FBM30 1565.32, +12.14 points (+0.78%), Volume 3,314mil, Value 2,974mil
1) Index held steady even as key regional markets were mixed, as investors remained cautious over the terms of the 130bn Euro rescue package for Greece. KLCI continued its positive streak for the fifth day, upheld by buying support in select heavyweights (AXIATA+4%, PCHEM+1%, CIMB+1.3%, AMMB+2.4%). Index jumped 8 points during the auction period on late push on plantation stalwarts: IOI, KLK and heavyweights: IJM, GenM. Focus also shifted to water related stocks led by PUNCAK+30.3% (limit up) pulling up JAKS+24%, KPS+24%, SALCON+10% backed by heavy volume. Market breadth however turned mixed with losers edging gainers 456:447. Futures closed 1558.5 (7 points discount)
2) Heavyweights: AXIATA+4% RM4.97, IOICORP+2.4% RM5.60, CIMB+1.3% RM7.20, MAYBANK+0.% RM8.47, AMMB+2.4% RM6.10, KLK+2.3% RM25.50, PCHEM+1% RM7.00, MMCCORP+4.2% RM2.98, GENM+1.1% RM3.85, TENAGA-1.3% RM6.30.
3) DBT: CNOUHUA 30.3mil @ RM0.255 (4.5% PUC), BJTOTO 25mil @ RM4.35 (1.9% PUC), MSPORTS 20.4mil @ RM0.395 (3.8% PUC)
4) Situationals:
WCT+7.8% RM2.78: Share price rose after company secured a RM300.5 million construction contract from the government; the company says in an exchange filing the contract includes the design and construction of the headquarters of the Ministry of International Trade and Industry (MITI) - a 31-storey office tower, a two-storey car park, a three-storey podium and other related works. Completion is expected by February 2015.
5) Bursa FYE12/11, Rev +16% RM420.1m, PAT +29% RM146.1m, EPS 27.5c
Div for 4Q 13c bringing total div decl 26c-yielding 3.5%,
95% profit distribution v 2010 20c div decl.
6% below ann cons RM154.6m
Better set of results came from improved trading rev from securities segment +15% to RM193 million v RM167.9 million in 2010. Average daily trading value (ADV) increased 14% to RM1.79 bn v RM1.57 bn. Market capitalisation stood at RM1.29 trillion as at end of 2011, a slight increase from the RM1.28 trillion recorded at the end of 2010. Market velocity was constant at 33%. Despite the weak global market conditions, Bursa Malaysia attracted 28 new listings in 2011 compared with 29 in 2010.
"On the derivatives front, Trading revenue +36% to RM51.2 m breaking records in terms of contracts traded for both Bursa Malaysia Derivatives and crude palm oil futures and celebrated the first-year anniversary of our migration onto the CME Globex(r) trading platform in September last year. Total derivatives contracts traded increased by 37% to 8.45 million in 2011, from 6.15 million a year earlier, while foreign and domestic participation in the market grew by 57% and 30% respectively. Contracts traded for the FTSE Bursa Malaysia Kuala Lumpur Composite Index Futures (FKLI) was up 24% to 2.48 million, compared to 1.99 million in 2010.
Qoq PAT -15% due to 3Q heavy selldown following downgrade of USA by S&P in Aug 2011 whilst investors adopted cautious stance in 4Q on deepening Eurozone crisis.
Comments: Co expects 2012 financial performance to at least mirror that of, if not better than, 2011 performance despite persistent global uncertainty, supported by strong domestic fundamentals. The divestment of assets by GLCs will further contribute to the liquidity and vibrancy of the market. YTD daily vol traded has been increasing culminating in achieving highest vol traded on 8/2/12 of 4.3bn will support another qtr of +ve rslts. HOLD
6) Mkt - continue to rotate amongst situationals and sectors to trend higher as mkts await resolution of Greece debt probs. Trading buy UEM, TimeCom
