FBM30 1537.09, +15.80 points (+1.04%), Volume 2,581mil, Value 2,868mil
1) KLCI jumped to high of 1540.89 (+19.60pts) at opening as stocks rallied on expanding manufacturing numbers in US, Europe and Asia while there is optimism that contagion from a likely Greek debt default can be contained. Index pared its gains to touch a low of 1526.57 (+5.28pts) before buying interest of core blues after midday saw market moving higher led by MAYBANK, DIGI as market value traded almost touched RM3billion. Market breadth was positive with gainers trouncing losers 643:286. Futures closed 1523.5 (13.5 points discount).
2) Heavyweights: DIGI+3.54% RM4.10, MAYBANK+1.71% RM8.34, PBBANK+1.48% RM13.74, SIME+1.53% RM9.28, AXIATA+1.28% RM4.73, AIRASIA+4.23% RM3.70, PCHEM+0.9% RM6.73, GENM+1.49% RM4.10
3) DBT: PMHLDG 19.3mil @ RM0.055 (2% PUC), GOCEAN 13mil @ RM0.075 (7% PUC, 51.6% discount)
4) Situationals:
CYPARK+1.76% RM1.73: CYPARK received an approval-in-principle letter from the Government of Malaysia for the proposed development of a new sanitary landfill at Ladang Tanah Merah, Negeri Sembilan by way of a Public Private Partnership. Cypark had earlier submitted the BOT proposal for a concession period of 25 years to the Government of Malaysia. The formalisation of concession agreement is targeted to be completed within the next 6 months. The project will treat and dispose municipal solid waste received from many parts of Negeri Sembilan with estimated flow of above 1,000 tonne daily.
MUHIBAH+13.7% RM1.41: An online news portal reported that CIMB-led consortium has agreed to take over Asia Petroleum Hub's oil terminal project in Johor. The shareholding issues is said to have been resolved with the bank committed to fund the project to completion. Muhibah is the contractor to undertake marine pilling and jetty works for APH worth RM820mil.
5) Zelan
Zelan Berhad announced that Northern Gateway Infrastructure Sdn Bhd ("NGISB") had issued a letter of intent to Zelan-Kiara Teratai JV ("JV"), stating its intention to appoint the JV as the Contractor for the Proposed Development of Integrated Immigration, Custom, Quarantine and Security ("ICQS") Complex at Bukit Kayu Hitam, Kedah Darul Aman .
Zelan Construction Sdn Bhd, a wholly owned subsidiary of ZB, will have 51% participating interest in the JV while Kiara Teratai Sdn Bhd will have 49%, subject to the terms and conditions of the joint venture agreement to be entered into between ZCSB and KTSB, contingent upon the award of the Project by NGISB to the JV.
6) Market - Momentum on mid caps remain strong with rotational play expected to continue. O&G counters are starting to attract interest again as crude oil prices remain persistently high around the USD 100/barrel, trading buy on sector laggards Wah Seong, Perisai, Alam M.