FBMKLCI 1784.20
+1.71pts (+0.10%) Volume
1.542b Value 1.790b
1) The KLCI recovered some grounds after 2 days of heavy
selling to close at 1.71pts above parity today, this is inline with the US
market that rose to record high after the dovish Future Fed Chairman Janet
Yellen showed support of the loose monetary stimulus. In the regional market,
Japan rose for a 5th consecutive day after 3Q growth data beat expectations leading
the Asian markets higher; HSI and SHCOMP followed closely behind gaining 0.82%
and 0.60% respectively. In the local scene, Plantation Index +0.57% gained
boosted by names such as TSH+7%, IOICORP+0.4%, KULIM+1.7% and FGV+0.5% after
Dorab Mistry revised his outlook for CPO future prices to RM2,800 in the coming
months. Market breadth was positive with gainers outpacing losers by 503 : 282.
Futures closed 1783 (1pts discount)
2) Heavyweights: GENTING +1.76% RM10.40, UMW +4.24%
RM12.76, MISC +1.78% RM5.14, PETGAS -1.64% RM22.72, HLBANK -1.97% RM13.90, CIMB
-0.40% RM7.44, PCHEM -0.74% RM6.65, MAYBANK +0.30% RM9.70
3) DBT : XDL 14.50mil @ RM0.3828 (1.997% PUC @ 6.3%
premium), HYTEXIN 10mil @ RM0.10 (6.667% PUC @ 24.1% discount), TSH 3.25mil @
RM2.73
4) Situational:-
FGV +0.46% RM4.30 - Felda Global Ventures Holdings Bhd
(FGV) has formed a 40:60 joint venture with Lipid Venture Sdn Bhd (LVSB) to
undertake the development, construction, fabrication and operation of a plant
to produce tocotrienol (vitamin E) from refined bleached palm oil. Felda Global Ventures Downstream Sdn Bhd
(FGVD), entered into a joint venture and shareholders' agreement with LVSB and
that the plant would be located in Kuantan, Pahang. The JV company would be
funded by externally sourced funds and Malaysian Government's Performance and
Management Delivery Unit's grant under entry point project.
KUB +3.40% RM0.455/ AIRPORT +2.50% RM8.59 - KUB Malaysia Bhd is all set to hand over its
RM268.8m third runway project at the Kuala Lumpur International Airport 2 to
Malaysia Airports Holdings Bhd (MAHB) by the end of this month. It was reported
that the operator and manager of Malaysia's 39 airports had awarded the project
to KUB in October 2011 to build the 3.96km third runway, parallel connecting
taxiways and other associated works at the new low-cost carrier terminal.
5) Magnum
9 mths 9/2013
Tover -4.2% RM2.25bn Net -26%
RM214.9m EPS 15.1sen
15% below cons(f)
RM337.7m
Lower revenue due to one less draw, weaker economic
environment and competition from illegal operators,coupled with weaker pull
factors at outlets as the 4D Jackpot 1 prize pool remained low due to higher
frequency of Jackpot 1 strikes. The Group reported a 9 months pre-tax profit of
RM321.4 million in the current period compared to RM296.2 million recorded in
the previous year corresponding period. The better result is due to to lower
prize payout ratio from the Gaming division.
Net numbers were lower due to loss from discontinued
operations, with a net loss on disposal of RM69.8 million arising from the
disposal of MPHB Capital Berhad, pursuant to the demerger and listing exercise
and the gain from disposal of the stockbroking subsidiary.
The company declared a qtrly divided of 5sen bringing YTD
payout of 15sen and on track to meet cons(f) of 18sen. This would still yield
an attractive 5.5%. HOLD
6) Market - Bargain hunting should start to set in with
the KLCI approaching immediate support of 1775pts as investors rebuild
portfolios for 2014.
