FBMKLCI
1773.06 -10.82 pts
(-0.61%) Volume 2.145b
Value RM2.96b
1) The KLCI fell sharply after midday in line with key
regionals HSI-3% and Nikkei-7% after China posted weaker flash PMI number (act
49.6 vs consensus 50.4) which showed contraction in 2nd largest in economy and
concerns Federal reserve could scale back bond purchases. Some panic selling
saw index dipped as much as 18pts before recovering to close off lows. TECH
sector fell a 3% weighed down by JCY -6.1%, MPI -4.0% UNISEM -2.0%, GTRONIC
-1.8%, while the PROPERTY-2.8% continued its correction for the 2nd day lead by
UEMLAND -3.2%, SUNWAY -3.1%, SPSETIA 1.8%, MAHSING -3.8%. Market breath was
negative, with losers trouncing gainers 808:160. Futures closed 1764 (9 pts
discount).
2) Heavyweights : CIMB -1.27% RM8.51, GENTING -1.9%
RM10.30, AXIATA -0.57% RM6.92, ASTRO -3.79% RM3.04, DIGI-1.03% RM4.61, PETGAS
-0.93% RM21.14, HLBANK -1.81% RM14.04, UEMLAND -3.26% RM3.26, BAT +1.39%
RM65.40.
3) DBT : GOPENG 4.4mil @ RM0.80 (2.4% PUC), TGOFFS 4.0mil
@ RM0.55 (1.36% PUC @ 25% discount), KLCC 1mil @ RM7.35
4) Situational;
PERDANA-3.2% RM1.83 - Dayang Enterprise, which recently
secured a RM2bil contract from Sabah and Sarawak Shell, has awarded a RM705mil
job to Perdana Petroleum to supply several barges for its operations. The award
from Dayang is for duration of five years plus one year optional extension of
five work barges and one workboat. The contract starts in July. BOW
5) Petronas Dagang
1Q Mar 2013 Tover
+11% RM7.62bn Net -3% RM239.4m EPS 23.9sen
4% below (f) RM1bn
The group's PAT was lower by 3% despite higher sales due
to lower gross profit arising from a decrease in Mean of Platts Singapore
prices during the quarter which resulted in lower margin despite higher volume
achieved. This was offset by lower operating expenditure by RM19.6 million and
higher other income by RM12.4 million.
Going forward in the year, management will concentrate
efforts to improve margins will be pursued through cost optimization via
efficient supply chain and distribution, coupled with other operational
efficiency initiatives. The profits may be impacted by fluctuations in
international oil price, petroleum product costing and global economy.
It declared an interim div of 17.5sen.
6) Market - Weaker economic numbers from China has given
the markets an excuse for a much needed retracement after the strong rally in
the past few months. Immediate support for the KLCI at 1730pts where we think
clients should begin bargain hunting as the liquidity driven bull remains
intact.
