Morning Highlights

Singapore market firmed in opening trade after Wall Street was lifted overnight on a tech and health-care rally, supported by strong results from IBM Corp. The STI gapped up 18.49 points to open at 2931.41.

Market retreated sharply in first 1h30min and is now trading near its low. There were a handful of our Quick Picks (HL Asia, ARA, Chasen & Venture) that broke out. However, due to market weakness and uncertainty in which sector is moving, we choose to stay on the sideline for the time being. 

Lookout for resistances at 2947.08 and 2935.84 (today’s high)

Singapore News Updates:

  1. CapitaCommerical Trust (CCT) is selling Robinson Point for $203.25 million, CCT said in a statement to the stock exchange on Wednesday.

  2. Ezra has inked a well-intervention contract on top of a maiden self-propelled contract to support an oil supermajor in Africa. Both contracts are worth approximately US$80m.

  3. CapitaCommercial to distribute $52.9million for Q4.

News Updates:

  1. Citigroup posts $7.6 billion quarterly net loss; CEO Pandit lauds 'enormous progress'.
  2. ‏IBM posts 9% rise in profit, citing cost cuts and growth in services, consulting‏.
  3. CSX Q4 revenue $2.3 billion, down 13% yoy, blamed lower coal and merchandise shipments for a drop in fourth-quarter profit.
  4. U.S. stocks finish higher as health-care sector rallies; Dow gains 116 points

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.  <The Quick Picks referred herein contain overnight positions from Yesterday>

Bullish Stocks (Singapore)

Symbol

Name

Entry

SL

TSL

TP

Remarks
1 WLIL Wilmar International 7.30 6.97 7.63
2 HLAA Hong Leong Asia 3.36 3.18 3.54 Not Entered
3 WTHS Wing Tai Holdings 2.14 2.04 2.24 CANCELLED
4 MIIF Macquarie International Infrastructure Fund Ltd 0.53 0.475 0.585
5 BRWY Broadway Industrial Group 0.95 0.875 1.03  
6 ADFP ARA Asset Management 0.99 0.91 1.07 Not Entered
7 TIAN Tianjin Zhong Xin Pharmaceutical 1.25 1.14 1.36  
8 FRNM Fraser & Neave 4.53 4.41 4.65 CANCELLED
9 HIAP.SI Hiap Hoe Limited 0.63 0.57 0.69
10 SHDS Sing Holdings 0.455 0.385 0.525  
11 CHHL Chasen Holdings 0.385 0.305 0.465 Not Entered
12 VENM Venture Corp 9.38 9.24 9.52 Not Entered, stock is pulling back.

Here’s Our Mid Term Holding Opportunities:

Symbol

Name

Entry

SL

TSL

TP

Remarks
1 OCBC Overseas Chinese Banking Corp 8.83 8.15 8.55 9.51 Overnight, Current Price at 8.64
2 UTOS UOL Group 4.06 3.20 3.74 4.92 PROFIT – CLOSED at 4.08
3 DBSM DBS Group 15.48 14.34 14.40 16.96 Overnight, Current Price at 15.02
4 STEG Singapore Technologies Engineering 3.27
3.00		 3.12 3.54 Overnight, Current Price at 3.25
5 PARM Parkway Holdings 3.02 2.74 3.30 Overnight, Current Price at 2.93
6 HYFL Hyflux 3.81 3.42 4.20  
7 SIAT Singapore Airport Terminal Services 2.80 2.53 3.07  
8 OCGL Oceanus Group 0.475 0.34 0.61  
9 GENS Genting Singapore 1.32 1.05 1.20 1.59 Overnight, Current Price at 1.26

Stock Prices last updated at 17:05 (Singapore Time)

Afternoon Highlights

Shanghai and Hong Kong bourses were being dragged lower by losses in banking stocks on renewed concerns over tighter controls on lending growth.

Chinese regulators expect the nation's banks to issue about 7.5 trillion yuan ($1.1 trillion) in new loans this year, reflecting efforts to rein in bank lending after nearly doubling lending levels last year.

The STI is also lowered, but market is still holding shows 2900 is a fairly strong support for now.

  • Osim broke high of 0.645

In Summary,

Market dropped 19.79 points to close at 2893.13, with 2.1262 billion traded.

Side Note: we have added a Google Calendar Events at the right side of the blog. The calendar will be updated with Corporate Earnings Release Dates, Dividend Dates, New IPOs Trade Commencement Dates etc…