Morning Highlights

Singapore stocks started on a weak note after Wall Street closed lower on renewed worries about European banks following a report that they understated their holdings of potentially risky government debt..

STI opened low at 3015.93. Cautious trading is needed during this time period since market is very jittery.

  • China Hongxing, a Singapore-listed Chinese maker of sports shoes and apparel, aims to open 2,000 new stores in China by end-2011 to extend its retail network to more small Chinese cities.

Watch Out For Economic News Today:

  1. Japan July Machine Orders (Japan's core machinery orders rose a more-than-expected 8.8% in July from the previous month, Cabinet Office data showed on Wednesday, suggesting capital expenditure will recover gradually)

Corporate Announcements:

  1. Wilmar announced that the Ministry of International Trade and Industry has approved the disposal by Kulim and NLF of their interest in Natoleo to Wilmar's subsidiary.

News Updates:

  1. HP sues ex-CEO Mark Hurd, alleging hiring by Oracle could breach confidentiality deal.
  2. US stocks close down for first session in five on European fears; Dow down 107 points.
  3. The MSCI World Index dropped 1.1% amid concern European lenders will need more capital to offset holdings of bonds in the euro zone's weakest economies. Bank stress tests published in July understated some financial institutions' sovereign debt holdings, the Wall Street Journal reported, citing its own analysis.
  4. The Association of German Banks said on Monday that the nation's 10 largest lenders may need about 105 billion euros ($134 billion) in fresh cap.
Analyst Recommendations:
  1. Capitamalls Asia raised to overweight from Neutral by JPM (2010/09/08 07:34AM)
  2. DJ Overseas Union Enterprise Started at Outperformed by CS (2010/09/08 07:35AM)
  3. DJ Overseas Union Enterprise Target Set at $3.61 by CS (2010/09/08 07:35AM)

Quick Picks: Here is a quick pick screen that we have designed to pick out potential stocks, both Bullish and Bearish. These are measured with emphasis on larger changes in price and volume.

Bullish Stocks (Singapore)

 

Symbol

Name

Entry

SL

TSL

TP

Remarks

1

STAR

Starhub Ltd

 2.57 2.45

 

 2.67  
2 SCIL Sembcorp Industries 4.36 4.23 4.49  
3 GENT Genting Singapore 1.84 1.72 1.96  
4 FCRT Frasers Centerpoint Trust 1.51 1.40 1.62
5 SPGP Super Group Ltd 1.11 1.00 1.22
6 9678.HK Genting Hong Kong Ltd 0.47 0.395 0.545  

Stock Prices last updated at 17:50 (Singapore Time)

In Summary,

Index down 24.67 points to close at 3011.42, with 1.6710 billion traded. Gainers led losers 255 to 196.