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March 25 , 2010
Statistics
KSE-100 Index
Previous Index 9,963.35
Current Index 10,146.27
Change % 1.84%
YTD (CY10) 8.09%
YTD (FY10) 41.66%

International Indicators
  Close %age
BSE-30 17,451.02 0.23%
HANGSENG 21,008.00 0.10%
NIKKEI 255 10,815.03 0.40%
FTSE 5,677.88 0.10%
DJIA 10,841.14 (0.44)%
SSEC 3,056.81 0.12%
NASDAQ 2,400.23 (0.62)%

SCRA
Mar 19 , 2010 6.60
March, 2010 83.52
YTD 377.58

Money Market Updates
6m T-bill 10-Mar-10 12.30%
12m T-bill 10-Mar-10 12.36%
3m KIBOR 12.36%
6m KIBOR 12.43%
10 yrs PIB 12.45%

Exchange Rates
Inter-Bank Currency Rates
Rs/EURO 113.41
Rs/UK 126.34
Rs/US 84.45
Rs/OR 216.31

Commodities
Oil $80.50/barrel
Oil Change in % (0.14)%
Gold $1,089.10/ounce
Gold Change in % 0.03%

Inflation
CPI Gen. - YoY (Feb 10) 13.00%
CPI Gen. - FY10 (Jul -09-Feb 10) 11.10%
NFNE Core INFL - YoY (Feb-10) 10.10%
NFNE Core INFL - FY10 (Jul-09-Feb-10) 11.40%

Economic Indicators
GDP Growth FY10E 2.00%
Per Capita Income $1,046
Population 168.20mn
US$ Reserves (Mar 18, 2010) 14.85bn
Trade Balance (Jul-Feb 10) $(9.42)bn
Curr. A/C (Jul-Feb-10) $(2.56)bn
Remittances (Jul -Feb 10) $5.79bn
Foreign Investment (Jul -Feb-10) $1.02bn
All Sch. Banks Deposit Base (Mar 13, 2010) Rs4,419bn

NAVs and Returns
as of Mar 24, 2010
Funds Offer Redemption
POBOP 47.0213/- 46.5511/-
Daily Return 39.92%
POAIIF 50.6712/- 50.1645/-
Daily Return 24.32%
POAIF 53.02/- 51.69/-
Daily Return 124.42%
POASF 57.11/- 55.68/-
Daily Return 125.41%
POAF 10.7964/-
Daily Return 12.57%
*Daily Returns are calculated as per MUFAP guidelines

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

Adoption must for IMF tranche: VAT implementation depends on passage of law by provinces
The implementation of the value-added tax (VAT) from July 1, 2010 would be seriously compromised in case any of the provinces refused to pass the provincial VAT Bill 2010. Tax officials told Business Recorder here on Wednesday that implementation of VAT from next fiscal year is a structural benchmark for obtaining subsequent tranche under the Standby Arrangement (SBA) of the International Monitory Fund (IMF) more... (BR)

SBP accepts bids worth Rs 93.062 billion of MTBs
The State Bank of Pakistan (SBP) on Wednesday accepted bids worth Rs 93.062 billion with realised value of Rs 84.842 billion, for sale of 3-month, 6-month and 12-month Government of Pakistan Market Treasury Bills (MTBs). The SBP has conducted auction of 3-month, 6-month & 12-month government MTBs through primary dealers on March 23-24, 2010 more... (BR)

Foreign inflow of $6.27m in stocks in 2 days
Pakistani capital markets continue to grip foreign investors’ interest, evident from net foreign buying of $6.27 million worth of shares in more... (D)

Politics

Prime Minister sees 'major paradigm shift' in US policy
Prime Minster Yousuf Raza Gilani hailed on Wednesday a "major paradigm shift" in US policy towards his country, as top Pakistani officials were in Washington for a "strategic dialogue". Gilani said the countries were moving from suspicion to trust in fighting terrorism, as Secretary of State Hillary Clinton said the talks with Pakistan's army chief and its foreign minister marked a "new day" in ties more... (BR)

India-Pakistan dialogue up to leaders: US
The United States said Wednesday that it was up to India and Pakistan to decide on their own relations after Islamabad renewed its call for a US role on the Kashmir dispute. Pakistani Foreign Minister Shah Mehmood Qureshi, taking part in high-level talks which the United States hope will show goodwill, called for a "constructive engagement" by the United States on Kashmir more... (BR)

18th Amendment Bill, 2010: Rabbani to present draft recommendations on March 26
Advisor to Prime Minister and Chairman of Parliamentary Committee on Constitutional Reforms (PCCR), Mian Raza Rabbani would present draft recommendations for 18th Amendment Bill, 2010 in the parliament on March 26, reliable sources told Business Recorder more... (BR)

Sector Briefing

Oil & gas exploration: growing circular debt ebbs drilling activities
The drilling activities of oil and gas exploration companies have reduced by 22 percent during the first eight months of FY10 mainly due to growing circular debt. Only 67 wells have been drilled, so far, (including carry-over wells) as compared to 86 wells spudded in the same period last year more... (BR)

SSGC devises strategy to reduce line losses
Sui Southern Gas Company (SSGC) has devised a quantifiable strategy for reducing Unaccounted for Gas (UFG) or line losses within the next three years to a satisfactory level. Through a yearly reduction plan, the company intends to rehabilitate its distribution lines, install new automatic pressure management systems as well as smart meters and carry out massive leak rectification and theft control more... (BR)

10 exploration blocks to be offered in June
Pakistan will offer ten exploration blocks to reputable exploration and production companies in June this year, of which at least one block more... (D)

(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.