June 22, 2008	Sunday	Jamadi-us-Sani 17, 1429

KARACHI, June 21: The CFS (continuous funding system) rates on the Karachi Stock Exchange last week were quoted higher by 181 basis points at 16.74 per cent in sympathy with the increase in Treasury bills during the recent auction.

A leading money market analyst Khurram Shehzad said the post-auction CFS rate touched the peak of 17 per cent despite the fact that the demand for fresh credit lines was not that aggressive in a falling stock market.

“The fall in demand for fresh CFS funds is well-reflected in the total amount lent during the last week at Rs30.39 billion, off 9.86 per cent or Rs3.33 billion,” he said.

About 47 per cent of the total CFS credit lines, was shared by the top five companies under the lead of National Bank, Pakistan Oilfields, Arif Habib Securities, D.G. Khan Cement and Pakistan Petroleum, he added.

Open interest on the forward counter showed a modest rise at Rs15.89 billion, but on the other hand future spreads went south by 317 basis points.