Ringgit gets no reprieve as it slides with oil on slowing China

Malaysia's ringgit fell for an 11th week in its longest stretch of losses since 1993 as lower energy prices weigh on the oil exporter's earnings and capital flows out of emerging markets amid slowing Chinese growth.

The nation's foreign-exchange reserves have fallen 19 per cent this year, fueling speculation the central bank bought the ringgit to stem declines in Asia's worst-performing currency. Data for the last two weeks of August are due after markets close on Friday, while a report on exports due at noon is forecast to show growth slowed and the trade surplus shrank. Malaysia's benchmark stock index dropped this week and is down more than nine per cent in 2015, with a US interest-rate increase likely to spur more outflows.

Singapore shares open 1% lower

SINGAPORE shares eased by one per cent as at 9.01 am on Friday, with the Straits Times Index down 29.17 points to 2,877.26 on early profit-taking.

About 64.5 million shares worth S$103.8 million in total changed hands, which worked out to an average unit price of S$1.61 per share. The banks put a drag on the index. DBS Group Holdings slipped one per cent, or 18 Singapore cents, to change hands at S$17.57, while United Overseas Bank declined by 0.7 per cent or 14 Singapore cents to trade at S$19.39.

The most actively traded stock was Fu Yu Corp, which rose 0.4 Singapore cent to 15.6 Singapore cents with 7.1 million shares changing hands. Losers outnumbered gainers 76 to 51, or about three down for every two up.

Hot stock: Chosen surges on potential takeover bid

SHARES of Chosen Holdings jumped 18.7 per cent on Wednesday as trading resumed after private equity firm Shaw Kwei & Partners announced plans to make a general offer for the plastic components company.

Chosen stock traded at 23.5 Singapore cents as at 12.35pm on Wednesday, up 3.7 cents from its previous close.

Chosen announced before trading resumed at noon that it would appoint a financial adviser.

Shaw Kwei, through a vehicle called Southshore, said on Tuesday that it plans to make a voluntary cash offer at 24 cents per share for Chosen, which it will delist if it gathers enough acceptances. The firm has already received irrevocable undertakings from five shareholders who hold a combined 50.99 per cent stake.

Singapore stocks close weaker as STI tracks Dow futures, China volatility

The Straits Times Index on Wednesday moved in tandem with the US futures market as traders tried to anticipate how Wall Street might perform during its Wednesday session.

An early 100-point rise in the Dow Jones Industrials Average's futures raised hopes that the US market would rebound after Tuesday's plunge and thus lent some stability to the STI; however gains were capped by weakness in China and Hong Kong where the major indices ended in the red.

After rebounding to an intraday high of 2,906 most probably thanks to short covering, the STI ended the day at 2,878.13 for a loss of 4.64 points. At 5pm, the Dow futures' gain had been cut to around 60 points.

Turnover at 1.1 billion units worth S$986.4 million was weak, especially since S$700.3 million or 71 per cent was generated by the 30 index components. Excluding warrants, there were 179 rises versus 228 falls.

Stocks to watch: SembMarine, Singtel, Chinese Global Investors

THE following stocks had announcements that could affect trading activity on Tuesday:

Sembcorp Marine has clinched a more than US$1 billion engineering, procurement and construction contract to build three topsides for the Culzean Field development in the North Sea, the rig builder announced early Tuesday.

The contract amount, which includes long lead items, is for building a central processing facility, two connecting bridges, a wellhead platform and utilities and living quarters platform for Maersk Oil North Sea UK.

SembMarine shares closed at S$2.39 on Monday.

Singapore stocks close weaker on China selloff, Wall Street jitters

A 200-point plunge in the Dow Jones Industrial Average's futures contract on Tuesday reminded players that may be markets have not bottomed yet and dragged the Straits Times Index 38.67 points or 1.3 per cent down to 2,882.77.

Turnover was in line with recent totals at 1.8 billion units worth S$1.1 billion and excluding warrants there were 130 rises versus 300 falls. Of the dollar total, S$793 million or 72 per cent was done in the 30 STI components.

Adding to the pressure was renewed weakness in China and Hong Kong, where large price falls and a surge in volatility have marked trading over the past three weeks. This came after news that manufacturing has continued to weaken - the official purchasing manager's index for August fell to 49.7 from 50 in July, its lowest in three years.

Singtel to double paternity leave, supports call to raise re-employment age By

SINGTEL said on Monday that staff of the telco and its subsidiary, NCS, can now benefit from up to two weeks of paid paternity leave.

The move to double paternity leave is a response to recent government calls to introduce additional paternity leave for working fathers of newborn Singaporean children.

The enhanced paternity leave will take retrospective effect from Jan 1, 2015, and can be taken flexibly within 12 months from the birth of the staff's child. This government-led initiative is currently voluntary for employers.

Another government initiative that Singtel fully supports is the call to raise the re-employment age from 65 to 67. Currently, Singtel has eight staff who are aged 67 and older in its employ. It also re-employs 70 to 80 per cent of its staff when they turn 62.

Stocks to watch: Keppel, Raffles Medical, China Fishery

MERGERS and acquisitions were in the news before the market's opening on Monday.

Keppel Corp is buying the owner of the established LeTourneau jackup rig designs from Cameron International Corp for US$100 million in cash, the rigbuilder announced early Monday.

 

Keppel's wholly owned Keppel Offshore & Marine USA, Inc unit will fund the purchase of the offshore rigs business of Cameron with internal working capital.

The acquisition will give Keppel ownership of the LeTourneau suite of jackup rig designs as well as rig kits and support equipment that will allow the group to offer new rigs for customers and also provide aftermarket services, Keppel said. There are about 100 LeTourneau rigs currently operating around the world.