FBMKLCI 1789.87
+5.67pts (+0.32%) Volume
1.490b Value 1.548b
1) The KLCI rebounded for a 2nd day after the US shrugged
off the weaker earnings to reach fresh records once again on confidence that
the Fed will not taper of QE this December. In the regional market, bourses
were in the greens as well after SHCOMP +1.68%, HSI +1.69% shares gained amid
speculations that the China government will unveil detailed changes in economic
policy as soon as next week. In the local scene, the TECHNOLOGY +2.75% sector
outperformed in the CI today led by MPI +9.37% that reported significant better
results while also announcing dividend payout of 5sens; boosting other stocks
such as UNISEM +15.38%, JCY +4.09%, DATAPRP +5.88%. Market breadth was positive
with gainers edging losers by 424 : 364. Futures closed 1792 (3pts premium)
2) Heavyweights: MAYBANK +0.722% RM9.77, PETGAS +1.67%
RM23.10, SKPETRO +1.65% RM4.30, PPB +2.86% RM14.34, HLBANK +2.0% RM14.18, PCHEM
+0.75% RM6.70, FGV +1.62% RM4.37, CIMB -0.80% RM7.38, AMBANK -1.36% RM7.25
3) DBT : IRIS 132.275mil @ RM0.26 (6.713% PUC @ 5.5%
discount), ASTRO 8.632mil @ RM2.82, BARAKAH
5.558mil @ RM1.3009, YINSON 2.0mil @ RM4.80 (2.3% discount).
4) Situational:-
HIBISCS +1.0% RM2.02 - Hibiscus Petroleum Bhd's unit,
Carnavon Hibiscus Pty Ltd, on behalf of its VIC/P57 joint venture, has been
offered a production licence over the West Seahorse oilfield in the offshore
Gippsland Basin in Australia. The licence was offered by the National Offshore
Petroleum Titles Administrator of Australia (NOPTA) to the company, and in a
separate notice, NOPTA has also approved the Field Development Plan for West
Seahorse. The licence represents a key milestone for the West Seahorse project.
5) BUMI ARMADA
Announced that EnQuest Heather Limited together with
EnQuest ENS Limited, First Oil and Gas Limited, Nautical Petroleum Limited and
Nautical Petroleum AG have via a Letter of Interim Agreement, confirmed their
intention to award a contract for the supply and operations of a floating
production, storage and offloading vessel ("FPSO") to Bumi Armada UK
Limited, a wholly-owned subsidiary of Bumi Armada.
The LOIA is construed as an Interim Agreement under which
Bumi Armada UK and/or its affiliates is to proceed to commence work related to
the Contract ahead of the final award and is subject to successful negotiations
of the commercial terms and execution of the Contract expected before 30
November 2013.
Long awaited FPSO contract by the investment community.
Although largely anticipated, investors will be relieve that thee is finally
news flow on their FPSO division. This contract is potentially worth USD1bn
over 5 years. +ve as this will spring new confidence in investors over its
outstanding further 12 FPSO tenders. BUY.
6) Market - We continue to advocate a buy on weakness
with the KLCI trading closer to immediate support of 1775pts levels ahead of an
expected year end rally.
