The KLCI
continued its rally from Friday bucking regional trends even after US closed
lower on more doubts on the Fed's before this week's FOMC meeting. Global bourses
were mixed with NIKKEI +2.73% after exporters gained from weaker yen, HSI saw a
substantial jump in volume which analyst linked to fast money flowing in from
the US market, while SHCOMP -0.25% closed lower weighed by cement and coal
counters after the state council announced more initiatives to combat
air-pollution. In the local market, PROPERTY index gained the most among the
sector indices after UEMLAND +2.51%, IJMLAND +5.47%, SUNWAY +2.77% closed
higher. Market breadth was skewed slightly to the positive territory with
gainers edging losers by 405 : 336. Futures closed 1769 (3 pts discount)
2) Heavyweights
: MAYBANK +1.96% RM10.38, GENM +1.81% RM3.92, PBBANK +0.35% RM17.00, ARMADA
+3.45% RM3.89, AXIATA +0.45% RM 6.65, CIMB +0.36% RM8.20, AMBANK, +0.98 RM7.19,
KLK 1.03% RM3.92.
3) DBT :KAMDAR
10mil @ RM0.50 (5.05% PUC @ 5% discount), MAYBANK 8mil @ RM10.25, SUNWAY
5.795mil @ RM3.6575
4) Situational:-
IREKA +25%
RM0.85 - Shares in Ireka Corp Bhd jumped 30.9%in early trade after major
shareholders announced a plan to privatise the firm via a selective capital
reduction and cash repayment exercise. A group of major shareholders, who own
64.7 per cent in the company, said on Friday it intends to buy the shares they
do not own, as Ireka shares have been thinly traded and are well below par
value. The major shareholders said they
will make a cash repayment of 90 sen per share via a special purpose vehicle,
Olymvest Sdn Bhd.
5) Southern Acids
Announce that its
subsidiary company, PT Wanasari Nusantara, will construct a palm oil mill with
a processing capacity of 45 metric tonne per hour, and upgradeable to 60 metric
tonne per hour, on a piece of land at its oil palm estate in the Province of
Riau, Sumatera.
The estimated cost of the Project is in the region of
RM35.0 million and will be fully financed by internal funds. The Project is
expected to complete by the first quarter of 2015.
Fairly valued at these levels trading at 11x PE with a
gross yield of 2.4%.
6) Market - The current rebound expected to continue
ahead of the FOMC meeting starting tomorrow. With prevailing uncertainty, any
bounce is likely to be met with profit taking hence we expect the KLCI to be
range bound for the immediate term btw 1740-1785pts lvls.