Dec 29, 2010
KSE-100 Index
Previous Index 11,909.73
Current Index 11,848.05
Change % -0.52%
YTD (CY10) 26.21%
YTD (FY11) 21.86%

International Indicators
  Close %age
BSE-30 20,112.07 0.43
HANGSENG 22,886.09 1.17
NIKKEI 255 10,327.16 0.34
FTSE 6,008.92 0.21
DJIA 11,575.50 0.18
SSEC 2,735.82 -0.31
NASDAQ 2,662.88 -0.16
TASI 6,616.90 0.53
KSE(Kuwait) 6,918.50 0.30
BSE 1,427.73 0.10
MSM 6,718.81 0.52

Dec 27, 2010 3.64
Dec, 2010 36.13
YTD (FY11) mn 198.85

Money Market Updates
6m T-bill 15-Dec-10 13.39%
12m T-bil 15-Dec-10 13.69%
3m KIBOR 13.43%
6m KIBOR 13.61%
10 yrs PIB 14.24%

Exchange Rates
Inter-Bank Currency Rates
PKR/EUR 113.86
PKR/GBP 132.90
PKR/USD 85.86
PKR/OMR 220.98

Oil $91.35/barrel
Change in % -0.04
Gold $1,405.1/ounce
Change in % 0.98

CPI Gen. - YoY (Oct-10) 15.3%
CPI Gen. - FY11 (Jul- Oct 10) 14.2%
NFNE Core INFL - YoY (Oct 10) 9.3%
NFNE Core INFL - FY11 (Jul- Oct 10) 9.7%

Economic Indicators
GDP Growth FY10E 4.10%
Per Capita Income $ 1,1051
Population 171.25mn
US$ Reserves (Dec 3, 2010) $16.74 bn
Trade Balance Oct $(1.23)bn
Curr. A/C (Jul-Oct-10) $(533)mn
Remittances (July - Nov 10) $4.43bn
Foreign Investment (Jul - Oct 10) $569mn
All Sch. Banks Deposit Base (Nov 19, 2010) Rs679.65bn

NAVs and Returns
as of Dec 28, 2010
Funds Offer Redemption
POAIIF 52.0446/- 51.5242/-
Daily Return 7.65%
POIAAF 60.62/- 59.10/-
Daily Return -165.99%
POAAAF 58.84/- 57.37/-
Daily Return -177.28%
POAF 10.48/-
Daily Return 11.79%
*Daily Returns are calculated as per MUFAP guidelines

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

Major reforms on the cards to control fiscal deficit
With fiscal deficit going out of hand and threatening the country's macroeconomic framework, the government will introduce in a couple of days some of the major reforms, including withdrawal of sales tax exemptions, to build on a nine-month breather allowed by the International Monetary Fund (IMF) on its standby programme. more... (D)

Pakistan, Oman set to talk FTA
Prime Minister Syed Yousuf Raza Gilani Tuesday denied any communication gap with India on resolution of core issue of Kashmir and other outstanding issues, but asked it not to hold the dialogue process hostage to the Mumbai incident. This impression should be dispelled that there is lack of communication between Pakistan and India, Gilani said, however pointed at lack of trust, in an interaction with local Omani media at his hotel. more... (TFD)

E-commerce on rise, SBP reports
The scope of payment systems infrastructure in the country increased during the first quarter (July-September) of the current 2010-2011 fiscal year (FY11) as a total of 99 automated teller machines (ATMs) were added to the e-banking infrastructure bringing the total number of ATMs to 4,562 in the country. more... (TFD)





President orders to remove MQM reservations
In a bid to pacify the coalition partners at the Center, President Asif Ali Zardari on Wednesday ordered Sindh Chief Minister Qaim Ali Shah to remove all reservations shown by the MQM. Governor Sindh Dr Ishrat-ul-Ibad in a meeting with the president, updated him about the party's reservation. more... (D)

Lawmakers raise voice over rising drone attacks
Members of the National Assembly Tuesday expressed serious concern over the rising drone attacks into the tribal areas of Pakistan. They called upon the government to get these attacks halted which are disturbing law and order and hurting the economy of the country. more... (TFD)

MQM minister sends resignation to president
The breach between two main coalition partners — Pakistan People's Party and Muttahida Qaumi Movement — widened further after the Minister for Overseas Pakistanis, Farooq Sattar of the MQM, sent his ‘symbolic' resignation to President Asif Ali Zardari on Tuesday, indicating his party's intention to part ways with the government. more... (D)

Concerted move to upset the apple cart
The political landscape got murkier on Tuesday when JUI-F chief Maulana Fazlur Rehman came out with a strong demand for removal of Prime Minister Yousuf Raza Gilani and his replacement with another nominee of the PPP and the MQM fired a broadside on the ruling PPP and also on the opposition PML-N. more... (D)






Sector Briefing

Gas supply to fertilizer companies halted: Qamar
Federal Minister for Petroleum and Natural Resources Naveed Qamar told National Assembly (NA) that gas supply to fertilizer-manufacturing companies would remain suspended for a month, Geo News reported. Government's gas supply policy for whole of country is based on equality, the minister remarked, adding that there is no gas load shedding being observed in Khyber Pakhtoonkhwa province following KPK High Court verdict. more... (TN)

SECP amnesty schemes end on December 31
The Securities and Exchange Commission of Pakistan (SECP) has announced that its amnesty schemes for the corporate sector will expire on December 31. The Companies Regularisation Scheme (CRS) and the Companies Easy Exit Scheme (CEES) were initially operative for three months from July to September. more... (ET)

Foreign buying increases more than 20 times
Local investors remained bearish in the stock market due to liquidity crunch amid heavy borrowing by the government, but foreign funds saved the bourse in the outgoing year. Foreigners did net buying of $0.5 billion in 2010 compared with only $24 million in 2009, an increase of more than 20 times. High government borrowing is crowding out private investment in the country and local investors prefer to park their funds in risk-free government papers or high-yielding bank deposits, said Topline Securities analyst Farhan Mahmood. more... (ET)


KSE Notices

Nagina Cotton Mills Limited
The Extra Ordinary General Meeting of the company to be held on Jan 25, 20011 more... (KSE)




(BR) Business Recorder, (D) Dawn, (N) The News, (DT) Daily Times, (FD) The Financial Daily, (KSE) Karachi Stock Exchange
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.