FBMKLCI
1721.10 +4.99pts (+0.29%) Volume 1.479b Value RM1.687b
1) The KLCI continued its winning streak to close in
positive territory inline with the stronger US market overnight after Western
markets digested the resolution of the Greece's debt issue. Region were mixed
as the NIKKEI +1.47%, ASX +1.90% outperformed while the SHCOMP -1.16%, HSI
-0.47%, HSCEI -1.40% took a breather. TECHNOLOGY +0.87% index gained the most
grounds amongst the sectors as GTRONIC +4.85%, JCY +3.03%, GHLSYS +0.90% advanced.
Market breadth was positive as gainers beat losers by 477 : 287. Futures closed
at 1715.5 (5.5pts discount).
2) Heavyweights : PBBANK +0.85% RM18.98, AXIATA +0.95%
RM6.35, AMBANK +2.26% RM5.88, TENAGA +0.32% RM12.50, YTL +1.29% RM1.57, KLK
+0.79% RM22.82, SKPETRO -3.73% RM2.32, PPB -1.04% RM15.16.
3) DBT: IRETEX 13.298mil @ RM0.31 (10.07% PUC), SKPRES
10mil @ RM1.50, TAKASO 6mil @ RM0.50.
4) Situational:-
MUHIBBAH +1.34%
RM2.26 - Muhibbah Engineering has bagged two contracts worth a combined RM143.1
million from Northport Bhd, a wholly-owned subsidiary of NCB Holdings Bhd , for
upgrading works at Wharf 8 and associated works at Container Terminal Four
(CT4) in Northport, Port Klang. The contract value for the upgrading works to
Wharf 8 and associated works at CT4 totals RM138.8 million, while dredging
works is RM4.3 million.
5)ICON : announced that wholly owned subsidiary Icon
Offshore Group SB (IOGSB), had received two letters of award from an oil major
for the provision of two anchor handling tug/supply vessels (AHTS) 60MT. The
long term contracts shall be effective from 5 July 2015 and continue for a
period of 2 years from the said effective date with an option for an extension
of one (1) year. Under the contracts, IOGSB is required to provide amongst
others, transportation of supplies from supply bases to drilling rigs/platforms
and vice-versa to the oil major. The total value of the contracts is
approximately RM55m inclusive extension period ; +ve, is expected to contribute
positively to the earnings and net assets of ICON for the financial year ending
December 2015 and beyond. However, concerns remain as we are still awaiting
results from the MACC probe that will only end in Oct 2015. Above that, due to
oil price weakness, other challenges including margin and rate compression,
intense competition and order-book replenishment headwinds remain.
6) Market : Key indicators are relatively neutral,
implying the uncertainty of market direction. We reckon that the trading volume
will remain subdued for this week approaching the Hari Raya holiday. Key index
could continue to trade within the range of 1690-1730 level. The upcoming
quarterly results season could provide better clarity post Raya.
