All eyes on IMF sixth review due today for the revival of US$6bn Extended Fund Facility where Pakistan have already met all the pre-conditions for the revival of the program. We think successful IMF review will bring back much needed confidence in the market. Moreover, Inflation for January rose by 13% YoY, increasing for a fifth month in a row at the fastest pace in nearly two years in a sign of broadening inflationary pressure from rising energy and food costs.

We would continue to advise accumulation in Banks (BAFL, UBL, HBL, MEBL), Cements (PIOC, LUCK, MLCF, DGKC), Tech (SYS, OCTOPUS), Textile (GATM, ILP), Power (KAPCO, HUBCO) and Fertilizers (EFERT).

Courtesy – Intermarket Securities Limited