Friday, October 9, 2015

Singapore shares close week higher in line with Wall Street

singapore stockWALL Street's return to "bad economic news is good for stocks" has probably been the main driving force behind the Straits Times Index's 205 point, or 7.3 per cent, rise over the week to 2,998.5, of which 51.47 points came on Friday.

Also helping has been a relatively stable China market given the massive volatility it displayed last month.
Here, the overwhelming focus has been on blue chips throughout the past month, almost to the exclusion of the rest of the market. For most of the year up to September, a ballpark estimate of the proportion of daily dollar volume that was done in the 30 index components would be around 45-55 per cent; this week, the figure was around 75 per cent.

On Friday, turnover in the whole market amounted to 1.9 billion units worth S$1.4 billion of which S$1.1 billion or 79 per cent came from trades in STI members.

Thursday, October 8, 2015

Stocks to watch: Noble, UOB, CDL, Oxley following stocks had announcements or developments that could affect their trading activity on Thursday.

Noble Group: Its chief aluminium trader in Europe, Erik Gundersen, will leave the Asian commodities merchant, according to a Reuters report which cited sources. News of his planned exit comes after two of his US counterparts, Scott Evans and Jeff Romanek, who handled copper, lead and zinc, left the company on Tuesday.

UOB: The bank has gained pace in the cash management business, with a record 42 per cent jump in revenue for the first half of this year from a year ago.

CDL Hospitality Trusts: It has officially opened Claymore Connect - formerly known as Orchard Hotel Shopping Arcade - following a renovation exercise, which started in December 2013.

Singtel invests in new S$400m data centre in Jurong

SINGAPORE Telecommunications Ltd (Singtel) is making its biggest data centre investment in Singapore to date, with a new S$400 million facility in Jurong.

The Tier 3-Plus data centre - with an approximate gross floor area of 570,000 square feet - will meet growing demand for co-location and cloud services in Singapore. It will be completed in the third quarter of 2016.

Singapore News Highlights for Thursday

    sgx picks today
  • Singapore share prices opened stronger, with the Straits Times Index (STI) up 16.47 points or 0.56 per cent to 2,978.28, following gains on Wall Street.
  • Asia followed Wall St gains, while brace for return of China markets.
  • Chinese stocks jump at open, catching up after global market rebound.
  • Noble Group's chief aluminium trader in Europe, Erik Gundersen, will be leaving the Asian commodities merchant.
  • UOB record 42 per cent jump in revenue for the first half of this year from a year ago.
  • Oxley Holdings clarified that the reported acquisitions in International Healthway Corp (IHC) by its chief executive Ching Chiat Kwong and deputy CEO Low See Ching are "personal and independent investment decisions". 
  • Ascott triples units have been added in SEA.
  • SingPost completed successfully test flight of drone for mail delivery.
  • PEC warned of loss as S$19m is outstanding from Jurong Aromatics Corporation.
  • Kwek/Quek family in Malaysia and Singapore is sixth-richest in Asia.
  • Dollar little changed as compared to euro & yen.
  • Oil fell down after rise in US inventories,& production.
  • Gold climbed to one-week high on signs of slowing Global economic growth.

Tuesday, October 6, 2015

Singapore shares close higher in line with Wall Street

sgx stock picksWALL Street continued its recovery on Monday and this helped the Straits Times Index (STI) jump 46.16 points or 1.6 per cent to 2,897.41 on Tuesday, bringing its two-day rebound to 105 points or 3.8 per cent.

Once again it was blue chips which provided most of dollar volume - of the whole market's 1.5 billion units worth S$1.2 billion that was traded, S$944 million or 79 per cent was done in the 30 STI components. Excluding warrants, there were 263 rises versus 138 falls.

Among the banks, OCBC ended S$0.11 higher at S$9.06 on volume of six million. Nomura in a Oct 1 Quick Note on OCBC said that it continues to have a "buy" rating on the stock as it believes the bank has strong risk management and a strong balance sheet which will serve it well during this cyclical downturn.
"In addition we believe higher interest rates in Singapore will help cushion its net interest margins from downside pressure from its overseas operations," said Nomura. "We view the current valuations of 1x 12-month forward book as a good entry point."

Monday, October 5, 2015

Stocks to watch: Ramba Energy, Sinocloud Group, Global Yellow Pages

stocks to watch todayTHE following companies released material announcements either after Friday's close or before the start of trading on Monday morning.

Mandala Energy will invest up to US$179.6 million in a 35 per cent stake in the Lemang Production Sharing Contract (Lemang PSC) from Ramba Energy's subsidiary, PT Hexindo Gemilang Jaya.

Ramba Energy is an Indonesia-focused oil & gas exploration and production company. The Lemang block is located in the northernmost part of the South Sumatra basin, a proven region for oil and gas production.

The sum includes an upfront cash payment of US$26.25 million, sliding-scale future contingent payments based on certification of oil & gas reserves, partial carry for Ramba's share of three exploration wells; and a cash payment upon declaration of the first new exploration discovery.

Singapore News Highlights for Monday

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  • Singapore benchmark Straits Times Index opened higher, after Wall Street gained on Friday, rising 36.23 points or 1.3 per cent to 2,829.38.
  • Mandala Energy will invest US$179.6 million in a 35% stake in the Lemang Production Sharing Contract from Ramba Energy's subsidiary, PT Hexindo Gemilang Jaya.
  • Sinocloud cancelled its proposed acquisition of up to 45.95% of China Satellite Mobile Communications Group.
  • Global Yellow Pages signed a deal to buy a company that handles the retail master franchise and supply chain business for the Wendy's brand of ice-cream in Australia and New Zealand.
  • Singapore Exchange (SGX) has launched a new index business,named "SGX Index Edge", which will offer comprehensive services aimed at addressing the rising demand for index-linked investment in Asia.
  • Oil gains near US$45 as falling rigs signal US output cuts.
  • Dollar slumped,while Asian index futures rise as jobs dim rate outlook.
  • World Bank trims 2015 & 2016 East Asia forecasts, cites China and US rate risks.