FBMKLCI
1758.15pts -27.82pts (-1.56%)
Volume 1.560b Value 1.969b
1) The KLCI succumbed to heavy selling pressure today
closing -1.56% below as o&g related stocks continue to trail dragged by
ailing oil prices. The CI closed at its day low shrugging off the stronger
performance by U.S market overnight. In the regional market, bourses were
generally mixed with SHCOMP +0.58% and
NIKKEI +0.32% stronger offset by losses seen in HSI -0.95% and STI-0.57%. In
the local scene, FINANCE -1.91% index lost the most grounds today weighed by
banking heavyweights MAYBANK -2.82%, CIMB -3.96%, HLFG -5.00%, RHBCAP -3.08%.
Market breadth was negative today as losers tower over gainers by 678 : 197.
Futures closed at 1753.5 (5points discount)
2) Heavyweights : MAYBANK -2.82% RM8.95, CIMB -3.96%
RM5.57, TENAGA -1.57% RM13.78, PCHEM -3.63% RM5.30, GENTING -2.64% RM9.20,
SKPETRO -4.68% RM2.44, PBBANK -0.65% RM18.20, BAT -3.20% RM68.24.
3) DBT : BONIA 16mil @ RM0.85 (1.98% PUC), XINGHE 8.5mil
@ RM0.10, HUBLINE 5mil @ RM0.02, CARIMIN 1.25mil @ RM1.06.
4) Situational:-
BRAHIMS +0.71% RM1.40 - Brahim's Holdings Bhd has entered
into a memorandum of understanding with Australia's Carpenter Beef Pty Ltd to
build a slaughter house. Brahim's said the plant, Cataby Abattoir, is designed
to meet all China, European Union, the United States Department of Agriculture
and halal requirements. The plant will have a capacity of 100,000 cattles per
annum on a single shift basis, with a 400-head per day capacity. The first
stage of completion will produce a four-way cut facility, the company said.
Upon additional capital expenditure of AUD15.0m (RM43.6m), the plant will be
fully operational within six to nine months from investment date. Under the
MoU, Brahim's will make an investment of 49.0% in the abbatoir project.
SIME -0.73% RM9.51
- Sime Darby China Oils And Fats Company Ltd in Hong Kong is selling a 55.0%
equity interest in its China-based unit Rizhao Sime Darby Oils & Fats Co
Ltd to Shandong Wanbao Agricultural Co Ltd for RM45.2m cash. Sime Darby said
the proposed transaction offers a good opportunity to improve its commercial
ability and viability in other edible oils in China. It said the exercise is
expected to be completed within six months from the date of execution of the
equity transfer agreement or such other date as agreed by the parties in
writing.
5) Muhibbah
The Company has accepted a Letter of Award from Westports
Malaysia Sdn Bhd for the construction and completion of first 300 meter of
Container Terminal 8 wharf & access bridges and associated works
("Part A") at Westports, Pulau Indah, Port Klang, Selangor with a
contract value of RM135 million inclusive of
Government Service Tax. The
Client has an option within six (6) months from the date of site possession for
Part A to award to Muhibbah the second 300 meter of Container Terminal 8 wharf
("Part B") with a total contract value of RM256 million inclusive of
Government Service Tax.
+ve as recent sell down is providing an opportunity to
pick up shares at undemanding valuations of 9x PE.
6) Market - Selling siege of the KLSE likely to continue
with the persistent weakness in oil pxs and RM, next major support for CI seen
at the 1738pts levels.
