FBMKLCI 1628.66
-6.97pts (-0.43%)
Volume 1,266mil Value RM2,228mil
1) KLCI were hammered at the opening, falling to a low of
1602.12 (-33.51pts) as investors continued to sell on worries 13th General
election will be called soon. Selling eased off with investors picking up
heavily battered stocks as index recovered to closed at day's high with
selective stocks turning positive led by FGV+1.8%, AXIATA+1%, IHH+0.9%. Market
breadth stayed negative with losers thumping gainers 484:287. Future closed
1621 (7.6points discount)
2) Heavyweights: PBBANK-1.27% RM15.60, PCHEM-2.25%
RM6.08, UMW-3.44% RM11.80, HLBANK-2.22% RM14.08, MAXIS-1.09% RM6.35, PPB-1.92%
RM12.28, AMBANK-0.94% RM6.36, AXIATA+0.95% RM6.36
3) DBT: GLOTEC 109.335mil @ RM0.04 (2.07% PUC, 46%
discount), IRCB 37mil @ RM0.17 (6.25% PUC, 13% premium), DIJACOR 20mil @ RM1.03
(2.52% PUC)
4) Situational:
PCHEM-2.25% RM6.08: Pchem announced the termination of
the heads of agreement with Germany's BASF in a jointly specialty chemicals
venture within Petronas's Refinery and Petrochemical Integrated Development
project (RAPID) in Pengerang yesterday. Both of the parties decided to
terminate the HOA as they could not come to an agreement on the t&c for the
implementation of the project. Pchem is said to be in discussions with other
potential partners instead as the group plans to keep the development of
specialty chemical products portfolio as a part of their longer term strategy.
5) Globetronics
The Board today declared a single tier interim dividend
of 10% per ordinary share of RM0.50 for the financial year ending 31 December
2013, which is higher than the rate of the single tier interim dividend of 4%
declared for the corresponding period in the financial year ended 31 December
2012.
The higher payout is expected to be maintained through
the 3 qtrs that the company traditionally distributes their dividend as it
enjoys the full impact of their sensor product, launched in the 2nd half of
2012. Based on its historical payout ratio of 85% against consensus estimates
of RM46m, its projected yield would be an attractive 9%. Buy on weakness.
6) Market - Choppy market to continue with volatility
based on sentiment swings until the GE. Stocks that look oversold on sentiment
are PArkson, MPHB, TimeCom, Media Prima, IJMLand.