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December 17, 2009
Statistics
KSE-100 Index
Previous Index 9,266.04
Current Index 9,253.66
Change % (0.13)%
YTD (CY09) 57.80%
YTD (FY10) 29.20%

International Indicators
  Close %age
BSE-30 16,912.77 0.21%
HANGSENG 21,611.74 (0.93)%
NIKKEI 255 10,177.41 0.90%
FTSE 5,320.26 0.70%
DJIA 10,441.12 (0.10)%
SSEC 3,255.21 (0.59)%
NASDAQ 2,206.91 0.27%

SCRA
Dec 15 , 2009 (0.67)
December, 2009 (48.74)
YTD 266.22

Money Market Updates
6m T-bill (Dec 02, 2009) 12.25%
12m T-bill (Dec 02, 2009) 12.09%
3m KIBOR 12.38%
6m KIBOR 12.45%
10 yrs PIB 12.48%

Exchange Rates
Inter-Bank Currency Rates
Rs/EURO 122.60
Rs/UK 137.01
Rs/US 84.57
Rs/OR 217.63

Commodities
Oil $72.26/barrel
Oil Change in % (0.55)%
Gold $1,132.10/ounce
Gold Change in % (0.36)%

Inflation
CPI Gen. - YoY (Nov 09) 10.50%
CPI Gen. - FY10 (Jul -Nov 09) 10.30%
NFNE Core INFL - YoY (Nov 09) 10.60%
NFNE Core INFL - FY10 (Jul-Nov 09) 12.00%

Economic Indicators
GDP Growth FY10E 2.00%
Per Capita Income $1,046
Population 168.20mn
US$ Reserves (Dec 05, 2009) 13.57bn
Trade Balance (Jul-Nov 09) $(5.48)bn
Curr. A/C (Jul-Oct- 09) $(1.07)bn
Remittances (Jul -Nov 09) $3.80bn
Foreign Investment (Jul -Nov-09) $1.09bn
All Sch. Banks Deposit Base (Dec 12, 2009) Rs4,262bn

NAVs and Returns
as of Dec 16, 2009
Funds Offer Redemption
POBOP 52.0699/- 51.5492/-
Daily Return 8.79%
POAIIF 53.4532/- 52.9187/-
Daily Return 16.07%
POAIF 55.69/- 54.30/-
Daily Return (26.87)%
POASF 56.76/- 55.34/-
Daily Return (39.53)%
POAF 10.5262/-
Daily Return 14.48%
*Daily Returns are calculated as per MUFAP guidelines

Funds Rating
AMC Ratings AM3+
POBOPAPF Fund A- (f)
POAF Fund Rating AA-
Economy

Foreign investment declines by 25 per cent
Foreign investment has fallen since the beginning of the current fiscal year, and collective decline in the first five months was by 25 per more... (D)

Conditions for aid to Pakistan: US to demand 'maximum accountability'
The Obama administration sought to reassure US lawmakers this week it would demand "maximum accountability" from Pakistan for $7.5 billion in aid and that it had safeguards to ensure funds did not reach extremists. In a report sent by the State Department to congressional committees late on Monday more... (BR)

China keen to invest in banking, power sector
Pakistan and China need to bring business and investors groups closer to develop public-private partnership (PPP) as Chinese investors have more... (D)

Politics

NRO declared void ab initio
The Supreme Court of Pakistan on Wednesday declared National Reconciliation Ordinance (NRO) invalid from the outset or beginning (void ab initio) being against the national interest as it was meant "to give benefit to a class of people" and had violated the Constitution. However, after striking down the NRO that had created a divide among the people of Pakistan, the Court said it will keep an eye on the proceedings of the revived cases through the establishment of Monitoring Cells more... (BR)

Mullen takes up military operation in tribal areas with Zardari
The US Joint Chiefs of Staff Admiral Mike Mullen on Wednesday called on President Asif Ali Zardari in the presence of Chief of Army Staff General Ashfaq Pervaiz Kayani and discussed security issues of Pakistan and Afghanistan. Mullen also met separately with Chief of Army Staff General Kayani and Chairman Joint Chiefs of Army Staff General Tariq Majeed and discussed the military operation in tribal areas and the Malakand Division more... (BR)

President Zardari enjoys immunity: spokesman
Pakistan Peoples Party (PPP) has said that it respects the decision of the apex court and will face the cases in the courts courageously. However, PPP rejected the impression that its Co-chairman and President of Pakistan Asif Ali Zardari would resign following the court's decision against the NRO and void more... (BR)

Sector Briefing

NIT-LOC Fund unit-holder may exitShabbir Kazmi
As year 2009 is approaching its end, the level of unease among investors (NBP, BoP, and FABL) about NIT-LOC Fund is on the rise. It seems most probable that instead of liquidating part of its holding NIT would prefer to pass on part of its holding, on pro-rata basis to the major investors more... (FD)

KESC set to issue 1.3bn shares to IFC, ADB
Karachi Electric Supply Company (KESC) has convened an extraordinary general meeting on January 20, 2010 to consider and approve issuance of additional share capital to the extent of $50 million to International Finance Corporation (IFC) and Asian Development Bank (ADB) more... (FD)

Oil demand to go up in 2010: Opec
The Opec oil producers' cartel upgraded slightly its forecast for world oil demand growth next year, but said demand in advanced economies would contract again. World oil demand "is forecast to return to growth in 2010 following two years of devastating declines," the Organization of Petroleum Exporting Countries said in its report more... (FD)

(BR) Business Recorder, (D) Dawn, (N) The News, (DT) Daily Times, (FD) The Financial Daily
Research Team:
Shoaib Ali Khan
Department Head
Shayan Hasan
Research Analyst
  Imran Altaf
Research Analyst
Abdul Majid Butt
Research Analyst
  Faiz Malik
Database Manager

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Disclaimer:
This news update is being circulated for information purposes only and no action is being solicited based on it. Information and calculations presented in this news update have been generated from sources which we believe to be reliable, however we do not represent that it is accurate, complete and should be relied upon. Pak Oman Asset Management Company Ltd. does not assume any liability on it. This news update or any part of it should not be reproduced, published or distributed without prior permission.