Morning Highlights

Singapore shares started flat, with STI up 3.20 points to open at 3240.00. 

Watch Out For Economic News Today

  1. Singapore Oct Non-oil Domestic Exports
  2. China's Nov Actual Foreign Direct Investment
  3. Euro-zone Oct CPI
  4. U.S Oct PPI
  5. U.S Oct Industrial Production
  6. U.S Nov NAHB Housing Market Index
Corporate Announcements
  1. Sembcorp Marine announced a US$195 million contract to sell a jack-up rig to Transocean Ltd.
  2. Tiger Airways reported 39% increase in passengers during 12 months to October 2010.
  3. SGX successfully launched yesterday the new clearing service for over-the-counter traded financial derivatives, starting with clearing of interest rate swaps.

News Updates:

  1. U.S. retail sales increased 1.2% last month, above the forecast of a 0.7% gain based on the median estimate of economists in a Bloomberg survey.
  2. Inventories at U.S. companies rose 0.9% in September, more than forecast, as companies stocked shelves ahead of the holidays. Sales rose 0.5%, led by retailers. (Bloomberg).
  3. China will look to deliver a 'one-two punch' against food inflation in the coming weeks by implementing price controls and cracking down on speculators, official media reported on Tuesday.

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 OCBC Oversea-Chinese Banking Corp 10.32 9.75 10.89  
2 STRL Straits Asia Resources 2.68 2.44 2.92  

Our Mid Terms Holdings : Bullish Stocks (Singapore)

 

Symbol

Name

Entry

SL

TSL

TP

Remarks
1 KPLD Keppel Land 4.19 3.95 Overnight, Current Price at 4.92
(Entered 12.10.10)
2 IFAR Indofood Agri Resources 2.70 2.23   Overnight, Current Price at 2.71
(Entered 25.10.10)
3 FRNM Fraser & Neave 6.76 6.14   Overnight, Current Price at 6.61
(Entered 09.11.10)
4 OLAM Olam International 3.42 3.02
5 CNAO China Aviation Oil Singapore Corp 1.72 1.50  

Stock Prices last updated at 9:25 (Singapore Time)

DJ MARKET TALK: Any STI Upside Small; Watch China, Euro-zone –DMG

Wall Street''s flat session overnight unlikely to inspire Singapore shares in early trade. Any upside may be restrained by profit-taking, especially given recent hefty gains. Index ended down 0.5% at 3236.80 yesterday; support at 3200, while resistance expected at Friday's 3285 high.

"The market may take a breather this week. There will still be focus on results, though external factors may have a greater impact," says DMG research head Terence Wong. Cites prospect of additional China tightening measures, renewed concerns over euro-zone debt problems as risks; "beyond these hiccups, the Singapore market is poised to continue (its) uptrend as liquidity continues to flow in."

Hyflux (600.SG), SembMarine (S51.SG) may be in focus as water treatment firm secure US$100 million contract to build desalination plant in Libya, while latter sells rig to Transocean (RIG.VX) for US$195 million; Hyflux closed down 0.9% at S$3.26, SembMarine +0.6% at S$4.95. (frankie.ho@dowjones.com)