FBM30 1513.54, -17.19 points (-1.12%), Volume 1,604.5mil, Value 1,406.5mil
1) KLCI snapped its seven consecutive days of gains as blue chips saw profit taking following the year end closing action on Friday despite higher regionals after manufacturing expanded in India and China with more positive elements emerging for a US recovery. Financials-1.76% weighted on the market as index slide over the day to close near its low (LOW:-18.65pts). Market breadth remains positive with advancers outpacing losers 446:325. Futures closed 1524.5 (9 points premium).
2) Heavyweights: MAYBANK-2.8% RM8.34, CIMB-2.7% RM7.24, AXIATA-2.72% RM5.00, PBBANK-1.64% RM13.16, TM-3.23% RM4.80, DIGI-1.80% RM3.81, SIME-0.87% RM9.12, GENTING+2.18% RM11.24
3) DBT: XDL 9mil @ RM0.32 (2% PUC, 14.6% discount), ASUPREM 7.5mil @ RM0.205 (6.5% PUC), SYF 7mil @ 0.52 (2.6% PUC, 15.4% discount)
4) Situationals:
MAXBIZ+13% RM0.175: Share price jumped after midday as company announced that it's wholly owned subsidiary Dutamas SME Sdn. Bhd, received a letter of award from Harta Mesra Development Sdn. Bhd for the proposed infrastructure works for development of Phase 1A at Klebang, Ipoh with contract value of RM4.935mil. MAXBIZ also received LOI from Fibre-N Sdn Bhd in respect of a contract for the Fibre-to-the-Home and Fibre-to-the-Office for high rise residential and office buildings in Klang Valley, Penang and Johor Bahru valued at RM510mil.
5) Tan Chong
Announced that Tan Chong Motorcycles (Laos) Co., Ltd., a wholly-owned subsidiary of TCMH has entered into a Distributorship Agreement for 3 years effective 2 January 2012 with Vietnam Manufacturing and Export Processing Co., Ltd. in respect of the appointment by VMEP of TC Motorcycles Laos as the exclusive distributor, importer and after-sales service provider for SYM motorcycles (including spare parts for such motorcycles) in Laos. The project sales volume for the first 3 years is estimated at 12200 units.
+ve but minimal impact to bottom line.
6) Market - We remain bullish in the immediate term with the annual January effect likely play out again. During this period, 2nd liners/situationals generally outperform, hence trading favourites such as MRCB, TimeCom, DRBHcm, Malton, MMC, MPHB should remain in the limelight.