO (1 Aug 10) 45.29

LDO % Chg 2.38%

Fuel Oil (1 Sep 10) 39,932

Fuel Oil (1 Aug 10) 39,723

Sector Updates

Symbol Close Vol (mn)LOTPTA 10.28 65.77NBP 64.61 47.43JSCL 9.88 30.36ANL 10.85 27.05AMTEX 6.27 21.18

Symbol Close ChangeRMPL 1681.06 131.06ULEVER 4088.67 88.65FZTM 453.50 76.62BATA 587.15 72.20COLG 852.33 69.88

Symbol Close ChangeSRVI 207.95 -23.62ATLH 103.83 -17.14LAKST 327.05 -15.48EFUL 67.68 -10.45SCL 47.46 -8.74

Plus 198Minus 209Unchanged 17

Top 5 Volume Leaders

Major Losers

Major Gainers

KSE-100 Index

LSE-25 Index

ISE-10 Index

Active Issues

Monday, November 1, 2010 5

Dhiyan

Technical correction would continue in the next few sessions where indexcan come down to 10,450-10,480 points. Thereafter, we would see therevival of bullish spell which can lead the index to 11,500 points by the endof December. Recently announced good corporate results and successfulPak-US strategic dialogue had a positive impact on the market while launchof Margin Trading System (MTS) and improvement in the political situationwould also act as triggers. Investors can take positions in E&P, fertiliser,cement, and banking sector stocks. Market would remain negative today.

Tariq Hussain Khan, Head of Portfolio Management United Capital Securities

Salman Naqvi, Head of Sales Aba Ali Habib SecuritiesThe correction would persist weighing the index down to 10,500 points whichis a strong support level. Market would rebound from that level where investorscan take positions in fundamentally strong stocks like LUCK, NML, FFBL,and POL. Successful outcome of the meeting with International MonetaryFund (IMF), launch of MTS, favorable political and law & order circumstancesand no change in the interest rate can support the market. Market would opennegative today, however, we may see some improved performance during thelater half.

RED DAY, GREEN HOURS LIKELY

Opening 10652.48Closing 10598.40Change 54.08% Change 0.51Turnover (mn) 664.76



HONG KONG: AIA Executive Director and Group CEO Mark Tucker (C) speaks during the tradingdebut of AIA at the Hong Kong Stock Exchange.-Reuters

Weekly Review

NEW YORK: The wait isalmost over. After a two-monthrally in the stock market, someinvestors are about to see if theyget what they wished for: moreRepublicans in Congress andlots of cheap money.

The US stock market has pricedin the Republicans gainingground in Tuesday's midtermelections, an outcome widely seenas more business-friendly, as wellas the Federal Reserve pumpingbillions into the economy throughTreasury debt purchases. TheFed's statement on Wednesdayafternoon at the end of its two-daypolicy meeting is widely antici-pated for details of the centralbank's economic stimulus plan.

Jobs will be a touchstone, withthe high US unemployment ratefiguring into the campaign rhet-oric of Democrats andRepublicans alike in themidterm elections. The federalgovernment's non-farm payrollsreport, due on Friday, is expect-ed to show a gain of 60,000 jobsin October, compared withSeptember's loss of 95,000 jobs,according to economists polledby Reuters. The US unemploy-ment rate, however, is seen hold-ing steady at 9.6 per cent.

More earnings from S&P 500companies and a steady streamof top-tier economic indicatorswill give investors more evi-dence of the economy's healththroughout the week.

A series of foreign central bankmeetings also is on tap. But thesenumbers will serve mostly asbackdrop to the outcome of theelections and the Fed meeting.

With so many variables this,Wall Street professionals areunusually reticent to call the mar-ket, Only one thing seems for sure:Volatility will play a major role.

Traders expect the week to endwith a swing of around 2.5 percent in either direction, based onoptions activity in the SPDRS&P 500 fund. While that is notout of the ordinary, traders couldsee significant volatility duringthe week as events unfold.

"It will probably be a veryvolatile and very active marketbecause there are a lot of movingparts," said John Praveen, chiefinvestment strategist of PrudentialInternational Investments AdvisersLLC in Newark, New Jersey.

If there are fireworks, theywill probably come after theFed's two-day meeting. OnWednesday, the meeting willconclude with a statement. Thatcould create a dead period formarkets at the start of the week,especially if the elections' resultsare in line with predictions.

Expectations of the size of theFed's purchases of US govern-ment bonds have been comingdown in recent days. That haskept the stock market locked in atight range, but it has also openedthe door for upside surprises.

"Two weeks ago, the Fed wasdefinitely poised to disappoint themarket," said Burt White, manag-ing director and chief investmentofficer of LPL Financial inBoston. "Now, it's much morebalanced, and maybe even lean-ing toward a slight surprise."

Most leading economistsexpect the Fed to buy between$80 billion and $100 billionworth of assets per month,according to a recent Reuterspoll of primary US Treasurydealers. Estimates for how muchthe Fed will eventually spendvaried widely, from $250 billionto as high as $2 trillion.

The Bank of Japan has movedits policy meeting forward to the

end of the week, right after theFed's meeting. Investors suspectthe Japanese central bank --whose board members will meeton Thursday and Friday -- mayrespond by stepping up its bondpurchases in reaction to the Fed.

The Bank of England and theEuropean Central Bank are also setto hold policy meetings during theweek.Among the readings on theUS economy expected during theweek, Wall Street will watch tworeports from the Institute for SupplyManagement. The ISM index onUS manufacturing for October, dueon Monday, is forecast to dip to54.0 from September's reading of54.4, the Reuters poll showed. TheISM services- sector index forOctober, due on Wednesday, is seenedging up to 53.5 from September'sreading of 53.2.

InTrade traders are pricing in a45 per cent chance thatRepublicans will win more than60 seats in the 435-seat House --they need to gain 39 seats to con-trol the chamber -- and a 55.5 percent chance that they will takethe Senate. Wayne Kaufman,chief market analyst of JohnThomas Financial in New York,said his firm is betting stockprices will rise near-term as earn-ings beat estimates. But his firmwill view any sharp pullbacks instocks as a buying opportunity.

"We are long the market," hesaid. "We are watching to see ifwe are going to have signs ofdistribution, but we are notgoing to forecast that happening.We will be in a reactive mode,we will respond to what we see."

The CBOE Volatility Index, orVIX, is still relatively low, but it hasbeen picking up steam in the last sev-eral days. The index, a popular gaugeof investor anxiety, rose 1.5 per centon Friday to close at 21.20. -Reuters

Stocks’ week ofreckoning arrives

Wall Street weekly outlook

Nawaz Ali

KARACHI: Some limitedbearish activities wereobserved at the Karachi StockExchange (KSE) last weekowing to post-result-announce-ment profit-selling.

The benchmark KSE 100-Index lost 54 points to close at10,598 points while KSE 30-Index fell by 95 points to closeat 10,154 points and KSE AllShare Index was also down by32 points to close at 7,382points.

Sana Hanif, analyst at JSGlobal Capital commenting onthe market said the outgoingweek was busy in terms of cor-porate results as majority of theheavy weights announced theirearnings. Despite improvedinvestor interest index closedtad red as they chose to bookprofits, she added.

Index touched a highest and alowest level of 10,772 pointsand 10,569 points respectivelyduring the week.

Investor participationremained impressive through-out the week as around 665million shares traded in theoverall market which is 57 mil-lion more as compared to aturnover of 608 million a weekearlier.

Market started the week on abullish note with index closingat its highest level of 26 monthsabove 10,700 points onMonday over buying in antici-pation of better corporateresults and on the news thatUnited States has approved$7.5 billion for the uplift anddevelopment of 13 sector ofPakistan.

However, after the companiesannounced their corporateresults for the quarter endedSept 30, investors preferred tobook profits thus market wasmainly in the grip of bears dur-ing three days out of theremaining four.

Many major companiesannounced their corporateresults during the week follow-

ing which investors preferred tooffload their positions whilesome lower than expected cor-porate results like that of NBPdid affect investor sentiments.However, OGDC, Kapco,NML, NCL, MCB and NPLannounced higher than expect-ed result. Other important com-panies that declared theirresults include UBL, HBL,FFBL, BAFL, and DGKCwhich were in line with marketexpectations.

Along with corporate results,both positive and negative newsfrom the economic side did havetheir impact on the market. Onone hand there were concernsregarding economic growthmainly due to recent regionaleconomic outlook report byIMF and upward revision inflood damages by WB and ADBwhile on the other the newsregarding coalition support fundboosted investor confidence.

Further, The SBP provided anassessment on Pakistan's eco-nomic performance in FY10 inits annual report, and projectedtargets for the next fiscal year.In the wake of flash floods, thecentral bank lowered its GDPgrowth rate estimate to 2-3 percent, increased CPI forecast to13.5-14.5 per cent, raised fiscaldeficit target to 5-6 per cent andlifted the current accountdeficit estimate to 3-4 per cent.

Investors were also cautiousas they were waiting for the out-come of the meetings betweenInternational Monetary Fund(IMF) and Pakistani officials inIslamabad to discuss the possi-ble release of the sixth trancheof an $11 billion emergencyloan agreed in November, 2008.It should be noted that the poli-cy level meeting will start today(Monday).

During the last week foreigninvestors turned net sellers aftera period of 21 weeks as accord-ing to NCCPL data they did anet selling of $2.8 million.

Out of total 424 active issues209 declined and 198 advancedwhile 17 kept status quo.

Bears’week in

at the KSE

Gulf stocks market

Mostlyfalls, led by Dubai

DUBAI: Dubai shares fellfrom a six-month high, lead-ing a decline in Middle Eastmarkets, on investor specula-tion that gains are overdonegiven prospects for profitgrowth.

Emaar Properties PJSC, thebuilder of the world's tallesttower, retreated 1.5 per cent,paring the gain for the monthto 3.2 per cent. Dubai IslamicBank PJSC fell for the fourthtime in five days. Dubai'sDFM General Index lost 0.7per cent to 1,764.54 at the 2p.m. close in the emirate.

The benchmark index hasgained 4.8 per cent this monthand closed at a more than six-month high on Oct. 28.

There is some "profit tak-ing" after shares reached asix- month high last session,Adnan Haider, head of fixedincome and equities at AbuDhabi Commercial Bank."Also, continued uncertaintyin global markets," is pushinglocal stocks lower.

The October gains left the32 companies in Dubai'sbenchmark index valued at14.7 times earnings. Thatcompares with 12.1 times forAbu Dhabi's benchmark indexand 11.8 times for the MSCIEmerging Markets Index.

Asian stocks fell for a sec-ond week on concern earningsgrowth will slow and possibleasset purchases by the FederalReserve may disappointinvestors. In Europe, stockshad the first weekly decline infour weeks.

Emaar retreated to 3.85dirhams. DIB, the biggestshariah- compliant lender inthe United Arab Emirates, lost1.6 per cent to 2.40 dirhams.The shares have gained 5.3per cent in October.

Abu Dhabi's ADX GeneralIndex and Kuwait's gaugeslipped less than 0.1 per cent.Oman's MSM30 Index fell0.4 per cent and Qatar's QEIndex lost 0.1 per cent.Bahrain's measure and SaudiArabia's Tadawul All ShareIndex were little changed.Egypt's EGX 30 dropped 0.2per cent. -Agencies

Asian stocks fall for 2nd wk ahead of Fed meeting

Tokyo bourse looking intoinsider trading complaints

Monday, November 1, 20106

Volume 664,762,830

Value 20,316,898,387

Trades 347,377

Advanced 198

Declined 209

Unchanged 17

Total 424

Current 7,382.41

High 7,503.80

Low 7,364.49

Change i32.19

Current 10,598.40

High 10,772.71

Low 10,569.12

Change i54.08

Current 10,154.91

High 10,372.42

Low 10,139.66

Change i95.17

Market KSE 100 Index All Share Index KSE 30 IndexSymbolsAlert ! Unusual Movements

Technical AnalysisFundamental Highlights

As on Dec 31, 2009

Azgard Nine Limited

ANL closed down -0.52 at 10.85. Volume was 49 per cent

below average and Bollinger Bands were 7 per cent narrower

than normal. The company's loss after taxation stood at

Rs173.754 million which translates into a Loss Per Share of

Rs0.41 for the half year of current calendar year (1HCY10).

ANL is currently 21.5 per cent below its 200-day moving aver-

age 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 ANL (bullish). Trend forecasting oscillators are cur-

rently bullish on ANL.

RSI (14-day) 52.95 Total Assets (Rs in mn) 38,525.22

MA (10-day) 10.98 Total Equity (Rs in mn) 18,469.71

MA (100-day) 10.81 Revenue (Rs in mn) 11,737.86

MA (200-day) 13.82 Interest Expense 2,424.42

1st Support 10.71 Profit after Taxation 60.53

2nd Support 10.51 EPS 09 (Rs) 0.003

1st Resistance 11.20 Book value / share (Rs) 37.85

2nd Resistance 11.49 PE 10 E (x) -

Pivot 11.00 PBV (x) 0.29


As on Jun 30, 2009

NCL closed up 0.11 at 20.89. Volume was 4 per cent below

average and Bollinger Bands were 115 per cent wider than

normal. The company's profit after taxation stood at Rs931.473

million which translates into an Earning Per Share of Rs7.89

for the year ended FY10.

NCL is currently 11.5 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 NCL (bullish). Trend forecasting oscillators are currently bull-

ish on NCL.








2nd Resistance 22.27 PE 10 E (x) 2.65

Pivot 21.20 PBV (x) 0.56

Nishat (Chunian) Limited


As on Dec 31, 2009

SILK closed down -0.26 at 2.64. Volume was 12 per cent

below average and Bollinger Bands were 22 per cent narrow-

er than normal. The company's profit after taxation stood at

Rs208.072 million which translates into an Earning Per Share

of Rs0.11 for the half year of current calendar year (1HCY10).

SILK is currently 17.6 per cent below its 200-day moving aver-

age and is displaying a downward 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 SILK at a relatively equal pace. Trend forecasting

oscillators are currently bearish on SILK.


MA (10-day) 2.80 Total Equity (Rs in mn) 196.91



1st Support 2.60 Loss after Taxation (2,902.91)

2nd Support 2.56 EPS 09 (Rs) (3.224)


2nd Resistance 2.74 PE 10 E (x) 12.00

Pivot 2.65 PBV (x) 12.07

Silkbank Limited


As on Jun 30, 2009

TRG closed down -0.34 at 4.01. Volume was 52 per cent below

average (consolidating) and Bollinger Bands were 54 per cent

narrower than normal. The company's loss after taxation stood

at Rs511.212 million which translates into a Loss Per Share of

Rs1.56 for the nine months of fiscal year (9MFY10).

TRG is currently 1.8 per cent below its 200-day moving aver-

age and is displaying a downward 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 TRG at a relatively equal pace. Trend forecasting

oscillators are currently bearish on TRG.



MA (100-day) 4.02 Revenue (Rs in mn) 28.92

MA (200-day) 4.10 Interest Expense 0.10




2nd Resistance 4.16 PE 10 E (x) -

Pivot 4.05 PBV (x) 0.62

TRG Pakistan Limited

OIL AND GAS

Performance of SR Oil and Gas Index

Open High Low Close Change % Change

1,348.22 1,370.72 1,338.32 1,348.15 -0.07 -0.01

Turnover Total cos Defaulter cos Listed cap Market cap 200-Day High

28,676,993 - - 65,194.15 mn 1,063,852.34 mn 1,358.03

P/E (x) P/BV (x) ROE (%) Payout (%) Div Yield (%) 200-Day Low

11.31 4.19 37.01 68.56 6.06 1,348.15

Attock PetroleumXDXB 691 4.58 296.07 303.05 296.00 297.47 1.40 1509469 374.20 287.99 250 - 300 20

Attock Refinery 853 18.25 99.54 103.39 97.50 100.36 0.82 10155342 103.39 73.47 - - - -

Mari Gas Company 735 16.12 125.94 128.90 118.51 118.96 -6.98 361615 135.84 106.00 32.17 100B 31 -

National Refinery XD 800 3.27 210.18 233.50 211.50 220.70 10.52 1925530 233.50 183.25 125 - 200 -

Oil & Gas Development 43009 10.42 153.16 156.00 151.00 153.94 0.78 3090947 156.00 133.00 82.5 - 55 -

Pak Petroleum 11950 7.60 189.15 192.90 186.00 186.85 -2.30 3477614 214.10 168.70 130 20B 90 20B

Pak Oilfields XD 2365 6.15 243.22 247.48 241.10 242.42 -0.80 6280043 251.24 213.17 180 - 255 -

Pak Refinery Limited 350 - 76.34 83.99 74.54 74.97 -1.37 197856 85.90 48.26 - - - -

PSO 1715 4.50 266.00 272.00 265.00 265.73 -0.27 1470993 286.99 233.10 50 - 80 -

Shell Gas LPG 226 - 38.37 40.28 32.74 32.86 -5.51 59099 40.28 27.32 - - - -

Shell Pakistan 685 9.37 188.49 192.00 182.05 182.62 -5.87 148485 237.55 182.05 330 - 40 -

Paid up Last 60 days 2009 2010

Company Cap(mn) PE Open High Low Close Chg Volume High Low Div BR Div BR

(%) (%) (%) (%)

PERSONAL GOODS

Performance of SR Personal Goods Index


936.51 966.45 930.07 948.47 11.97 1.28


97,833,477 - - 47,070.70 mn 121,749.63 mn 953.77


6.33 0.55 8.64 16.68 2.64 943.83

(Colony) Thal 56 - 0.70 1.90 0.52 1.04 0.34 129006 2.00 0.52 - - - -

Ali Asghar Textile 222 0.44 0.75 1.05 0.75 1.05 0.30 16956 2.21 0.70 - - - -

Amtex Limited XD 2415 14.25 7.49 7.95 6.27 6.27 -1.22 21178329 20.45 6.27 - - 30 -

Artistic Denim XD 840 5.03 19.51 20.50 19.60 20.00 0.49 37809 24.05 17.55 20 - 20 -

Azam Textile XD 133 0.49 2.86 3.45 2.20 2.70 -0.16 153677 3.45 1.35 - - 7.5 -

Azgard Nine 4493 271.25 11.37 12.32 10.80 10.85 -0.52 27047578 12.40 8.55 - - - -

Bannu Woolen XD 76 1.03 11.19 12.38 11.20 11.85 0.66 20948 14.00 7.50 - - 20 -

Bata (Pak) 76 4.87 514.95 624.00 525.00 587.15 72.20 56284 624.00 436.00 120 - - -

Bilal Fibres 141 0.42 0.76 2.00 0.71 1.57 0.81 128456 2.00 0.55 - - - -

Blessed Tex Mills 64 0.70 45.50 49.87 45.25 46.50 1.00 16193 52.05 40.80 7.5 - 50 -

Chenab Limited 1150 - 3.54 3.74 3.22 3.23 -0.31 116716 4.61 2.93 - - - -

Colgate Palm 316 31.99 782.45 868.00 743.33 852.33 69.88 12410 868.00 615.00 115 15B - -

Colony Mills Ltd 2442 2.64 3.12 3.20 2.81 2.85 -0.27 158559 3.89 2.23 - - - -

Crescent Jute 238 - 0.76 1.29 0.16 0.68 -0.08 106449 1.90 0.16 - - - -

D S Ind Ltd 600 - 1.71 2.24 1.70 2.09 0.38 2200164 2.49 1.44 - - - -

Dar-es-Salaam 80 - 3.00 4.50 3.00 3.50 0.50 30002 4.50 2.50 - - - -

Dewan Farooque Spin. 600 4.09 3.20 5.15 3.05 5.15 1.95 15192 5.15 2.05 - - - -

Din TextileXDXB 204 0.56 24.71 27.54 23.52 25.92 1.21 138408 30.90 20.80 - - 20 10B

Ellcot Spinning XD 110 0.63 19.40 21.13 18.40 20.65 1.25 14665 25.45 17.21 7.5 - 35 -

Gadoon Textile XD 234 0.51 39.00 46.76 39.49 46.76 7.76 157937 48.30 33.80 - - 70 -

Ghazi Fabrics XD 326 0.87 2.60 3.90 3.00 3.00 0.40 5211 5.00 1.11 - - 10 -

Gul Ahmed Textile XD 635 3.39 23.80 25.50 22.62 23.56 -0.24 73424 25.50 19.99 5 - 12.5 -

Gulistan Spinning XD 146 1.22 6.40 7.39 5.01 5.53 -0.87 6260 8.13 5.00 - 10B 10 -

Gulshan SpinningXDXB 222 1.34 9.70 10.30 6.75 7.39 -2.31 69668 10.30 5.31 - 10B 10 20B

Hira Textile Mills Ltd. XD 716 0.73 4.79 4.85 3.70 3.87 -0.92 1802705 4.88 2.52 - - 10 -

Ibrahim Fibres XD 3105 3.02 36.68 38.92 35.50 38.40 1.72 184531 39.00 34.05 - - 20 -

Ideal Spinning 99 0.29 3.25 4.00 3.10 3.45 0.20 8011 4.79 2.02 - - - -

Idrees Textile XD 180 3.59 4.14 3.70 2.60 3.30 -0.84 13813 5.35 2.56 - - 10 -

Indus Dyeing XD 181 2.25 223.99 269.45 220.70 251.62 27.63 37205 269.50 206.11 15 - - -

Int Knitwear 32 5.77 9.50 10.99 9.50 10.90 1.40 10185 10.99 7.50 - - 6 -

J K Spinning 179 0.95 6.09 7.50 5.75 6.25 0.16 11083 10.30 5.12 - - 20 5B

Kohinoor Ind 303 - 1.57 1.69 1.40 1.49 -0.08 65942 1.95 1.01 - - - -

Kohinoor Spinning XD 1300 1.08 1.19 1.45 0.95 1.19 0.00 35595 2.00 0.56 - - 5 -

Kohinoor Textile 1455 3.79 5.40 5.95 5.20 5.31 -0.09 148034 6.30 4.00 - - - -

Leather Up 60 2.07 1.50 1.94 1.10 1.74 0.24 12401 2.50 1.10 - - - -

Mehmood Textile XD 150 0.74 55.10 60.00 55.00 60.00 4.90 5312 74.50 55.00 4050.2257B 60 -

Mian Textile 221 - 0.45 0.70 0.43 0.59 0.14 10425 0.98 0.01 - - - -

Mukhtar Textile 145 - 0.49 0.70 0.20 0.55 0.06 22492 0.99 0.20 - - - -

Nagina Cotton 187 0.77 15.49 15.80 13.96 15.00 -0.49 24593 17.50 12.00 - - 20SD -

Nishat (Chunian) XD 1586 1.74 20.78 23.55 20.80 20.89 0.11 18729020 23.55 14.64 - 50R 15 -

Nishat Mills XD 3516 4.44 51.71 54.27 51.50 51.71 0.00 19627793 54.27 40.81 20 - 25 45R

Pak Synthetic 560 2.06 6.14 7.25 6.00 6.11 -0.03 78164 7.90 5.16 12.5 - - -

Paramount Spinning 174 1.21 10.25 11.25 8.00 8.26 -1.99 64500 11.25 6.00 - 10B 10 10B

Premium Textile XD 62 0.47 26.94 31.03 26.80 29.84 2.90 114854 31.03 25.71 7.5 - 50 -

Prosperity XD 185 1.09 12.52 14.88 12.90 14.30 1.78 11131 21.47 12.51 20 - 30 -

Ravi Textile 250 4.54 1.85 1.89 1.66 1.77 -0.08 450893 4.05 1.38 - - - -

Reliance Weaving 308 0.67 9.49 10.50 9.00 9.63 0.14 128429 12.00 6.91 - - 25SD -

Rupali Poly XD 341 4.27 33.50 36.00 32.32 34.00 0.50 7904 36.75 31.35 40 - 40 -

Saif Textile 264 0.46 3.94 6.20 3.57 5.78 1.84 233393 6.20 2.01 - - - -

Sally Textile XD 88 0.22 5.12 5.75 4.00 4.50 -0.62 92677 6.20 2.74 - - 10 -

Samin Textile XR 134 - 6.03 6.80 5.75 6.35 0.32 62631 8.69 5.02 - - - 100R

Sana Ind XD 55 2.36 30.00 32.88 30.00 31.04 1.04 11192 38.40 27.50 35 - 60 -

Sargoda Spinning XD 312 0.43 1.81 2.50 1.50 2.24 0.43 8838 2.50 0.31 - - 5 -

Saritow Spinning 133 0.64 1.50 2.84 1.90 2.32 0.82 9601 2.99 1.01 - - - -

Service Ind 120 7.12 231.57 255.29 207.95 207.95-23.62 90869 255.29 176.00 200 - - -

Shahpur Textile 140 0.96 0.70 1.00 0.18 0.69 -0.01 38190 1.90 0.18 - - - -

Shahtaj Textile XD 97 0.83 16.41 17.90 15.61 17.16 0.75 18265 21.90 14.75 20 - 45 -

Suraj Cotton XD 180 1.14 30.00 31.90 29.00 31.85 1.85 24809 37.50 29.00 15 - 50 -

Taj Textile 334 - 0.59 0.60 0.25 0.43 -0.16 6000 0.80 0.25 - - - -

Tata Textile XD 173 0.19 19.67 20.25 18.50 20.00 0.33 465999 21.42 14.00 - - 25 -

Thal LimitedXDXB 307 3.91 91.12 94.40 86.50 91.40 0.28 628073 112.80 86.50 20 20B 80 20B

Treet Corp 418 7.08 47.30 52.14 44.28 44.45 -2.85 2114693 52.14 37.20 - - - -

Tri-Star Poly 215 - 0.53 1.02 0.56 1.02 0.49 5300 1.02 0.26 4 - - -

Yousuf Weaving 400 7.35 1.10 1.30 1.00 1.25 0.15 50615 1.89 0.73 - - - -

Zephyr Textile Ltd 594 5.66 3.40 4.90 3.00 4.30 0.90 366378 4.90 1.50 - - - -



(%) (%) (%) (%)

HOUSEHOLD GOODS

Performance of SR Household Goods Index


1,152.43 1,176.96 1,122.87 1,127.88 -24.55 -2.13


4,444,151 - - 3,763.71 mn 5,362.92 mn 1,163.87


2.87 0.30 10.64 6.27 2.19 1,127.88

Pak Elektron 1174 3.45 14.41 15.09 13.56 13.70 -0.71 4187114 15.44 12.17 - 10B - 10B

Singer Pak 341 17.00 17.15 19.76 17.40 18.02 0.87 9074 24.14 16.51 - 10B - -

Tariq Glass Ind 231 2.11 17.08 18.20 16.62 17.66 0.58 241967 19.10 14.50 - - 17.5 -



(%) (%) (%) (%)

FOOD PRODUCERS

Performance of SR Food Producers Index


1,482.95 1,531.75 1,461.95 1,514.83 31.88 2.15


870,715 - - 11,335.33 mn 195,402.36 mn 1,514.83


32.07 9.72 30.30 30.57 0.95 1,493.10

AL-Noor Sugar 186 4.36 42.00 43.01 41.30 42.94 0.94 63808 45.99 39.25 40 - - -

Chashma Sugar 287 0.76 9.07 9.90 8.50 9.45 0.38 53374 11.40 8.00 - - - -

Habib Sugar 600 6.08 30.00 30.74 29.00 29.50 -0.50 348191 32.25 25.00 35 25B - -

Habib-ADM Ltd 200 11.57 12.13 12.70 12.12 12.50 0.37 15330 16.98 11.90 40 - 40 -

J D WSugar 490 2.59 74.43 80.80 75.00 77.44 3.01 42445 80.80 60.10 40 - 0 12.5R

Mehran Sugar 143 3.29 57.00 59.25 55.95 58.75 1.75 21616 59.25 48.50 35 30B 25 10B

Mirpurkhas Sugar 70 6.01 57.00 60.99 57.00 57.12 0.12 7361 65.00 54.50 25 10B - -

Mirza Sugar 141 0.34 5.19 5.50 4.70 5.45 0.26 21790 5.70 3.55 - - - -

National Foods XD 414 15.74 42.51 43.98 42.00 42.18 -0.33 24773 65.29 39.01 - 25B 12 -

Pangrio Sugar 109 0.41 5.01 5.99 5.00 5.01 0.00 5976 6.35 4.00 - - - -

Quice Food 107 - 2.35 2.30 2.11 2.16 -0.19 39500 3.40 1.60 - - - -

S S Oil 57 1.30 3.00 3.01 3.00 3.01 0.01 42500 3.50 2.51 - - - -

Shahmurad Sugar 211 16.30 11.40 11.50 11.20 11.25 -0.15 16320 11.90 7.70 15 - - -

Shakarganj Mills 695 - 5.33 6.09 4.50 4.51 -0.82 56041 6.40 3.02 - - - -

Tandlianwala 1177 290.91 29.00 32.72 29.10 32.00 3.00 31874 35.50 24.05 - - - -

Wazir Ali 80 - 5.40 7.86 5.25 7.86 2.46 5645 8.74 4.75 - - - -



(%) (%) (%) (%)

AUTOMOBILE AND PARTS

Performance of SR Automobile and Parts Index


1,123.44 1,141.28 1,091.15 1,098.43 -25.01 -2.23


2,067,409 - - 6,768.53 mn 39,805.39 mn 1,118.41


3.87 0.98 25.35 20.42 5.28 1,098.43

Agriautos Ind XD 144 5.11 68.00 69.50 67.00 67.50 -0.50 23559 76.98 63.01 40 - 90 -

Atlas Battery 101 4.66 153.69 166.69 151.50 155.91 2.22 114323 201.70 131.00 100 20B 100 20B

Atlas Honda 626 7.23 120.97 121.90 102.70 103.83 -17.14 9773 122.51 92.00 80 30B - -

Dewan Motors 890 - 1.48 1.65 1.21 1.50 0.02 1175022 2.09 1.16 - - - -

General Tyre 598 18.89 25.24 24.41 21.70 21.91 -3.33 25709 26.70 21.70 - - 20 -

Ghandhara Nissan 450 3.25 4.53 5.23 4.12 4.68 0.15 390682 6.10 4.03 - - - -

Ghani Automobile Ind 200 7.73 4.05 5.00 4.25 4.95 0.90 14325 5.55 3.55 - - - -

Honda Atlas Cars 1428 - 12.17 12.20 11.31 11.55 -0.62 49959 13.22 9.65 - - - -

Indus Motors 786 5.30 233.78 238.68 230.01 232.00 -1.78 196430 278.99 212.29 100 - 150 -

Pak Suzuki 823 11.64 75.90 77.00 73.08 73.09 -2.81 53332 89.99 69.25 5 - - -

Sazgar EngineeringXDXB 150 3.82 21.04 21.99 19.94 20.50 -0.54 6278 27.58 19.50 - 20B 10 20B

Transmission 117 2.00 1.80 2.88 1.70 2.00 0.20 5597 3.25 1.53 2 - - -



(%) (%) (%) (%)

INDUSTRIAL ENGINEERING

Performance of SR Industrial Engineering Index


1,531.96 1,583.32 1,508.57 1,518.43 -13.53 -0.88


1,435,424 - - 1,336.62 mn 31,536.37 mn 1,557.72


8.04 3.06 38.02 131.49 16.36 1,518.43

Ados Pak 66 1.08 16.40 16.90 15.02 16.76 0.36 21358 21.96 14.62 20 - - -

AL-Ghazi Tractor 215 4.85 205.67 209.50 200.00 202.33 -3.34 43103 227.45 200.00 400 - 150 -

Bolan CastingXDXB 104 - 48.75 48.00 44.15 45.54 -3.21 13101 51.99 36.10 - 20B 25 10B

Ghandhara Ind 213 11.11 13.54 13.99 12.00 12.00 -1.54 171053 19.00 11.29 - - - -

Hinopak Motor 124 - 118.00 143.41 119.89 140.80 22.80 35207 143.41 108.11 17.15 - - -

Millat Tractors XB 366 6.29 482.98 501.98 477.00 480.89 -2.09 1150064 597.90 390.00 450 25B 650 25B



(%) (%) (%) (%)

GENERAL INDUSTRIALS

Performance of SR General Industrials Index


901.26 922.89 890.49 902.80 1.54 0.17


1,024,265 - - 3,043.31 mn 33,517.20 mn 917.28


2.58 1.13 43.91 15.55 6.02 896.20

Cherat PapersackXDXB 115 1.83 41.70 53.19 43.05 51.39 9.69 789160 53.19 34.00 - - 20 25B

ECOPACK Ltd 230 - 2.36 2.49 1.98 2.00 -0.36 126776 2.75 1.70 - - - -

Ghani GlassXDXB 1067 4.41 47.25 48.75 47.53 48.00 0.75 16395 61.99 45.75 30 10B 25 10B

MACPAC Films 389 - 2.63 3.00 2.20 3.00 0.37 5397 4.50 1.60 - - - -

Packages Ltd 844 51.81 108.50 108.44 101.00 101.02 -7.48 33299 123.00 98.00 32.5 - - -

Siemens Engineering 82 10.31 1183.48 1260.00 1188.00 1249.46 65.98 5572 1260.00 1040.01 900 - 900 -



(%) (%) (%) (%)

CONSTRUCTION AND MATERIALS

Performance of SR Construction and Materials Index


997.78 1,013.77 960.99 975.31 -22.47 -2.25


44,394,360 - - 54,792.74 mn 69,358.19 mn 992.98


7.24 0.51 7.10 19.04 2.63 966.92

Al-Abbas Cement 1828 - 3.30 3.40 3.03 3.05 -0.25 127178 4.20 2.80 - - - 100R

Attock Cement XD 866 6.14 63.51 64.20 57.75 58.30 -5.21 1236605 70.00 57.75 50 20B 50 -

Berger Paints 182 - 17.50 18.50 15.40 15.53 -1.97 179882 19.15 14.01 - - - 122R

Cherat Cement 956 27.11 11.18 12.42 11.00 11.93 0.75 653317 12.50 8.90 - - - -

Dadabhoy Cement 982 11.62 1.63 1.69 1.50 1.51 -0.12 31519 2.59 1.30 - - - -

Dandot Cement 948 - 2.00 2.76 1.70 2.52 0.52 185107 3.90 1.02 - - - -

Dewan Cement 3574 - 1.58 1.66 1.43 1.55 -0.03 328004 1.99 1.30 - - - -

DG Khan Cement Ltd 3651 113.88 27.92 28.30 26.60 27.33 -0.59 16422009 28.30 23.02 - 20R - 20R

EMCO Ind 350 - 2.88 3.26 2.27 2.99 0.11 35145 4.70 2.11 - - - -

Fauji Cement 6933 14.61 5.09 5.25 4.80 4.82 -0.27 1750451 5.50 4.51 - - - -

Fecto Cement 502 3.28 5.65 6.35 5.05 6.30 0.65 35617 6.90 4.25 - 10B - -

Flying Cement Ltd 1760 - 2.02 2.20 1.85 1.90 -0.12 186180 2.29 1.74 - - - -

Haydery Const 32 - 0.68 1.08 0.54 0.63 -0.05 988661 1.48 0.25 - - - -

Kohat Cement 1288 - 6.39 6.50 5.80 6.15 -0.24 494779 6.60 5.50 - - - -

Lucky Cement XD 3234 6.57 73.26 74.00 71.00 73.07 -0.19 3006130 74.00 62.60 40 - 40 -

Maple Leaf Cement 5261 1.33 3.09 3.19 2.75 2.85 -0.24 773338 3.48 2.51 - - - -

Pioneer Cement 2228 - 8.11 8.50 7.61 7.99 -0.12 82647 8.58 6.80 - - - -

Safe Mix Concrete 200 - 6.89 7.49 5.90 6.15 -0.74 160753 9.47 5.50 - - - -

Shabbir Tiles 361 - 7.70 8.90 7.50 8.00 0.30 9036 11.00 7.50 - - - -



(%) (%) (%) (%)

INDUSTRIAL METALS AND MINING

Performance of SR Industrial Metals and Mining Index


931.08 960.40 916.00 919.57 -11.51 -1.24


1,616,035 - - 3,596.11 mn 8,796.56 mn 937.93


2.91 0.96 33.10 30.91 10.63 919.57

Crescent Steel 565 3.83 25.07 25.50 24.50 24.50 -0.57 120437 28.37 23.75 - - 30 -

Dost Steels Ltd 675 - 3.16 3.30 2.56 2.81 -0.35 452305 3.39 1.65 - - - -

Huffaz Pipe 555 6.27 12.87 15.90 12.89 14.62 1.75 243944 16.75 12.25 - 30B - -

International Ind 1199 4.44 47.12 47.98 45.22 45.58 -1.54 324271 70.71 45.22 - - 40 20B



(%) (%) (%) (%)

FORESTRY AND PAPER

Performance of SR Forestry & Paper Index


1,147.10 1,169.98 1,070.31 1,085.43 -61.67 -5.38


961,065 - - 1,186.83 mn 3,008.06 mn 1,140.72


5.54 0.41 7.47 25.28 4.56 1,085.43

Century Paper 707 - 18.52 18.99 16.26 16.26 -2.26 926514 21.80 16.26 - 425R - -

Pak Paper ProductXDXB 50 7.88 43.15 43.48 39.50 41.00 -2.15 10259 62.85 38.61 20 - 25 33.33B

Security Paper 411 6.17 40.01 41.00 38.31 40.00 -0.01 24292 48.39 38.10 50 - 50 -



(%) (%) (%) (%)

CHEMICALS

Performance of SR Chemicals Index


1,196.46 1,214.16 1,173.03 1,182.00 -14.46 -1.21


119,028,398 - - 52,251.88 mn 264,857.14 mn 1,200.05


7.33 2.57 35.00 48.81 6.66 1,181.38

Agritech Limited 3924 9.57 22.00 23.44 21.54 21.62 -0.38 100098 25.95 21.15 - - - -

Bawany AirXDXR 68 74.92 10.75 10.60 8.41 8.99 -1.76 20369 15.99 8.41 - - 5 10R

BOC (Pak) 250 10.66 79.81 87.99 77.10 77.59 -2.22 106118 87.99 66.90 90 - 15 -

Clariant Pak 273 6.01 160.25 162.50 152.55 157.23 -3.02 115613 173.99 152.55 125 - - -

Dawood Hercules 1203 7.01 171.00 176.00 168.50 168.98 -2.02 58839 182.00 155.38 40 10B 40 -

Dewan Salman 3663 - 1.56 1.82 1.56 1.64 0.08 4567386 2.15 1.28 - - - -

Engro Corporation Ltd 3277 8.99 176.23 179.40 175.01 175.35 -0.88 4931214 190.80 165.60 6010B 40R 40 -

Fatima Fertilizer 22000 - 9.91 10.10 9.50 9.54 -0.37 5796924 12.04 9.02 - - - -

Fauji Fertilizer 6785 7.25 109.29 109.95 106.01 106.52 -2.77 1966599 112.35 102.96 131.5 10B 95 -

Fauji Fert. Bin Qasim 9341 5.88 30.43 31.50 30.18 31.16 0.73 10871717 31.50 26.59 40 - 17.5 -

ICI Pakistan 1388 6.98 128.37 131.40 123.50 123.83 -4.54 2123420 131.40 109.50 80 - 55 -

Lotte Pakistan 15142 3.67 10.25 10.75 10.07 10.28 0.03 65766007 10.75 6.75 5 - - -

Mandviwala 74 - 1.70 2.10 0.80 1.32 -0.38 577229 3.24 0.80 - - - -

Nimir Ind Chemical 1106 - 1.59 1.65 1.40 1.50 -0.09 1188467 1.70 1.16 - - - -

Shaffi Chemical 120 - 2.50 2.99 1.80 2.58 0.08 37791 3.49 1.80 - - - -

Sitara Chem Ind XDXB 214 8.98 108.99 113.95 106.00 109.59 0.60 44293 128.01 104.56 75 - 25 5B

Sitara Peroxide 551 13.93 11.11 13.79 12.08 12.82 1.71 5105874 13.79 7.67 - - - -

Wah-Noble XD 90 6.58 38.19 39.25 34.09 34.21 -3.98 28736 46.25 34.09 50 - 50 -



(%) (%) (%) (%)

PHARMA AND BIO TECH

Performance of SR Pharma and Bio Tech Index


872.20 900.08 856.95 879.53 7.33 0.84


683,730 - - 3,904.20 mn 29,344.46 mn 884.49


6.48 1.45 22.31 44.54 6.87 870.57

Abbott (Lab) 979 8.76 94.16 104.00 93.00 100.00 5.84 101517 104.00 77.00 120 - 20 -

Ferozsons (Lab) 250 6.32 87.29 89.85 83.00 83.63 -3.66 29469 124.00 83.00 10 20B - 20B

GlaxoSmithKline 1707 12.86 73.00 75.99 69.00 71.50 -1.50 82798 81.35 65.00 50 - - -

Highnoon (Lab) 165 6.89 24.33 25.50 24.05 24.89 0.56 23099 25.79 22.10 25 - - -

Otsuka Pak 100 7.14 32.00 33.60 30.50 32.00 0.00 6071 33.60 27.50 15 - - -

Searle Pak XD 306 5.62 61.21 64.50 60.56 62.54 1.33 422301 64.50 53.36 15 15B 30 -



(%) (%) (%) (%)

INDUSTRIAL TRANSPORTATION

Performance of SR Industrial Transportation Index


723.99 793.81 710.50 754.55 30.56 4.22


196,546 - - 3,242.17 mn 13,198.15 mn 762.16


3.05 0.78 25.53 11.08 3.63 734.66

Pak Int Cont. Terminal XD 1092 7.29 68.42 77.77 67.25 72.91 4.49 184574 87.00 60.05 - 20B 40 -

PNSC 1321 40.96 38.98 38.90 37.25 37.68 -1.30 11972 41.00 34.50 30 - 15 -



(%) (%) (%) (%)

BOOK CLOSURES

The Royal Bank of Scotland 01-Nov 11-Nov - - 11-Nov

Faysal Bank 02-Nov 10-Nov - - 10-Nov

Atlas Fund of Funds 03-Nov 10-Nov 2.20(F) 26-Oct 03-Nov

First Paramount Modaraba 03-Nov 10-Jan 18 - 28-Oct

Sapphir Fibres 04-Nov 11-Nov - - 11-Nov

Sapphir Textile Mills 04-Nov 11-Nov - - 11-Nov

Jahangir Siddiqui & Co 09-Nov 23-Nov - - 24-Nov

Punjab Oil Mills 09-Nov 15-Nov 28(R) 29-Oct 12-Oct

Biafo Industries 10-Nov 16-Nov 12.5(i) 01-Nov -

East West Life Assurance 15-Nov 23-Nov 10R 04-Nov -

KESC 15-Nov 28-Nov 7.80(R) 04-Nov -

Nestle Pakistan 16-Nov 22-Nov 250(ii) - -

Fuji Fertilizer 21-Nov 27-Nov - - -

Thal Limited 23-Nov 30-Nov - - 30-Nov

Fauji Fertilizer Bin Qasim 14-Dec 20-Dec 12.5(iii) - -

INDICATIONS

# Extraordinary General Meeting

Company From To D/B/R Spot AGM/Date

Monday, November 1, 20107

Technical Analysis Leverage Position

KSE 100 INDEX

Technical Outlook

KSE 100 INDEX closed down -54.08 points at 10,598.40. Volume

was 7 per cent above average and Bollinger Bands were 14 per cent

wider than normal. As far as resistance level is concern, the market

will see major 1st resistance level at 10,649.70 and 2nd resistance

level at 10,701.00, while Index will continue to find its 1st support

level at 10,558.10 and 2nd support level at 10,517.80.

KSE 100 INDEX is currently 6.0 per cent above its 200-day moving

average and is displaying an upward trend. Volatility is relatively nor-

mal as compared to the average volatility over the last 10 trading

sessions. Volume indicators reflect moderate flows of volume into

INDEX (mildly bullish). Trend forecasting oscillators are currently

bullish on INDEX.

RSI (14-day) 66.83 Support 1 10,558.10

MA (5-day) 10,659.88 Support 2 10,517.80

MA (10-day) 10,594.59 Resistance 1 10,649.70

MA (100-day) 10,008.17 Resistance 2 10,701.00

MA (200-day) 10,005.50 Pivot 10,609.40


National Bank of Pakistan

Brokerage House Fair Value Rs Recommendations

Technical Outlook

NBP closed down -3.08 at 64.61. Volume was 325 per cent above average

(trending) and Bollinger Bands were 10 per cent narrower than normal.

NBP is currently 2.9 per cent below its 200-day moving average and is dis-

playing an upward trend. Volatility is extremely high when compared to the

average volatility over the last 10 trading sessions. Volume indicators

reflect volume flowing into and out of NBP at a relatively equal pace. Trend

forecasting oscillators are currently bullish on NBP.

*Arif Habib Ltd 78 Buy

AKD Securities Ltd 61.96 Neutral

TFD Research 92.3 Positive

RSI (14-day) 46.43 Free Float Shares (mn) 318.37

MA (10-day) 66.47 Free Float Rs (mn) 20,569.69

MA (100-day) 65.61 CFS Shares (mn) N/A

MA (200-day) 71.59 CFS Rs (mn) N/A

Mean 67.20 CFS Rate N/A

Median 67.63 ** NOI Rs (mn) 81.12

* Target price for Dec-10 & **Net Open Interest in future market


Nishat Mills Ltd


Technical Outlook

NML closed unchanged at 51.71. Volume was 70 per cent below average

(consolidating) and Bollinger Bands were 5 per cent narrower than normal.

NML is currently 0.3 per cent above its 200-day moving average and is dis-

playing an upward trend. Volatility is relatively normal as compared to the


reflect moderate flows of volume into NML (mildly bullish). Trend forecast-

ing oscillators are currently bullish on NML.


AKD Securities Ltd 59.97 Buy







Median 52.89 ** NOI Rs (mn) 239.55



Bank Al-Falah Ltd


Technical Outlook

BAFL closed down -0.05 at 9.27. Volume was 43 per cent above average

and Bollinger Bands were 28 per cent wider than normal.

BAFL is currently 10.4 per cent below 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 BAFL (bullish). Trend forecasting

oscillators are currently bullish on BAFL.


AKD Securities Ltd 10.25 Accumulate







Median 9.71 ** NOI Rs (mn) N/A



Dera Ghazi Khan Cement Co Ltd


Technical Outlook

DGKC closed down -0.59 at 27.33. Volume was 47 per cent above aver-

age and Bollinger Bands were 25 per cent wider than normal.

DGKC is currently 1.2 per cent above its 200-day moving average and is

displaying an upward trend. Volatility is relatively normal as compared to


reflect very strong flows of volume into DGKC (bullish). Trend forecasting

oscillators are currently bullish on DGKC.









Median 27.45 ** NOI Rs (mn) 29.69



United Bank Ltd


Technical Outlook

UBL closed up 1.80 at 56.23. Volume was 84 per cent below average (con-

solidating) and Bollinger Bands were 47 per cent wider than normal.

UBL is currently 2.5 per cent below its 200-day moving average and is dis-

playing an upward trend. Volatility is extremely high when compared to the


reflect very strong flows of volume into UBL (bullish). Trend forecasting

oscillators are currently bullish on UBL.









Median 56.68 ** NOI Rs (mn) 45.45



Fauji Fertiliser Bin Qasim Ltd


Technical Outlook

FFBL closed up 0.73 at 31.16. Volume was 266 per cent above average (trend-

ing) and Bollinger Bands were 24 per cent wider than normal.

FFBL is currently 7.0 per cent above its 200-day moving average and is display-

ing 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 FFBL (bullish). Trend forecasting oscillators are currently bull-

ish on FFBL. Momentum oscillator is currently indicating that FFBL is currently in

an overbought condition.



TFD Research 29.1 Neutral






Median 30.84 ** NOI Rs (mn) 13.04



Pakistan Telecommunication Co Ltd


Technical Outlook

PTC closed down -1.06 at 18.25. Volume was 20 per cent below average

and Bollinger Bands were 40 per cent narrower than normal.

PTC is currently 7.0 per cent below its 200-day moving average and is dis-

playing a downward trend. Volatility is extremely high when compared to


reflect volume flowing into and out of PTC at a relatively equal pace. Trend

forecasting oscillators are currently bearish on PTC.








Median 18.99 ** NOI Rs (mn) 11.44


EQUITY INVESTMENT INSTRUMENTS

Performance of SR Equity Investment Instruments Index


1,062.96 1,084.45 1,034.33 1,060.58 -2.38 -0.22


16,215,584 - - 29,771.58 mn 17,402.39 mn 1,060.58


6.56 0.27 4.09 104.19 27.94 1,056.87

1st Fid Leasing 264 8.75 1.33 1.57 1.25 1.40 0.07 112331 2.24 1.01 - - - -

AL-Meezan Mutual F. XD 1375 5.14 6.24 6.30 6.05 6.17 -0.07 94118 7.25 5.85 - - 18.5 -

AL-Noor Mod. XD 210 4.08 2.16 2.80 2.45 2.45 0.29 21648 3.44 2.10 - - 5 -

Atlas Fund of F. SPOT 525 1.41 3.00 3.52 3.00 3.50 0.50 56828 4.50 2.53 - - 2.2 -

B R R Guardian Mod. 780 2.70 1.24 1.40 1.06 1.19 -0.05 22862 1.67 0.90 - - 0 -

Constellation Mod. 65 3.07 1.11 1.90 0.93 1.35 0.24 79149 2.99 0.90 - - - -

Crescent St Mod. XD 200 1.58 0.80 0.90 0.60 0.63 -0.17 757410 1.10 0.16 - - 1.2 -

Equity Modaraba 524 7.56 1.05 1.50 1.15 1.21 0.16 197083 1.50 0.76 - - - -

First Capital Mutual F. 300 5.00 4.25 5.50 4.24 4.65 0.40 332449 5.50 0.99 - - - -

First Dawood Mutual F. 581 0.59 1.73 1.99 1.30 1.88 0.15 1657284 2.00 1.30 - - - -

Golden Arrow XD 760 1.92 2.79 2.99 2.60 2.69 -0.10 284033 3.88 2.32 - - 17 -

H B L Modaraba XD 397 2.08 5.35 6.50 5.14 6.25 0.90 395746 6.80 4.80 5 - 11 -

Habib Modaraba 1008 5.23 5.99 6.38 5.97 6.07 0.08 104300 7.44 5.56 20 - 21 -

JS Growth Fund 3180 36.38 3.01 3.10 2.65 2.91 -0.10 4326563 3.70 2.65 - - 5 -

JS Value Fund 1186 10.18 2.95 3.09 2.31 2.85 -0.10 2331499 3.98 2.31 10 - 10 -

KASB Modaraba XD 283 1.35 1.30 2.00 1.30 1.84 0.54 36256 2.00 0.52 - - 2.8 -

Meezan Bal. Fund XD 1200 5.38 5.50 5.99 5.51 5.60 0.10 13611 7.00 5.30 - - 15.5 -

Mod Al-Mali 184 11.40 1.18 2.18 0.70 1.14 -0.04 30106 2.18 0.56 - - - -

Nat Bank Modaraba 250 6.44 6.98 7.74 6.55 6.95 -0.03 46026 8.45 6.15 - - 10 -

Pak Modaraba XD 125 1.51 1.05 1.05 0.70 0.83 -0.22 8947 1.40 0.30 - - 3 -

Pak Prem Fund 1698 11.39 7.93 8.28 7.50 8.20 0.27 1573621 9.86 7.00 - - 18.6 -

Pak Strat FundSPOT 3000 7.05 7.02 7.50 6.70 7.33 0.31 2485506 8.10 6.01 - - 11.53 -

Paramount Mod. XD 59 6.26 7.72 8.25 7.99 8.01 0.29 5355 9.45 6.55 15 - 18 -

PICIC Energy Fund 1000 1.65 5.60 5.70 5.25 5.68 0.08 255553 5.99 4.00 - - 10 -

PICIC Growth Fund 2835 5.14 8.15 8.34 8.00 8.02 -0.13 266641 10.05 7.60 - - 20 -

PICIC Inv Fund 2841 4.38 3.78 3.99 3.58 3.85 0.07 377292 4.98 3.50 - - 10 -

Prud Modaraba 1st XD 872 2.37 0.93 0.99 0.86 0.90 -0.03 191632 1.20 0.70 - - 3 -

Punjab Modaraba 340 7.24 1.49 1.60 1.44 1.52 0.03 71025 2.00 0.57 - - 1 -

Stand Chart Modaraba 454 4.41 8.89 9.00 8.53 9.00 0.11 14970 10.99 7.75 16.5 - 17 -

Tri-Star 1st Modaraba 212 4.47 1.98 1.94 0.98 1.70 -0.28 20821 7.12 0.50 - - - -

U D L Modaraba XD 264 2.80 5.44 5.46 4.85 5.38 -0.06 40734 6.99 4.71 10 - 12.5 -



(%) (%) (%) (%)

FINANCIAL SERVICES

Performance of SR Financial Services Index


382.58 400.34 366.98 373.31 -9.28 -2.42


62,496,831 - - 30,336.44 mn 26,495.02 mn 387.17


0.45 0.17 37.22 4.60 10.17 372.85

AMZ Ventures 225 - 0.59 0.70 0.50 0.65 0.06 398727 1.10 0.42 - - - -

Arif Habib Limited XB 450 12.89 27.85 28.95 25.20 25.27 -2.58 731793 45.30 24.62 15 25B - 20B

Arif Habib Securities 3750 4.27 24.97 25.70 23.10 23.23 -1.74 10897490 34.99 20.90 - - 30 -

Arpak Int 40 7.24 13.00 12.00 11.00 11.00 -2.00 9553 16.37 4.00 - - - -

Dawood Equities 250 - 1.99 1.99 1.51 1.91 -0.08 2284904 2.91 1.51 - - - -

Escorts Bank 441 - 2.55 2.95 2.20 2.50 -0.05 60131 3.35 1.85 - - - -

IGI Investment Bank 2121 13.06 2.00 2.20 2.00 2.09 0.09 276270 2.30 1.17 - - - -

Invest and Fin Sec XD 600 711.00 7.67 7.74 6.76 7.11 -0.56 16175 9.00 6.70 - - 11.5 -

Invest Bank 2849 - 0.68 0.97 0.56 0.66 -0.02 779194 1.00 0.44 - - - -

Ist Cap Securities XB 3166 1.59 3.80 4.20 3.60 3.86 0.06 306997 5.29 2.54 - 10B - 10B

Ist Dawood Bank 626 0.65 1.94 2.10 1.72 1.83 -0.11 650058 2.84 1.17 - - - -

Jah Siddiq Co 7633 - 10.25 10.72 9.82 9.88 -0.37 30364409 13.72 8.80 -243.778B 10 -

JOV and CO 508 - 2.42 4.09 2.50 4.07 1.65 10046430 5.71 1.96 - - - -

JS Global Cap XD 500 7.39 26.93 30.70 26.58 27.48 0.55 165146 40.50 24.25 150 - - -

JS Investment 1000 24.63 6.21 6.61 5.80 5.91 -0.30 1179938 7.69 5.10 - - - -

Orix Leasing 821 4.05 5.53 5.70 5.08 5.51 -0.02 49687 5.95 3.66 - - - -

Pervez Ahmed Sec 775 - 1.73 2.49 1.68 2.29 0.56 3534184 2.50 1.35 -231.08R - -

Saudi Pak Leasing 452 - 0.60 0.80 0.46 0.58 -0.02 58297 1.70 0.40 - - - -

Trust Inv Bank 586 - 1.57 2.60 1.35 1.50 -0.07 8581 3.25 1.24 - - - -



(%) (%) (%) (%)

LIFE INSURANCE

Performance of SR Life Insurance Index


887.16 878.85 812.88 827.36 -59.80 -6.74


73,557 - - 2,290.72 mn 9,409.49 mn 871.21


91.73 3.53 3.85 355.53 3.88 827.36

EFU Life Assurance XB 850 36.78 78.13 78.00 67.68 67.68-10.45 31575 82.99 51.25 5513.33B - -

New Jub Life Insurance 627 28.19 43.45 42.80 39.95 42.00 -1.45 24965 45.20 34.50 10 - - -



(%) (%) (%) (%)

BANKS

Performance of SR Banks Index


1,023.90 1,057.07 1,008.53 1,017.80 -6.10 -0.60


129,880,491 - - 257,548.02 mn 616,727.72 mn 1,037.29


7.16 0.96 13.45 34.35 4.80 1,017.80

Allied Bank Limited 7821 5.38 55.53 57.25 54.82 55.36 -0.17 3412875 58.70 48.51 40 10B 20 -Askari Bank 6427 7.36 15.64 16.65 15.40 15.45 -0.19 7521654 16.96 13.99 - 20B - -Atlas Bank 5001 - 1.97 2.08 1.70 1.71 -0.26 285771 2.84 1.52 - - - -Bank Alfalah 13492 12.36 9.32 10.19 9.23 9.27 -0.05 17689582 10.19 7.32 8 - - -Bank AL-Habib 7322 6.90 32.19 32.80 31.50 32.00 -0.19 719974 33.75 29.10 20 20B - -Bank Of Khyber 5004 4.67 3.35 4.49 2.76 3.50 0.15 1167695 4.49 2.50 - - - -Bank Of Punjab 5288 - 8.65 9.19 8.40 8.42 -0.23 7544452 10.38 7.35 - - - -BankIslami Pak 5280 805.00 3.17 3.59 3.04 3.22 0.05 3094485 3.69 2.31 - - - -Faysal Bank 6091 3.48 14.36 15.11 14.05 15.11 0.75 545886 15.11 12.75 - - - 20BHabib Bank Ltd 10019 6.34 104.38 105.99 100.05 101.55 -2.83 865633 108.50 92.00 60 10B - -Habib Metropolitan Bank 8732 6.16 20.48 23.30 19.85 20.13 -0.35 838409 23.30 18.02 10 16B - -JS Bank Ltd 6128 - 2.40 2.77 2.34 2.64 0.24 1147307 2.90 2.00 - - - 66RKASB Bank Ltd 9509 - 2.50 2.69 2.31 2.48 -0.02 181072 3.70 2.03 - 26B - -MCB Bank Ltd 7602 8.98 203.95 207.00 201.15 202.55 -1.40 4508785 212.25 180.40 110 10B 55 -Meezan Bank 6983 7.99 15.40 15.68 14.86 15.10 -0.30 75311 15.95 13.80 - 5B - -Mybank Ltd 5304 - 2.20 2.30 2.05 2.10 -0.10 505360 2.79 1.62 - - - -National Bank 13455 5.42 67.69 70.75 64.50 64.61 -3.08 47428728 73.22 60.51 75 25B - -Network Mic Bank 300 - 1.00 1.46 0.80 1.02 0.02 9038 1.95 0.26 - - - -NIB Bank 40437 - 2.90 3.00 2.65 2.71 -0.19 4476029 3.25 2.42 - - - -Royal Bank Ltd 17180 - 6.42 7.86 6.25 7.25 0.83 1188007 11.99 5.20 - - - -Samba Bank 14335 - 2.03 2.12 1.92 1.99 -0.04 820496 2.65 1.55 - - -63.46RSilkbank Ltd 26716 - 2.90 2.94 2.61 2.64 -0.26 9313645 3.30 2.15 - - - -Soneri Bank 6023 - 6.41 7.90 6.49 7.75 1.34 4537064 7.90 5.01 - - - -Stand Chart Bank 38716 10.05 6.61 6.98 6.15 6.53 -0.08 229671 8.00 6.00 - - - -United Bank Ltd 12242 6.62 54.43 59.24 54.12 56.23 1.80 11773562 59.24 49.90 25 10B 10 -



(%) (%) (%) (%)

NON LIFE INSURANCE

Performance of SR Non Life Insurance Index


708.18 725.77 656.86 670.23 -37.96 -5.36


7,882,490 - - 11,111.34 mn 42,770.94 mn 711.32


10.99 0.57 5.20 79.54 7.24 670.23

Adamjee Insurance 1237 20.15 74.52 76.25 66.50 69.53 -4.99 3786244 89.38 63.05 30 10B 10 -



(%) (%) (%) (%)

GAS WATER AND MULTIUTILITIES

Performance of SR Gas Water and Multiutilities Index


1,703.08 1,864.06 1,660.74 1,759.26 56.18 3.30


7,488,329 - - 12,202.80 mn 37,736.51 mn 1,820.63


11.24 1.28 11.41 66.79 5.94 1,724.31

Sui North Gas 5491 9.47 31.69 32.97 30.30 31.81 0.12 4014043 33.40 25.00 - - 20 -

Sui South GasXDXB 8390 3.64 22.90 26.00 22.55 24.16 1.26 3474286 30.70 16.00 - - 15 25B



(%) (%) (%) (%)

ELECTRICITY

Performance of SR Electricity Index


1,186.84 1,211.74 1,166.61 1,172.05 -14.79 -1.25


85,053,988 - - 95,369.29 mn 97,043.89 mn 1,192.09


12.41 1.16 9.35 104.13 8.39 1,172.05

Genertech 198 - 0.93 1.10 0.82 0.94 0.01 120728 1.45 0.51 - - - -Hub Power 11572 6.12 34.19 34.50 33.35 33.44 -0.75 3259073 37.24 32.75 33.5 - 50 -Japan Power 1560 - 1.59 2.25 1.52 1.61 0.02 1812318 2.25 0.70 - - - -KESC 7932 - 2.25 2.30 2.07 2.09 -0.16 2140391 2.50 1.92 - 31R - 7.8RKohinoor Energy XD 1695 12.17 24.25 25.25 21.31 21.90 -2.35 48996 26.50 21.31 45 - 15 -Kohinoor Power 126 2.34 4.50 4.84 4.10 4.70 0.20 15557 6.70 3.90 - - - -Kot Addu Power XD 8803 4.80 39.34 41.26 39.48 39.53 0.19 2183421 42.95 38.35 64.5 - 50 -S G Power 178 - 0.97 1.65 0.71 0.90 -0.07 5002 1.69 0.32 - - - -Sitara Energy Ltd XD 191 3.48 19.20 19.60 18.90 19.50 0.30 7287 23.49 18.70 20 - 20 -Southern Electric 1367 - 2.24 2.49 2.05 2.32 0.08 5843567 3.00 2.05 - - - -Tri-star Power XD 150 - 0.90 1.10 0.80 0.90 0.00 57663 1.58 0.33 3 - - -



(%) (%) (%) (%)

FIXED LINE TELECOMMUNICATION

Performance of SR Fixed Line Telecommunication Index


1,148.30 1,176.25 1,075.08 1,079.19 -69.12 -6.02


13,871,833 - - 50,077.79 mn 74,522.74 mn 1,156.57


5.87 0.75 12.84 62.56 10.66 1,079.19

Pak Datacom XD 78 5.73 93.00 98.99 89.78 92.79 -0.21 6244 120.61 89.78 70 - 80 -

Pakistan Telecomm Co A 37740 12.17 19.31 19.76 18.21 18.25 -1.06 8491841 19.76 17.32 15 - 17.5 -

Telecard 3000 0.97 2.53 2.62 2.25 2.27 -0.26 1774212 2.78 1.80 - - 1 -

WorldCall Tele 8606 - 2.80 2.89 2.42 2.45 -0.35 3599536 2.98 2.30 - - - -



(%) (%) (%) (%)

Atlas Insurance 369 5.25 33.80 35.00 32.10 33.00 -0.80 31668 35.00 27.10 40 10B - -

Century Insurance 457 7.03 11.24 11.98 10.51 11.24 0.00 330245 11.99 9.42 - - - -

EFU General Ins. XB 1250 32.98 46.21 47.39 41.55 41.55 -4.66 126134 54.22 34.76 40 8.7B - -

Habib Insurance 400 2.74 10.95 12.35 11.00 11.50 0.55 26650 13.89 10.04 35 - - -

IGI Insurance 718 15.40 81.00 86.69 80.01 83.00 2.00 54308 86.69 66.02 35 - 10 20B

New Jub Insurance 791 14.78 56.92 60.50 53.81 54.84 -2.08 9999 60.50 52.21 30 20B - -

Pak Reinsurance 3000 36.51 15.75 16.35 14.10 14.24 -1.51 3138671 18.16 12.50 30 - - -

PICIC Ins Ltd 350 - 2.70 3.80 2.62 3.14 0.44 250838 4.16 1.66 - - - -

Premier Insurance 303 4.98 9.25 9.60 9.00 9.22 -0.03 59111 10.25 8.00 20 15B - -

Silver Star Insurance 253 1.85 7.01 7.90 6.92 7.42 0.41 30108 10.00 6.00 - 20B - -

United Insurance 400 1.88 6.02 7.18 5.23 5.73 -0.29 22357 7.18 4.02 - 16B - -

UPTO 5000 VOLUME

NOPK 23.50 23.50 20.00 21.89 -1.61 4973CICL 50.91 53.80 51.00 52.00 1.09 4932KOHS 5.24 6.20 3.60 3.60 -1.64 4764PKGI 6.07 6.97 5.85 6.12 0.05 4704FZCM 51.66 51.40 45.01 50.00 -1.66 4640ALTN 11.00 11.00 10.00 10.00 -1.00 4501CWSM 1.43 2.00 0.71 1.76 0.33 4100GWLC 3.59 3.55 3.00 3.03 -0.56 4006DIIL 14.89 14.95 12.28 12.28 -2.61 3741DCM 1.41 1.54 1.40 1.54 0.13 3731AGIC 11.95 11.50 10.04 10.95 -1.00 3520KML 2.70 3.68 1.90 2.59 -0.11 3503ANSS 4.07 5.07 5.00 5.07 1.00 3500GLPL 67.86 71.50 66.00 66.00 -1.86 3458NONS 12.98 13.65 12.70 12.85 -0.13 3402FRCL 4.80 5.00 2.01 3.80 -1.00 3214MSOT 21.04 21.40 20.00 20.00 -1.04 3207FASM 32.75 31.48 29.00 30.98 -1.77 3204THCCL 22.10 22.00 19.02 19.50 -2.60 3097FNEL 8.50 9.94 6.84 9.63 1.13 2839ISIL 74.97 77.00 72.01 75.89 0.92 2762HAJT 0.31 0.98 0.31 0.50 0.19 2700DLL 40.00 41.00 37.00 39.97 -0.03 2591MERIT 17.06 18.06 16.51 17.50 0.44 2527FRSM 19.75 20.00 19.50 19.98 0.23 2500JDMT 18.40 18.40 18.40 18.40 0.00 2500ULEVER 4000.02 4099.97 3876.00 4088.67 88.65 2343SHEZ 93.85 97.90 93.00 96.00 2.15 2140KSTM 0.75 0.94 0.74 0.80 0.05 2115AZTM 0.56 2.55 0.56 2.55 1.99 2101PCAL 53.85 54.99 52.00 52.00 -1.85 2014PMRS 36.25 36.50 34.45 36.50 0.25 2001ARUJ 4.49 5.00 4.50 5.00 0.51 2001GAEL 0.20 0.45 0.45 0.45 0.25 2000ALICO 17.50 18.50 17.50 18.09 0.59 1715BUXL 10.87 11.71 10.66 10.66 -0.21 1714DWSM 1.80 1.80 1.52 1.76 -0.04 1697ALQT 3.50 5.64 3.00 5.61 2.11 1645MQTM 9.10 10.24 7.50 8.10 -1.00 1614ADAMS 12.51 13.99 12.60 13.99 1.48 1612SKFL 1.20 1.20 0.91 0.95 -0.25 1500SERF 0.30 0.48 0.39 0.39 0.09 1500LAKST 342.53 347.98 321.00 327.05 -15.48 1496BIFO 40.04 43.78 39.75 39.75 -0.29 1443SANSM 13.90 14.00 13.70 13.80 -0.10 1380UVIC 3.02 3.02 2.70 3.02 0.00 1331EXIDE 148.00 155.50 148.00 152.00 4.00 1243SHCM 10.95 12.50 9.95 11.50 0.55 1200KSBP 76.56 76.56 70.50 70.61 -5.95 1188BWHL 30.20 34.00 30.20 34.00 3.80 1174GUTM 18.89 19.79 17.85 18.80 -0.09 1130GRYL 2.00 2.89 1.03 1.03 -0.97 1118CSIL 3.30 4.30 3.15 4.00 0.70 1041TSMF 2.00 2.45 1.60 1.60 -0.40 1023NBF 2.99 2.98 2.50 2.94 -0.05 1005PAKL 3.95 2.95 1.95 1.96 -1.99 1001SJTM 0.97 1.49 0.51 0.51 -0.46 1001SALT 28.50 29.92 29.92 29.92 1.42 1000TRSM 2.14 2.39 1.30 2.17 0.03 968SZTM 5.26 5.26 3.76 5.00 -0.26 960SIBL 2.50 3.23 2.51 2.53 0.03 958FZTM 376.88 457.05 380.01 453.50 76.62 847FECM 2.14 2.47 1.73 2.47 0.33 761RMPL 1550.00 1733.55 1549.00 1681.06 131.06 746SAPL 134.79 138.85 125.33 134.00 -0.79 658HUSS 12.19 12.00 10.98 12.00 -0.19 636RICL 6.61 6.61 6.41 6.51 -0.10 629MUCL 10.95 11.95 10.25 11.50 0.55 530KOHTM 1.35 1.20 0.52 1.20 -0.15 508SKRS 3.23 3.35 3.30 3.30 0.07 500MFFL 67.77 70.99 63.95 65.54 -2.23 472ICL 26.49 27.48 24.50 27.48 0.99 453SCLL 2.48 2.69 2.30 2.59 0.11 425SCL 56.20 56.29 47.46 47.46 -8.74 357SUTM 32.00 32.10 32.06 32.10 0.10 308SHDT 9.60 11.50 9.55 9.56 -0.04 305CLOV 49.48 54.25 51.00 51.00 1.52 290AASM 31.97 31.99 27.72 27.72 -4.25 251BROT 0.39 0.69 0.39 0.69 0.30 238NESTLE 1942.10 2044.00 1900.01 1973.48 31.38 207SFAT 5.10 5.10 4.10 4.10 -1.00 200CPAL 1.99 1.99 1.99 1.99 0.00 175MFTM 1.00 0.95 0.95 0.95 -0.05 162FIBLM 2.84 2.90 1.06 1.06 -1.78 161ILTM 90.00 94.50 94.50 94.50 4.50 160FIMM 43.21 50.00 45.37 49.99 6.78 160GAMON 1.51 1.51 1.51 1.51 0.00 150PECO 300.00 305.00 285.19 291.48 -8.52 147DATM 0.32 0.36 0.32 0.36 0.04 138CRTM 20.87 23.90 20.85 23.75 2.88 131DKTM 1.25 1.25 1.25 1.25 0.00 122AKGL 4.50 6.25 4.90 4.90 0.40 102DWAE 0.54 0.78 0.54 0.75 0.21 101CFL 10.32 10.32 8.41 10.30 -0.02 101ARM 14.50 14.90 14.50 14.50 0.00 101MLCFPS 4.03 7.89 3.51 7.89 3.86 99JUBS 2.47 3.94 2.94 3.46 0.99 88GATI 43.79 45.95 41.33 41.33 -2.46 82QUET 30.94 32.99 29.45 29.45 -1.49 72STML 18.99 18.99 16.00 16.00 -2.99 69BAWS 1.40 1.40 1.40 1.40 0.00 61PHDL 37.54 40.80 35.67 37.37 -0.17 41JVDC 60.00 61.00 57.11 59.85 -0.15 37SLCL 2.40 2.39 2.39 2.39 -0.01 32PGCL 18.65 20.40 18.65 19.24 0.59 29HWQS 22.00 22.00 21.90 21.90 -0.10 27PSEL 150.00 150.00 142.57 142.63 -7.37 22DYNO 11.60 13.25 11.25 11.84 0.24 21BGL 1.70 1.85 1.69 1.85 0.15 21UPFL 1000.00 1050.00 1000.00 1000.00 0.00 19NATM 9.65 9.70 8.70 8.70 -0.95 18LMSM 3.25 4.00 1.13 1.13 -2.12 14SHJS 65.00 66.90 64.75 66.90 1.90 13NSRM 17.19 17.19 16.00 16.00 -1.19 13AABS 96.99 96.50 95.00 95.00 -1.99 12BCML 15.00 16.90 15.00 16.90 1.90 11SFL 116.68 120.80 119.99 119.99 3.31 8BAFS 50.83 56.01 50.83 54.95 4.12 6ASFL 4.13 4.13 3.13 3.13 -1.00 6LPGL 19.24 24.00 20.22 24.00 4.76 5BHAT 180.50 189.00 185.00 189.00 8.50 4SAPT 90.05 94.30 89.80 89.80 -0.25 4ATEL 17.00 19.88 17.00 19.88 2.88 3HUSI 9.99 10.39 9.40 9.90 -0.09 3AWTX 85.00 89.00 85.00 89.00 4.00 3FECS 44.99 47.18 44.83 47.00 2.01 2DMTM 3.50 4.70 3.50 4.70 1.20 2FTHM 113.00 113.00 113.00 113.00 0.00 2QUAT 7.51 9.00 7.51 9.00 1.49 2WYETH 801.00 810.00 801.00 810.00 9.00 2MSCL 8.12 7.13 7.13 7.13 -0.99 1DADX 23.83 25.02 25.02 25.02 1.19 1TICL 68.50 69.00 69.00 69.00 0.50 1TOWL 20.00 20.00 20.00 20.00 0.00 1ICCT 0.81 0.99 0.81 0.99 0.18 1ISTM 5.00 5.89 5.00 5.89 0.89 1JATM 3.00 4.00 3.00 3.00 0.00 1

Symbols Open High Low Close Change Vol

Al-Abbas Cement 41.96 2.95 2.90 3.20 3.35 3.10

Allied Bank Limited 61.36 54.65 53.95 56.40 57.45 55.70

Attock Cement 27.57 57.15 55.95 60.10 61.85 58.90

Arif Habib Limited 37.19 25.00 24.70 25.80 26.30 25.50

Arif Habib Securities 47.33 23.00 22.70 23.60 24.00 23.35

Adamjee Insurance 48.24 67.35 65.20 70.85 72.15 68.65

Askari Bank 54.23 15.30 15.15 15.70 15.95 15.55

Azgard Nine 52.95 10.65 10.50 11.15 11.45 11.00

Attock Petroleum 34.30 295.80 294.15 299.30 301.15 297.65

Attock Refinery 70.08 98.85 97.35 102.65 104.90 101.10

Bank Alfalah 55.19 9.05 8.85 9.65 10.00 9.45

BankIslami Pak 50.81 3.10 3.00 3.40 3.55 3.25

Bank Of Punjab 49.73 8.25 8.10 8.70 9.00 8.55

Dewan Cement 49.82 1.45 1.30 1.65 1.75 1.55

DGK Cement 63.08 26.95 26.60 27.70 28.10 27.35

Dewan Salman 58.17 1.60 1.55 1.75 1.80 1.65

Dost Steels Ltd 61.50 2.75 2.65 2.90 2.95 2.80

EFU General Insurance 50.26 40.90 40.30 42.80 44.10 42.20

EFU Life Assurance 48.12 65.90 64.15 71.20 74.75 69.45

Engro Chemical 47.44 174.80 174.20 176.15 177.00 175.60

Faysal Bank 70.15 14.75 14.45 15.30 15.45 14.95

Fauji Cement 43.04 4.75 4.65 4.95 5.05 4.85

Fauji Fert Bin 72.09 30.50 29.80 31.65 32.20 31.00

Fauji Fertilizer 44.68 105.95 105.35 107.15 107.85 106.60

Habib Bank Ltd 54.94 100.55 99.55 102.65 103.75 101.65

Hub Power 43.58 33.20 32.95 33.85 34.25 33.60

ICI Pakistan 51.10 122.65 121.40 125.90 128.00 124.70

Indus Motors 55.82 230.50 229.00 234.00 236.00 232.50

JOV and CO 75.61 3.40 2.75 4.40 4.75 3.75

Japan Power 53.03 1.60 1.55 1.70 1.75 1.65

JS Bank Ltd 60.34 2.55 2.45 2.70 2.80 2.60

Jah Siddiq Co 44.21 9.75 9.60 10.10 10.30 9.95

Kot Addu Power 39.65 39.35 39.20 39.85 40.20 39.70

KESC 47.60 2.00 1.95 2.20 2.30 2.15

Lucky Cement 57.97 72.50 71.90 73.45 73.80 72.85

MCB Bank Ltd 61.10 201.15 199.70 204.00 205.40 202.55

Maple Leaf Cement 45.31 2.75 2.60 2.95 3.10 2.85

National Bank 46.43 63.45 62.25 66.90 69.15 65.70

Nishat (Chunian) 61.20 20.50 20.10 21.60 22.25 21.20

Netsol Technologies 50.42 18.45 18.25 19.00 19.35 18.80

NIB Bank 42.26 2.60 2.50 2.85 3.05 2.75

Nimir Ind.Chemical 54.30 1.45 1.35 1.55 1.65 1.50

Nishat Mills 60.29 51.30 50.95 52.30 52.85 51.90

Oil & Gas Dev XD 68.48 152.40 150.90 155.20 156.50 153.70

PACE (Pakistan) Ltd. 58.77 3.05 2.95 3.25 3.40 3.15

Pervez Ahmed Sec 71.34 1.95 1.55 2.60 2.85 2.20

PIAC(A) 55.97 2.20 2.05 2.55 2.75 2.40

Pioneer Cement 50.13 7.65 7.35 8.25 8.50 7.95

Pak Oilfields 54.28 241.45 240.50 243.95 245.45 243.00

Pak Petroleum 51.08 186.15 185.40 187.45 188.00 186.70

Pak Suzuki 42.80 72.45 71.80 74.35 75.65 73.70

PSO XD 47.30 264.65 263.60 267.15 268.60 266.10

PTCLA 36.35 18.05 17.85 18.65 19.00 18.40

Shell Pakistan 23.15 181.25 179.85 184.85 187.05 183.45

Sui North Gas 55.05 31.30 30.75 32.55 33.25 32.00

Sitara Peroxide 76.22 12.15 11.45 13.45 14.05 12.75

Sui South Gas 39.95 23.65 23.10 25.00 25.80 24.45

Telecard 46.69 2.20 2.15 2.40 2.50 2.30

TRG Pakistan 48.27 3.95 3.90 4.10 4.15 4.05

United Bank Ltd 66.35 55.85 55.50 56.75 57.30 56.40

WorldCall Tele 38.92 2.35 2.25 2.60 2.80 2.50

Company RSI 1st 2nd 1st 2nd Pivot

(14-day) Support Resistance

TECHNICAL LEVELS

Mandviwala Mauser Plastic Ind Ltd 01-Nov 5:30

TRG Pakistan Limited 02-Nov 6:00

Hinopak Motors Ltd. 04-Nov 12:00

Dewan Salman Fibre Limited 06-Nov 11:00

BOARD MEETINGS

Company Date Time

Monday, November 1, 2010 8

Indian insurers seenhaving stable growth

RBSInsuranceto create160 call

centre jobsGLASGOW: The insurancearm of Royal Bank of Scotlandis in detailed discussions withan outsourcing company over adeal that will create over 160call centre jobs in Glasgow.

The news will come as a sur-prise to observers, since it fliesin the face of the announcementin August that RBS Insurance isto close two Glasgow officeswith the cost of 440 jobs as partof a wider consolidation aheadof a probable flotation.

It has nevertheless been con-firmed by two separate sourcesthat the banking giant has beenin negotiations for most of theyear with Vertex, the companythat was unveiled severalweeks ago as the recipient of anIT outsourcing deal for TescoBank's mortgage operations inGlasgow that will bring 200jobs.

This was followed by anannouncement by the ScottishGovernment last week thatVertex was to receive £1.7million in regional selectiveassistance funding to create368 jobs in the city - eventhough the group denied thatsuch an announcement wasimminent when it was contact-ed two weeks ago by theSunday Herald. According toone well-placed source, nego-tiations would be "well downthe line".

The deals involve 4 AtlanticQuay, a 10-storey office blockthat overlooks the north side ofthe Clyde in the city centre.Vertex was last week close tosigning a 10-year leasing dealfor the seventh floor to houseTesco. It also has an option tolease the eighth floor, also forTesco, and has earmarked theground and upper ground floorsfor a deal with RBS. It expectsto reach an agreement - whichwould also be for 10 years -with the bank by early next yearat the earliest.

A further intriguing note isadded by the fact that RBS is inthe throes of vacating 6Atlantic Quay, from where ithas run its Direct Line opera-tion for many years. Togetherwith the closure of anotheroffice in St Vincent Street, it isretrenching the insurance oper-ation to Cadogan Street, adding200 to the existing staff to takethe Glasgow total in the divi-sion to 1300.

The moves are part of thewider closure of 14 officesaround the UK, reducing theinsurance portfolio to 13 officesafter the European Unionordered the company to offloadthe division by 2013 as part ofits investigation into state aid tothe banks. RBS announced atthe time that the decision wouldlead to the loss of 2000 jobsUK-wide.

While Tesco is contractingVertex because it does not havethe IT infrastructure required toget permission from theFinancial Services Authority tooffer mortgages, it is not clearwhy RBS would be looking tooutsource part of its operation.Other brands in the portfolioinclude Churchill, Privilege andGreen Flag.

A spokesman for RBSInsurance said: "Pitched againstan ever-competitive market, weare constantly exploringoptions that will help usachieve greater cost efficien-cies. However, we do not com-ment on speculation and have acommitment to our staff that wewill always tell them first if weare announcing any changesthat affect them."

A spokesman for Vertex said:"We don't comment on specula-tion or rumour."-Agencies

ARLINGTON: Federal Deposit Insurance Corporation Chairman Sheila Bair

speaks at a Federal Reserve System symposium. -Reuters

NEW YORK: Title insurers aretrying to push legal costs associ-ated with the foreclosure messonto banks, but lenders don'tseem willing to agree as a groupto take them.

That has led some title insur-ers to pull back on their demandsand give banks the benefit of thedoubt.

The stakes are high for the realestate market. Without titleinsurance, home sales cannothappen, and the glut of fore-closed homes in the UnitedStates cannot be sold.

Some title insurers have slowedunderwriting policies because theyare unsure how much they mayhave to pay for the foreclosuremess. That may be weighing onthe housing market.

In recent weeks, banks havecome under fire for using sloppypaperwork to foreclose onhomes. Title insurers protect thebuyer of a home against claimsthat prior owners still legally ownthe property. If banks haveimproperly foreclosed, thewronged borrowers could createan influx of lawsuits that titleinsurers would have to defend.

Banks are reluctant to sign asort of model industry agree-

ment to take on insurers' legalcosts, because it could exposethem to the suggestion they didsomething wrong, industry rep-resentatives said.

"If this is going to be done itmakes more sense as a targetedsolution that's mutually agreeableto the parties that are directlyaffected," said Bob Davis, execu-tive vice president for mortgage,markets and public policy at theAmerican Bankers Association,in an interview.

Until now the title insuranceindustry has operated in relativeobscurity. Most people havenever heard of title insurance,unless they have bought property.

The four largest national titleinsurers -- Fidelity National Title,First American Financial, StewartInformation Services and OldRepublic International -- control90 per cent of the market along-side much smaller independentinsurance companies.

Stewart, citing the modelindustry agreement, said it wasready to issue insurance "to pur-chases of foreclosed propertiesfrom institutional lenders repre-senting that they have followedall applicable legal processes" --a signal it wants lenders to

accept the agreement before itwrites policies. On the otherhand, First American said on aconference call with analysts itwas giving up on pushing a dealgiven changes the banks hadmade in their processes.

We do not think a generalindemnity is necessary," ChiefExecutive Dennis Gilmore saidon a conference call.

Analysts say the future of suchan agreement is very question-able and title insurers may haveto do without.

"If there is no master agree-ment, I expect individual titleinsurers will negotiate with indi-vidual banks," said Jerry Bruni,who owns Fidelity National stockand oversees $425 million at J.V.Bruni and Co in ColoradoSprings, Colorado.

The ultimate fate of the agree-ment could affect the appeal ofthe sector to investors.

With the exception of OldRepublic, shares in the sector aredown anywhere from 3 to 7 per centthis year, against a 10.3 per cent gainfor the S&P insurance index.

"There is a lot of uncertaintywhat's going to happen, which iswhy shares are where they are,"Bruni said.-Reuters

Title insurers soften stance

as US banks stiffen theirs

PESHAWAR: KhyberPakhtunkhwa Labour MinisterSher Azam Wazir has said thatlife insurance scheme for welfareof the poor and deserving peopleunder Benazir Income SupportProgramme would be initaitedfrom November 1st, next.

Talking to media personshere at his office, LabourMinister said that people werethe real source of power andPPP has its roots in the massesmaking it the most popularparty of the country.

He said that the government

would continue its peoplefriendly policies so as to pass onbenefits of democracy to thecommon man. Sher Azam saidthat the PPP has a history of put-ting up struggle against dictato-rial elements and has renderedgreat sacrifices for upholdingdemocratic principles.

He maintained that specula-tions about removal of govern-ment were mere daydreams ofcertain vested elements addingthat the current regime wouldcomplete its constitutionalterm.-APP

Life insurance forpoor soon: minister

TFD Report

KARACHI: Last week insur-ance stocks at Karachi stockExchange (KSE) saw negativeactivities as bears ruledsupreme.The general bearish spell pret-

ty much reduced investor par-ticipation bringing the numberof traded shares to a not veryheartening level.

Adamjee Insurance was the

volume leader with 3.78 mil-lion shares followed by PakReinsurance with 3.13 million.IGI Insurance grew by Rs2 toclose at Rs83 and CentralInsurance by Rs1.09 to close atRs52 to be the major gainerswhile EFU Life Assurancedropped by Rs10.45 to close atRs67.68 and AdamjeeInsurance by Rs4.99 to close atRs69.53 being the major losersof the week.

Not a very good wkfor insurance stocks

KARACHI: The Board ofDirectors of Pak-Qatar FamilyTakaful has decided to furtherinvest in the company by issu-ing right shares up to 33 percent of the base capital.

This was decided in theBoard of Directors meeting ofPak-Qatar Family Takaful heldin Doha, Qatar recently.

The meeting was chaired byHE Shaikh Ali bin AbdullahAl-Thani chairman board ofdirector and was also attend byall the members.

CEO, PQFTL P Ahmedapprised the Board on the state-of-affairs of the Company andpresented the progress report;Shaikh Thani and other mem-bers of the board expressedtheir satisfaction and appreciat-ed the performance so fardespite the difficult socio-eco-nomic conditions of the coun-try.

Shaikh Ali bin Abdullah Al-Thani assured his full supportto PQFTL. He said thatPQFTL "has the institutional

capacity to cater to the protec-tion and long-term investmentneeds of the people ofPakistan." The sponsors ofPak-Qatar, who are leadingfinancial institutions from thestate of Qatar including QNB,Masraf Al-Rayan, QIIB, QIB,QIIC, The Amwal group andGerman base FWU group,showed their long term com-mitment to the country andpledged to provide assistanceto support the cause of Takafulin Pakistan.-Online

PQFTL announcesright shares issue

RIYADH: Many Saudis areunaware of the regulations andprovisions of the health insur-ance scheme that was madecompulsory for domestic work-ers two years ago, according to areport in Al-Riyadh newspaper.

For many Saudi sponsors,acquiring health insurance is aprocedure that they only com-plete to process their workers'paperwork such as renewing orissuing iqamas. The sponsorsblame insurance companies forgiving them incorrect informa-tion with an eye on maximisingtheir own financial benefits, andsay they do not fulfill the provi-sions of signed contracts.

Due to an overwhelming num-ber of the Kingdom's seven mil-lion expatriate workers beingdomestic staff, the problem iswidespread.

Dr Hamad Al-Manie, the thenminister of health, announced in2008 a mechanism in whichdomestic workers such as maidsand drivers would be required tohave health insurance.

"The ministry carried outstudies and came up with twoproposals to implement themechanism. One is that the min-istry would provide health insur-ance coverage to each workerfor a premium of SR500 andthen he or she would be entitledto receive medical care at allgovernment hospitals and healthclinics in the Kingdom. The sec-ond proposal involves a directpayment of SR1,200 by theworker to an insurance compa-ny, which would bear the wholetreatment cost at both govern-ment and private hospitals," saidAl-Manie.

Abdullah Al-Bashar, a Saudicitizen, expressed his surprise atthe negligence of the privatesector in implementing the sys-tem. "Bringing domestic work-ers under health insurance cov-erage would be a big boost to theprivate sector, and thus openavenues to make more invest-

ments in this vital health sector,"he said.

Al-Bashar said some privatecompanies and establishmentsare playing games with theinsurance system. "They arepaying insurance premiums notto meet the cost of treatment butfor completing procedures suchas the issuing and renewing ofiqamas," he said, adding that thisis simply like leaving membersof the public in a lurch.

He further underlined the needto make people fully aware ofthe salient features of the healthinsurance scheme, and to takepunitive measures against thoseinsurance companies that violatecontract provisions.

Muhammad Al-Mehna, anoth-er Saudi citizen, said people arenow between a hammer and ananvil and that many view healthinsurance as an extra financialburden. "Ignorance on the partof both sponsors and workers ofthe provisions of the healthinsurance scheme is a blessingin disguise for insurance compa-nies. Both insurance companiesand private hospitals are vigilantnot to provide specific informa-tion about the health coveragethat comes under the scheme,"he said.

"Subsequently, both citizensand their workers remain totallyunaware about the health carethat they are entitled to under thescheme. They are thereforeforced to consider health insur-ance premiums as an additionalfee that they need to pay to issueand renew iqamas," he said.

Al-Mehna urged the authori-ties to stringently monitor insur-ance companies and concernedhospitals, and take punitiveaction against those who fail tofulfill their obligations.

Adel Abu Nama, an official at aprivate recruitment office, under-lined the need to strictly imple-ment health insurance regulationsand take action against errantcompanies and hospitals.-NNI

SArabianworkersin healthcover fix

HHS offersgrants forearly US

insuranceexchanges

WASHINGTON: Five stateswill receive grants to design thetechnology needed for healthinsurance exchanges, the pieceof health reform states havesaid could be a burden on them,the US Department of Healthand Human Servicesannounced.

States, as well as coalitions ofstates, will compete for thetwo-year "Early Innovator"grants, which will help defraythe cost of developing andimplementing informationtechnology infrastructure forestablishing the exchanges,HHS said.

The models developed bygrant recipients will then bemade available for other statesto use to set up their exchanges.

"The states have told us thatthey don't want to all have toreinvent the wheel on eachaspect of the exchange," JoelArio, HHS director of healthinsurance exchanges, said on aconference call with reporters.

He said the grants will beawarded by Feb. 15 and will goto states that have "ambitious-yet-achievable proposals thatcan yield IT models that canserve as best practices."

HHS has not determined howmuch money grant recipientswill receive, Ario said, explain-ing that the department willlook to states to determine howmuch their proposals wouldcost.-Reuters

AIG’s crownjewel ‘AIA’makes hotHK debut

HONG KONG: AIA GroupLtd surged 17 per cent in itsHong Kong debut as investors,chasing exposure to Asia's fast-growing life insurance busi-ness, piled into the recordoffering in the world's hottestIPO market.

The better-than-expected list-ing is a relief for bailed-outinsurer American InternationalGroup Inc after a two-yeareffort to sell its Asian unit,including a failed takeoverattempt from British insurerPrudential plc.

Encouraged by the first-daypop, AIG exercised the green-shoe in full, taking the IPO sizeto $20.5 billion (13 billionpounds). That makes it thethird-biggest IPO ever, behindAgricultural Bank of China Ltdand Industrial and CommercialBank of China Ltd.

The strong start boostedAIA's market value above the$35.5 billion Prudential hadinitially offered for AIA inMarch, vindicating AIG's deci-sion not to accept a $30.4 bil-lion bid that followed.

AIA CEO Mark Tucker willnow battle it out withPrudential to grab a greatershare of the $358 billion Asia-Pacific life insurance marketafter spending about 17 yearsbuilding Prudential's Asianbusiness.

Diversifying quickly intobancassurance -- selling insur-ance products through banks --is one of the battles Tucker hason his hands, as he drivesgrowth at AIA after the woundsinflicted by AIG's near-col-lapse.

"The successful IPO wouldturn management's full atten-tion back to the core business.The IPO and the separationfrom AIG took up some ofmanagement's time," said SallyYim, senior analyst of financialinstitutions group at Moody'sInvestor Service.-Reuters

The Financial Daily-Epaper-01-11-2010

Documents

Transcript of The Financial Daily-Epaper-01-11-2010