FBMKLCI
1766.33 -2.89 pts
(-0.16%) Volume 2.309b
Value RM2.358b
1) KLCI were easier paring morning gains to close at
day's low after China HSBC manufacturing PMI fell to 49.2 from initial
estimation of 49.6 showing further contraction in economy. This offsets
official announcement over the weekend which showed PMI of 50.8. In the local
market, overall market sentiments were more cautious as recent outperformers
saw selling pressure led by MAS-10.5%, SKPETRO -6.2% and UEMLAND -2.5%. Market
breadth was negative with losers thumping gainers by 621:268. Futures closed
1765 (1 pts discount)
2) Heavyweights : DIGI -1.89% RM4.66, HLBANK -2.53%
RM13.82, TM -1.45% RM5.41, ASTRO -2.47% RM3.15, UEMLAND -2.57% RM3.41,
AXIATA-0.30% RM6.73, CIMB -0.42% RM8.26, MAYBANK +0.39% RM10.22
3) DBT : TROP 18.98mil @ RM1.78 ( 2.20% PUC @ 18.5%
discount), TGOFFS 5mil @ RM0.60 (1.705% PUC @ 17.5% discount), FARLIM 3.65mil @
RM0.32 (2.6% PUC).
4) Situational:-
YINSON +13% RM3.81 - YINSON announced that it had entered
into an agreement with Kencana Capital Sdn Bhd for a proposed issue and
allotment of new ordinary shares (not exceeding 15% of the final enlarged share
capital of YINSON) for an issue price of RM2.82/share. Assuming the maximum
scenario, where the new shares will represent around 15% of the final issued
share capital of the company, around 38.9m shares will be issued, lifting
YINSON's share base to 259.3m shares (from 220.4m previously). The proposed
issue will raise cash proceeds of around RM109.7m, which YINSON said is
expected to be utilised for any upcoming acquisitions that it is still in the
midst of identifying.
BAT +0.755% RM64.02 -BAT has announced a 3% increase in
the prices of all its cigarette brands effective 3 Jun 2013 due inflationary
pressures, labour and input costs, resulting in rising operating costs over
time. In addition, the legal tobacco industry volumes are also affected by
continuing high levels of illicit trade (in 2012 at 34.5%) which has impacted
sales of legal cigarettes.
5) TNB +0.24% RM8.37 - Khazanah is expected to announce a further divestment of
50m shares worth approx RM420m in Tenaga. The shares are being priced between
RM8.12 and RM8.37. If completed, this would reduce Khazanah's stake to 32.56%.
The placement will be handled jointly by a foreign and local broker.
Khazanah last placed 1.1% or 60m TNB @ RM6.78 on 12 Dec
2012.
6) Market - Cautious trading to continue for the rest of
the week especially with weak China economic data, falling Nikkei and an
important jobs report for the US at the end of the week before the FOMC meet in
mid June. Stock picking essential in current conditions. Take this opportunity
to BOW Naim, CrestBld, Maybulk, Perdana, MPHB Cap rights.