Tresmark

It is a great pleasure to announce the *partnership* between the *Financial Markets Association* (FMA) and *Tresmark* to fulfil all their digital and technical needs. We began this collaboration by launching FMA's financial app, aimed at *increasing financial literacy and inclusion*. This initiative represents a significant step towards empowering individuals with the knowledge and tools necessary to navigate the financial markets effectively. #fmap #Tresmark #collaboration #digital #tool #partnership

Further growth in remittances expected At the height of the 'dot com bubble', Masayoshi Son (of Softbank) lost a mind boggling $70billion within a year. This substantial loss is considered one of the largest personal wealth declines in history. At that time, NASDAQ lost nearly 80% of its value from its peak, erasing trillions of dollars in market capitalization and leading to a recession. However, this period was characterised by extreme volatility, with markets making massive gains due to optimism, followed by sharp sell-offs due to unrealistic valuations, leading to highly volatile daily and intraday movements. After the Nasdaq dropped nearly 40% from its March 2000 peak, it rallied sharply in early 2001, gaining approximately 20% over a few weeks, only to fall another 50% subsequently. Annualised volatility clocked around 40%. This is also when the term ‘Dead cat bounce’ became a frequent term. Volatility for KSE100 is averaging around 32% this month. But not all episodes of volatility lead to crash. Unlike extreme optimism and insane valuations, for PSX, it was pessimism which had led to a periods of low valuations. With excess liquidity and stable financial optics, the Index is expected to maintain it forward momentum. In our last weekly, we had forecasted a collapse in the index post MPS, based on profit taking and year end reallocation. We continue to see a downward trend, though less dramatic than what we just saw, and then to resume its upward journey beginning of new year. In fact most forecasts presented last week were spot on with SBP cutting rates by 200 bps, Fed by 25bps and with BoJ & BoE holding rates. Currency Outlook Last week we saw Rupee coming under pressure and swaps collapsing. Market is talking about huge payments going out in the form of debt servicing and year end strategic payments. We will continue to see these outflows till the 27th Dec. Even though these payments were made, Reserves still grew by $32mn, as SBP funded these payments by doing buy sell swaps. Hence the collapse of swap premiums. Analysts expect swaps to recover materially in early January, as the buy sell swap pressure fades and as FE loans start maturing. They expect exporters to start selling forwards as soon as premiums permit as the local currency is expected to remain stable even though REER clocked in higher around 102.92 One leading reason for maintaining a stable Rupee outlook is further improvement in remittances. we expect, monthly remittances to increase by another $250mn per month on the back of the new non-filer tax law and continued weak appetite for imports. This could take remittances to a massive $38bn in calendar year 2025 by adding $3bn more. About Masayoshi Son Despite this huge setback, Son demonstrated tremendous resilience & grit by rebuilding his fortune in subsequent years. He is the most prominent shareholder in AliBaba and has a current net worth of $32bn. #rupee #psx #pakistan #pakitaneconomy

The total liquid foreign reserves held by the country stood at US$ 16,632.7 million as of 13-December-2024 up by US$ 32 million or 0.19% The break-up of the foreign reserves position is as under: i) Foreign reserves held by the State Bank of Pakistan: US$ 12,081.5 million ii) Net foreign reserves held by commercial banks :US$ 4,551.2 million iii) Total liquid reserves: US$ 16,632.7 million.

#psx #kse #usd #pkr

#pakistan #FDI #China #USA #sbp #UK

#pakistan #reer #realeffectiveexchange #usd #pkr

#pakistan #currentaccount #surplus #trade

#Pta #telecom #fdi #investment

#sbp #mpc #kibor #policyrate

#sbp #policyrate #kibor #interbank